Dumfries and Galloway Council in south west Scotland is considering a visitor levy on overnight stays to fund improvements in tourism. This move comes as the region, highlighted on National Geographic’s cool list for 2024, relies heavily on visitors for jobs and growth, but locals and businesses worry it could harm the rural economy.
Tourism’s Key Role in Dumfries and Galloway
The tourism sector stands as a cornerstone of the local economy in Dumfries and Galloway. It supports around 7,000 jobs across hundreds of businesses, accounting for more than 10 percent of all employment in the area. This influx of visitors helps sustain small towns and villages, from coastal spots like Rockcliffe to historic sites such as Caerlaverock Castle, a triangular ruined sandstone structure surrounded by a moat and lush greenery.
Recent boosts have added to the optimism. In October 2025, Outlander star Sam Heughan launched his Galloway Distillery in Newton Stewart, drawing attention and promising new jobs. The council also welcomed a 10 year endowment style fund worth 20 million pounds for Dumfries, aimed at tackling key local issues and enhancing visitor appeal. These developments tie into broader efforts by the South of Scotland Destination Alliance to grow the visitor economy by one billion pounds and create 20,000 jobs across the region.
Yet challenges remain. The area’s rural and seasonal nature means tourism dips in winter, making every visitor count. Events like the Kirkcudbright Festivals and Stranraer Oyster Festival highlight the vibrancy, but poor transport links and price sensitivity keep growth in check.
Details of the Proposed Visitor Levy
The council’s plan involves adding a small charge to the cost of overnight accommodation, similar to models in other parts of Scotland. Funds raised would go back into the area to upgrade infrastructure, such as paths, signage, and public services that benefit tourists and residents alike. No final rate has been set, but early talks suggest it could mirror the five percent levy planned for Edinburgh.
This is not a quick decision. The council stresses that no levy will start until at least 2026, after full public input. Early engagement launched in September 2025, with surveys open until November 21, 2025. Businesses must apply the charge to bookings made from October 1, 2025, for stays after July 24, 2026, if approved. Providers would keep a small portion, around two percent, to cover admin costs.
To illustrate how this might work, consider a simple breakdown:
| Accommodation Type | Typical Nightly Rate | Estimated Levy (5%) | Funds for Local Investment |
|---|---|---|---|
| Budget Hotel | £80 | £4 | Improves paths and signage |
| Self Catering Cottage | £120 | £6 | Supports festivals and events |
| Luxury B&B | £200 | £10 | Enhances coastal facilities |
This table shows potential impacts based on common stays, highlighting how even modest charges could build up to meaningful investments without scaring off budget travelers.
Supporters See Long Term Gains
Some residents and experts argue the levy could transform Dumfries and Galloway into a premium destination. Ashley Turgoose from Kirkcudbright believes it makes good economic sense if the money goes toward better roads, public transport, and attractions. He notes that visitors will keep coming if the area offers value, not just low prices, potentially leading to more jobs and higher spending.
Proponents point to the region’s UNESCO Biosphere status for Galloway and Southern Ayrshire, which earned a spot on National Geographic’s cool list in 2024 for its natural beauty and wildlife. Investing levy funds here could attract eco tourists and families, boosting off season visits. One local said a well run system might even increase employment by making the area more appealing long term.
In a broader view, this aligns with Scotland’s push for sustainable tourism. With rising visitor numbers post pandemic, the levy could help manage crowds at spots like the Solway Coast, where waves crash against picturesque houses. Logical reasoning suggests that without such funding, infrastructure lags could deter future growth, especially as climate change affects rural paths and beaches.
Businesses Raise Alarms Over Rural Risks
Opposition has been swift and vocal, especially from hospitality and tourism leaders. In late October 2025, groups across Dumfries and Galloway lodged formal objections, calling the levy a threat to their seasonal, price sensitive operations. They warn it could make stays needlessly expensive, hitting small businesses hardest in a rural setting unlike big cities.
The Association of Scotland’s Self Caterers echoed this, noting self catering contributes 32 million pounds annually but serves many domestic travelers facing cost of living pressures. A hotel director called it counterproductive, as it might push Scots to holiday abroad. Politicians like MSP Craig Hoy and Finlay Carson have written letters against it, fearing damage to visitor numbers.
Key concerns include:
- Higher costs for short breaks, deterring families and locals on staycations.
- Added admin burden on small operators already stretched thin.
- Potential loss of weddings and events, vital for the economy in quiet months.
- Risk to rural identity, as the levy suits urban areas like Edinburgh better.
These voices stress that while urban taxes work, a rural disaster looms if not tailored carefully. Recent pleas from tourism bosses in October 2025 urged a halt to proposals until more data emerges.
Insights from Scotland’s Other Tourist Taxes
Scotland leads the UK in visitor levies, with Edinburgh set to roll out its five percent charge in July 2026, applying to the first five nights of stays. Glasgow follows in January 2027, and Stirling is consulting on a similar rate. Highland Council’s talks closed in March 2025, showing a nationwide trend to fund services amid overtourism.
Early signs suggest mixed results. In cities, the tax targets high volume visitors, but rural areas like Dumfries face different dynamics. A May 2025 report noted UK wide spread, impacting hotels and short term rentals. For Dumfries, this means learning from pilots: exemptions for low cost stays could help, or ring fencing funds for transport upgrades to ease access from Glasgow or Carlisle.
This context adds depth, as the council weighs if a custom model avoids pitfalls seen elsewhere. With 692 up votes on a Reddit thread praising the region’s quiet hikes, preserving that appeal without extra costs remains key.
Looking Ahead: Public Input Shapes the Future
As feedback pours in, the council promises to review all views before any vote in 2026. This includes residents, visitors, and groups, ensuring a balanced approach. Early engagement FAQs address common questions, like how funds will be spent transparently.
The debate highlights tourism’s double edged sword: vital yet vulnerable. With investments like the Galloway Distillery and cool list buzz, now is a chance to build sustainably. Readers facing similar rural issues might watch closely, as outcomes could influence other Scottish spots.
Share your thoughts in the comments below. Do you support a visitor levy in Dumfries and Galloway? Let us know and spread the word to keep the conversation going.
