A tourism industry leader has warned that record numbers of visitors to Scotland conceal underlying pressures that risk the future of many businesses.

Marc Crothall, chief executive of the Scottish Tourism Alliance said new figures released by VisitScotland from the latest Great Britain Tourism Survey “tell only part of the story” and that the industry needs more support.

The number of international visitors in 2024 soared to a record 4.4 million, from 3.9m in 2023 and 3.24m in 2022.

Spending by these visitors increased by 7% to £3.9 billion, although they booked fewer overnight stays, which fell from 34.3m to 30.8m. However, international visitors typically stay longer and spend more than domestic visitors.

Mr Crothall said the figures underline the strength of Scotland’s global appeal and show the huge contribution international visitors make to the economy.

“However, the topline figures tell only part of the story,” he said. “While international spend is rising, many businesses serving the domestic market continue to face enormous challenges.

“Rising operating costs, staff shortages, reduced profitability, regulatory burdens and declining domestic overnight stays and spend are all taking their toll. The reality is that too many businesses are still struggling to break even, and a busy summer alone won’t secure their future.”

Mr Crothall said tourism “is not a seasonal or peripheral industry” but one of Scotland’s largest private sector employers, a major export earner and a critical lever for economic growth.

“To unlock the full potential of the sector and ensure commercial viability for many hundreds of businesses, we need policy stability, fairer taxation and long-term investment in infrastructure, skills and destination development.”

He said the proposed Visitor Levy is being introduced in a “fragile” economic climate, placing additional pressure on businesses already fighting to stay afloat.

“It is vital that it is implemented in full partnership with industry, in a way that is fair, simple and economically sound.  The Scottish Tourism Alliance has led on a joint letter to Scottish Government, initially co-signed by 80 representatives from Scotland’s tourism and hospitality industry, sharing concerns on the introduction of the Visitor Levy in its current form.”

He added: “Today’s figures should be a wake-up call to all political parties, as we move closer to an election year in Scotland, not to take the sector’s performance at face value.”

He says they must “act now, give guarantees to long term increased investment in the development and marketing of the sector, with supportive policy to secure a stronger and more sustainable future for Scottish tourism, creating real opportunities for long-term growth.”