Scheduled for a council vote this Friday, the levy would see B&Bs, hotels, and other accommodation providers begin applying the surcharge to advance bookings in May. However, FSB Scotland has raised concerns about the tight timeframe, particularly given that around half of affected businesses are small operators like B&Bs.

Garry Clark, FSB’s development manager for Edinburgh and the East of Scotland, said: “There is an expectation that B&Bs and other small operators will start applying the levy to advance bookings in 15 weeks’ time, but the booking platform which is being introduced for the purpose is still in development.

“There simply isn’t enough time to meet the deadlines laid out by the city council without risking significant disruption to the businesses who will have to apply the charge and their customers.

“We know from experience that delivering new IT systems can be fraught with difficulties. It is vital the new platform which is intended to be used in other local authority areas who adopt a Visitor Levy is thoroughly tested before bookings go live.

“The city council has declared its aim is to introduce the Visitor Levy as quickly as the enabling legislation will allow. We understand the financial pressures local authorities are under and the importance of the new revenue stream to the council, but that shouldn’t be its priority, it should be ensuring as far as possible that the launch goes without a hitch.

“Business sentiment towards the Visitor Levy has shifted. Many small businesses have warmed towards the idea, recognising the vital investment it can bring to improve infrastructure and services for the good of visitors, residents and local businesses alike.

“However, there are still unanswered questions about the way in which the levy is being introduced in Edinburgh, including whether its plans for investment in housing and participatory budgets are legally robust.”