Highland Council advised to pause plans for a 'tourist tax'

Highland Council could hold off introducing a "tourist tax" after the Scottish government announced it is planning to give local authorities greater flexibility around visitor levies.

Highland has consulted on a 5% levy on holiday accommodation which it estimated could generate at least £10m a year for the region.

In a new report to councillors, officials said accommodation providers had raised "considerable" concerns about a percentage-based tax.

The officers have recommended Highland Council should wait for more details on government planned powers for either a single flat rate or a range of fixed amounts for different purposes or areas.

The new powers could be introduced next year.

Under the current rules, councils can add a charge to overnight accommodation such as hotels, B&Bs and holiday lets.

Accommodation providers would be responsible for collecting the levy from visitors.

Highland Council analysed more than 4,000 responses to its consultation, which closed in March.

Cairngorm, Caithness, Lochaber and Inverness chambers of commerce have separately raised concerns, saying the extra cost could put visitors off coming to the Highlands.

Councillors will consider the officers' recommendation at a meeting later this week.