A TOURIST tax for Edinburgh of £1 per bed per night came a major step closer yesterday with the city council voting to take forward its plan for a so-called transient visitor levy (TVL).

A report to councillors said the levy could raise £11 million a year, or possibly up to £29m depending on what form the tax eventually takes.

The council was not deciding on the TVL or how much it will be yesterday, because legislation to allow such a tourist tax must be passed through the Scottish Parliament.

The National understands that Edinburgh and numerous other local authorities working through umbrella body Cosla are hoping to persuade the Scottish Government to bring in such a law in the lifetime of this Parliament.

Edinburgh is to the fore, however, and the council’s SNP-Labour administration was joined by the Greens and Liberal Democrats in opposing a Conservative amendment that would have effectively ditched the TVL in favour of an appeal to the Scottish Government for more cash support for the capital – it is known that some Conservative councillors support the TVL scheme.

Councillor Adam McVey, council and SNP group leader said: “It would be an underestimate to say this has been a long time coming.

“I absolutely defend not only the festivals and their fantastic contribution to our city’s culture and our city’s fabric. It has probably the most vibrant hospitality sector in the entire world, supporting tens of thousands of jobs right here in Edinburgh and raising millions of pounds not only in wages and in taxes but in other contributions and benefits for a whole host of other things including some of our services like some of our museums.

“That said, with such a level of vibrancy come consequences that we need to manage and mitigate.

“The transient visitor levy is all about trying to raise additional money, a small levy placed on particularly the hotels in [a city with]one of the most regularly highest occupancy rates anywhere outside London.

“It is a very, very strong hotel market in this city and to ask them to add a small levy to those stays in helping us fund the things that we pay for to create that vibrancy.”

The Scottish Government has no plans to introduce a law on tourist taxes, and Conservative Councillor John McLellan told the meeting: “A rumour reached me yesterday that the Scottish Government was about to change its position so I checked it out and the answer came back that as far they were aware, the policy remained unchanged.”

Councillor Steve Burgess of the Greens said: “It is to be regretted that, according to the figures in the report, if the council had agreed to support a visitor levy at the time it was first proposed by Green councillors this city could have had around £100m to invest in city services.”