Edinburgh’s tourist tax scheme will be agreed tomorrow, when councillors vote on the final proposals.
The principle of visitors contributing to the cost of providing the facilities from which they benefit is fine, the danger is much of the money will be squandered in a tussle of competing interests.
At least the SNP bid to set the rate at an eye-watering seven per cent, which with VAT on top would have been crippling, is likely to be defeated again.
With the potential to raise up to £50 million, it could take the heat out of the necessity for the council to become more efficient, and other councils might want a slice of what they see as Edinburgh’s good fortune and Scotland’s asset.
It will not take much for the benefit to be lost by the Scottish Government reducing its block grant, even though it’s claimed that won’t happen.
But the most immediate issue is apparent from the proposal before councillors tomorrow, that the money will be divvied up between departments so it’s spread too thinly and frittered away by the usual waste, so that little meaningful is achieved.
Who knows what difference £5 million on housing “mitigation” will make, and similarly what will each council ward have to show for an annual £100,000 contribution to “participatory budgeting” schemes recommended by local communities?
Some of it could be lost in meeting Labour’s National Insurance assault, and the new tourist tax forum will have its work cut out to ensure the cash makes the promised impact.
