Tourism - Parliament UK

Tourism: statistics and policy
Standard Note:
SN/EP/6022
Last updated:
6 January 2015
Author:
Chris Rhodes
Section:
Economic Policy and Statistics
This note includes statistics on inbound and outbound visitors to and from the UK, domestic
tourism in the UK, the impact of the 2012 Olympic and Paralympic Games on tourism, the
contribution of tourism to the UK economy and the Government’s tourism policy.
Visitor numbers in 2013:

There were 32.8 million inbound visits to the UK. London was the most popular
destination in the UK, attracting 51% of all visits.

There were 58.5 million outbound visits from the UK. Spain was the most popular
destination for UK tourists, attracting 20% of all visits.
In 2012 471,000 people came to the UK for an Olympic and Paralympic related reason.
There were 122.9 million domestic overnight trips made in Great Britain in 2013, 83% of
which were in England.
Economic impact in 2013:

The tourism industry contributed £56 billion in economic output

Tourism related industries employed 2.8 million people, 9% of all employment
The Government published its tourism strategy in March 2011 which announced three
aims:

To co-fund (with the private sector) a £100m marketing campaign to encourage
foreign visitors to the UK, building on publicity from international events such as the
Royal Wedding and the Olympic Games.

To increase the proportion of UK residents who holiday in the UK; and

To increase the sector’s productivity.
This information is provided to Members of Parliament in support of their parliamentary duties
and is not intended to address the specific circumstances of any particular individual. It should
not be relied upon as being up to date; the law or policies may have changed since it was last
updated; and it should not be relied upon as legal or professional advice or as a substitute for
it. A suitably qualified professional should be consulted if specific advice or information is
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Contents
1
Overseas tourism – inbound and outbound visitors
3
2
Inbound visits
3
2.1
Reasons for visit
3
2.2
Inbound visitor origin
4
2.3
Destination of inbound visits
5
3
4
5
6
7
Outbound tourism
6
3.1
Reasons for travel
6
3.2
Destination of outbound visits
6
Impact of the 2012 Olympic and Paralympic Games on tourism
7
4.1
7
Visitor numbers
Domestic tourism
8
5.1
Reasons for trip
8
5.2
Destination
9
Tourism and the UK economy
9
6.1
Economic output
9
6.2
Employment
10
The Government’s tourism strategy
11
7.1
Overseas marketing
12
7.2
Increasing domestic tourism
14
7.3
VisitBritain and the future of tourism bodies
14
2
1
Overseas tourism – inbound and outbound visitors
In 2013, there were 32.8 million visits to the UK by people living abroad. There were 58.5
million visits abroad by UK residents. The chart below shows the number of inbound and
outbound visits to and from the UK since 1980.1
Visits to and from the UK
Millions, annual data
70
60
Outbound:
visits overseas
by UK residents
50
40
30
Inbound:
visits to the UK
by overseas residents
20
10
0
Rising prosperity and falling travel costs have led to a boom in overseas tourism since the
early 1980s. Between 1980 and 2013, the number of inbound visits to the UK increased by
164% from 12.4 million visits to 32.8 million visits. The number of outbound visits from the UK
increased by a greater proportion – over 230% – from 17.5 million to 58.5 million over the
same period.
The financial crisis of 2008/09 impacted on both inbound and outbound visitor numbers. The
number of outbound visitors from the UK fell particularly steeply – from a peak of 69.5 million
in 2006, to 55.6 million in 2010, a fall of 13.9 million visits or 20% in 4 years. Over the two
years since then, the number of outbound visits recovered slightly, increasing by 1.2 million.
Inbound visitor number were also affected by the financial crisis and its aftermath but to a
lesser degree than outbound visitor numbers. Inbound visitor numbers peaked in 2007 at
32.8 million visits and fell to 29.8 million in 2010 – a fall of 3.0 millions visitors or 9% in three
years.
2
Inbound visits
2.1
Reasons for visit
The table below shows the total number of visits to the UK by the reasons for the visit.
Of the 32.8 million visits to the UK in 2013, 39% or 12.7 million were as part of a holiday; 9.3
million or 28% were made to visit friends or relatives resident in the UK; 7.9 million or 24%
were for business and a further 2.8 million were made for other reasons.
1
ONS, Travel Trends, 2014
3
Inbound visits to the UK by reason for visit
2013
Millions
% of total
% change
2012 to 13
12.7
39%
6.4%
Business
7.9
24%
7.0%
Friends/relatives
9.3
28%
4.2%
Misc.
2.8
9%
2.3%
Total
32.8
Holiday
5.6%
Source: ONS, International Passenger Survey, via Travel Trends, 2014
Notes: Based on survey responses so subject to some sampling error
The total number of inbound visits to the UK in 2013 is up compared with 2012. Overall there
were 1.7 million or 5.6% more visitors in 2013 compared with 2012. The biggest % increase
was among people visiting the UIK for business reasons – up 7.0% or 520,000 over the year.
2.2
Inbound visitor origin
The table below shows visits to the UK by country of residence.
Visits to the UK by country of residence
2013
Visits (millions)
Total
% of total
Total spend
(£ millions)
Average stay
(nights)
Whole world total
32.8
100%
21,012
7
Europe
North America
Other Countries
24.1
3.5
5.2
73%
11%
16%
10,902
3,081
7,029
6
8
14
1,349.6
1,408.0
2,547.7
817.5
720.4
905.2
830.4
449.3
385.8
1,193.8
5
6
8
4
5
9
7
9
3
14
Top ten countries by total number of visits to the UK in 2012
France
Germany
USA
Irish Republic
Netherlands
Spain
Italy
Poland
Belgium
Australia
3.9
3.2
2.8
2.4
1.9
1.7
1.7
1.4
1.2
1.1
12%
10%
9%
7%
6%
5%
5%
4%
4%
3%
Source: ONS, International Passenger Survey, via Travel Trends, 2014
Notes: Based on survey responses so subject to some sampling error
Of the visitors to the UK in 2013, 73% were from Europe, 11% were from North America and
16% were from other countries. French visitors made 12%, German visitors made 10% and
visitors from the USA made 9% of all visits to the UK in 2013.
4
In total, foreign visitors to the UK in 2013 spent £21 billion. Visitors from the USA, France,
Germany and Australia spent £6.5 billion between them, accounting for almost a third of all
spending by foreign visitors to the UK in 2013.
2.3
Destination of inbound visits
The table below shows visits to the UK by destination in 2013.
Destinations of overseas visitors to the UK
2013
Visits
Nights
(millions)
(millions)
Total UK
Total England
Total Scotland
Total Wales
Total Northern Ireland
32.8
28.6
2.4
0.9
0.4
Total spend
(£ millions)
245.3
217.0
19.4
5.9
2.1
21,012
18,397
1,680
353
208
Top ten areas of the UK visited by overseas residents in 2013
London
Lothian (Edinburgh)
West Midlands
Greater Manchester
Kent
East Sussex
Hampshire
Merseyside
Greater Glasgow
Oxfordshire
16.8
1.4
1.2
1.2
1.0
0.7
0.7
0.6
0.6
0.6
97.4
7.3
9.7
7.3
5.7
5.4
4.5
3.7
3.5
4.0
11,256.5
625.0
525.1
479.8
313.5
312.6
273.5
252.0
226.9
332.4
Source: ONS, International Passenger Survey, via Travel Trends, 2014
Notes: Based on survey responses so subject to some sampling error
Includes all visitors to the UK
London was the most popular destination for overseas visitors to the UK in 2013. Half of all
visits by overseas residents to the UK included London. There were almost five times as
many visits including London than including Scotland, Wales and Northern Ireland combined.
45% of nights spent in England by inbound tourists were spent in London. 40% of all nights
spent by inbound tourists to the UK were spent in London.
61% of all money spent by inbound tourists in England was spent in London, and 54% of the
money spent by inbound visitors to the UK was spent in London.
5
3
Outbound tourism
3.1
Reasons for travel
The table below shows the total number of visits from the UK by the reasons for visit.
Outbound visits from the UK by reason for visit
2013
Millions
%
% change
2011 to 12
37.6
64%
4.0%
6.8
12%
-1.9%
12.5
21%
5.7%
Misc.
1.6
3%
-0.5%
Total
58.5
-
3.5%
Holiday
Business
Friends/relatives
Source: ONS, International Passenger Survey, via Travel Trends, 2014
Notes: Based on survey responses so subject to some sampling error
In total, 58.5 millions visits were made from the UK to other destinations in 2013, 3.5% up on
2012. 64% of visits abroad in 2013 were holidays. 21% or 12.5 million visits abroad were to
visit friends or relatives and 12% were for business reasons.
3.2
Destination of outbound visits
The table below shows outbound visits from the UK by the country of destination.
Outbound visits from the UK by main destination
2013
Visits (millions)
Total spend
(£ millions)
Average stay
(nights)
Whole world total
58.5
34,900
10
Europe
North America
Other Countries
45.9
3.4
9.2
21,539
3,935
9,426
8
15
21
Top ten countries by total number of visits from the UK in 201
Spain
France
USA
Irish Republic
Italy
Germany
Portugal
Netherlands
Greece
Poland
11.7
8.9
3.0
2.9
2.8
2.4
2.1
2.0
1.8
1.7
5,976
3,642
3,580
873
1,729
928
1,122
630
1,189
686
Source: ONS, International Passenger Survey, via Travel Trends, 2013
Notes: Based on survey responses so subject to some sampling error
6
9.2
7.1
14.3
5.3
7.7
5.7
9.2
4.3
10.8
10.9
11.7 million or 20% of visits by UK residents abroad in 2013 were to Spain. 8.9 million or
15% were to France. 5% of visits aboard were to the USA, 5% were to Italy and 5% were to
the Irish Republic.
Of the 10 most popular destinations for overseas visits by UK residents, the longest average
stays were in the USA (14 nights on average) and Greece (10 nights on average).
4
Impact of the 2012 Olympic and Paralympic Games on tourism
4.1
Visitor numbers
In July to September 2012, London hosted the Olympic and Paralympic Games. The ONS
published an analysis of the impact of this event on tourism to the UK.2
Overall, 471,000 people visited the UK in 2012 for an Olympic or Paralympic related reason.
Roughly two thirds of these visits took place in August. The table below shows the total
spend, length of average stay and top ten origin countries of visits to the UK for Olympic and
Paralympic reasons.
Olympics/Paralympics as main reason for visits - overseas vistors to the UK
2012
Whole world total
Europe
North America
Other Countries
Visits (000s)
% of total
Total spend
(£ millions)
471
301
83
86
100%
64%
18%
18%
731
301
168
262
Average stay
(nights)
8
5
11
16
Top ten countries by total number of visits to UK for Olympics/Paralympics
USA
France
Germany
Netherlands
Belgium
Italy
Canada
Australia
Irish Republic
Switzerland
66
54
46
46
19
19
17
15
14
14
14%
12%
10%
10%
4%
4%
4%
3%
3%
3%
135
99
31
34
9
16
34
38
10
15
11
2
4
4
3
7
11
19
4
6
Source: ONS, International Passenger Survey, via Travel Trends, 2012
Notes: Based on survey responses so subject to some sampling error
Visitors from Europe accounted for 64% of all Olympic or Paralympic related visits. The USA
accounted for 14% of visits. People visiting for Olympic or Paralympic related reasons spent
£731 million and stayed for 8 nights on average (longer than the average stay in the UK – 7
nights in 2012).
2
ONS, Visits to the UK for the London 2012 Olympic Games and Paralympics, 2013
7
As well as people who visited for Olympic or Paralympic related reasons, the Olympics may
also explain the increase in the proportion of overnight stays in London in 2012 compared
with 2011. In 2011, 39% of all nights spent in the UK by overseas visitors were in London
compared with 41% in 2012. There was also a fall of 300,000 in the number of UK residents
making visits abroad in 2012 compared to 2011 which may be partly explained by an
increased interest in staying in the UK due to the Olympics or Paralympics.
5
Domestic tourism
‘Domestic tourism’ in Great Britain involves residents taking trips of one or night within Great
Britain. In total, 122.9 million such trips were made in 2013, down 3% on the number made in
2012.3
5.1
Reasons for trip
The table below shows overnight domestic tourism in Great Britain, broken down by reason
for trip.
Domestic overnight tourism in GB by reason for trip
2013
Millions
%
Holiday
57.0
46%
Business
17.8
14%
Friends/relatives
44.2
36%
Misc.
3.9
3%
Total
122.9
-
Source: Visit England, The GB Tourist, 2013, p 7
Notes: Based on survey responses so subject to some sampling error
Includes all trips by GB residents within the UK of one night or more
46% of all domestic tourism trips were made as part of a holiday in 2013. 36% of trips were
to visit friends of relatives and 15% of trips were made for business-related reasons.
3
Source: Visit England, The GB Tourist, 2013
8
5.2
Destination
The table below shows the destination of domestic tourist trips in 2013.
Destination of GB overnight domestic tourism
2013
Trips
Spend
Millions
%
£ billions
%
England
Scotland
Wales
101.8
12.1
9.9
83%
10%
8%
18.7
2.9
1.7
80%
12%
7%
Great Britain
122.9
100%
23.3
100%
Source: Visit England, The GB Tourist, 2013, p 7
Notes: Based on survey responses so subject to some sampling error
Includes all trips by GB residents within the UK of one night or more
Domestic tourists may be residents of the country they visit
83% of overnight domestic visits in Great Britain were in England, compared to 10% in
Scotland and 8% in Wales.
Expenditure by domestic overnight tourists in Great Britain fell by 3% in 2013 compared with
2012, partly due to a 4% fall in expenditure in England where the majority of expenditure
occurs. However, overnight domestic tourists in Wales spent 7% more in 2013 compared
with 2012.
6
Tourism and the UK economy
The contribution of tourism to the economy is not straightforward to calculate. Several
industries provide services to tourists. However, these industries might provide services to
local people as well as tourists – for example, a hotel bar or a museum shop may serve local
people as well as visitors. In addition, some non-tourist related industries provide services to
tourists, such as parts of the retail industry.
These issues are addressed by the ONS Tourism Intelligence Unit which disentangles the
total contribution of tourism related industries from the direct contribution made by tourism.
The annual Tourism Satellite Account (TSA) publishes estimates of economic output related
to tourism on this basis.
6.1
Economic output
In 2013, the economic output of the tourism industry in the UK was £56 billion.4
Over the past five years, output from the tourism industry has grown considerably in the UK,
from £49 billion in 2008 to the current level, a 14% increase.
4
ONS, Estimates of the economic importance of tourism 2008-2013, December 2014. This publication uses
Gross Value Added (GVA) to estimate economic output. GVA is the value of goods and services produced by
part of the economy such as an industry or region, minus any costs incurred in production.
9
This growth mainly occurred in 2011 (9% growth compared to 2010) and 2012 (5% growth
compared to 2011). This suggests a possible ‘Olympic effect’. The tourism industry barely
grew at all in 2013 compared to 2012.
The parts of the tourism industry that have seen the biggest growth have been the food and
drink serving industry, which contributed 1.3% growth out of a total of 4.9% growth in 2012
compared with 2011. Other sub-sectors which saw strong growth were the accommodation
industry and the sports and recreational activities sector.
Tourism has grown more quickly than other industries since 2008. The following chart shows
the change in the economic output of various industries, with tourism highlighted. 5
% growth in economic output, 2008-2013, selected industries
Over this period, tourism grew by 14%, more than retail (12%) but significantly less than the
real estate industry which grew by 30%.
6.2
Employment
In 2013, there were 2.8 million people employed in tourism industries in the UK. This was 9%
of UK employment.6
Employment in tourism has grown by 5.4% since 2009, compared with 2.8% growth in total
employment.
5
Chart from ONS, Tourism grows at a faster rate than other industries Estimates of the economic importance of
tourism 2008-2013,
6 ONS, Employment in Tourism Industries, 2009-2013, September 2014
10
Employment in tourism related industries
UK, 2013
000s
Accommodation for visitors
Travel agencies and transportation
Cultural, sports and recreational
Food and beverage serving
360
500
709
1,238
Tourism related total
2,805
% of all employment
9%
Source: ONS, Annual Population Survey
Via, ONS, Employment in tourism industries 2009-2013, p5
The biggest tourism related industry is the food and beverage serving sector, employing 1.2
million people in 2013, 44% of tourism related jobs. The next biggest sector is the cultural,
sports and recreational sector, employing 709,000 people 25% of tourism employment.
Tourism employment is larger in the UK compared to many other countries, as the following
chart shows. 7
Of the countries featured below, the UK has the third largest tourism industry as a proportion
of employment – 9%. This compares to Spain with 14% and Brazil with 11%. Countries with
smaller tourism sectors include Germany with 6% and France with 5%.
Employment in tourism as a % of total employment
2012
16%
14%
12%
10%
8%
6%
4%
2%
0%
7
The Government’s tourism strategy
Tourism is a wholly devolved policy area, which in England comes under the responsibility of
the Department for Culture Media and Sport (DCMS). The Development of Tourism Act
1969 established the Wales Tourist Board, the Scottish Tourist Board (now VisitScotland)
and the English Tourist Board and British Tourist Authority (now VisitBritain).
7
ONS, Employment in Tourism Industries, 2009-2013, September 2014, p 2
11
The Government Tourism Policy was published on 4 March 2011 by the Department for
Culture, Media and Sport. This announced that the Government aimed to:

Fund the most ambitious marketing campaign ever to attract visitors to the UK in
the years following 2012. The £100m campaign, co-funded by the government
and the private sector, aims to attract 4 million extra visitors to Britain over the next
4 years. That equates to £2bn more spend in our economy, and 50,000 new jobs.

Increase the proportion of UK residents who holiday in the UK to match those who
holiday abroad each year. For longer stays (4 nights or more) this would mean
29% of travellers holidaying in Britain rather than just 20% today…

Improve the sector’s productivity to become one of the top 5 most efficient and
competitive visitor economies in the world.8
The Plan for Growth, published alongside the Budget in March 2011, considered tourism
alongside other industries and set out a series of actions to encourage growth in the sector.
These included plans to increase the number of apprenticeships and other courses teaching
hospitality and to make it easier for tourists to visit the UK by increasing the number of visa
biometric ID visa centres around the world and to move to online visa processes.
The Government intends to the sector’s reliance on taxpayer funding and increase the
amount of money available for “collective destination marketing”, and create a “sustainable
new model of destination marketing and management” the back of 2012 Olympic games,
allowing tourism to come of age as an independent and self-confident sector of Britain’s
economy.9
7.1
Overseas marketing
There are two official campaigns involved in marketing Britain overseas: the ‘GREAT Britain:
You’re invited’ campaign and the GREAT image campaign.
The ‘GREAT Britain: You’re invited’ campaign was announced in January 2011.10 This
campaign seeks to attract visitors who have never been to Britain before; to encourage prior
visitors to return; and to provide opportunities and incentives to visit Britain. It was
announced in the Autumn Statement 2013 that funding for this campaign would be increased
by 50% to a total of £45 million in 2014/15 and 2015/16. This campaign is match funded,
meaning that the Government will provide at total of around £23 million in each of next two
financial years, with the remainder of the funding coming from the private sector.11
The GREAT image campaign is campaign that is funded separately from the GREAT Britain:
You’re invited campaign. The GREAT image campaign was announced in February 2012 by
the Prime Minister David Cameron. It is employed by all of the agencies across Government
that seek to market Britain overseas, including UKTI, the British Council and the Foreign and
Commonwealth Office. The first phase of the tourism campaign targeted nine countries, with
adverts appearing in: Beijing, Berlin, Los Angeles, Melbourne, Mumbai, New Delhi, New
York, Paris, Rio de Janeiro, Sao Paulo, Shanghai, Sydney, Tokyo, and Toronto. DCMS has
stated that around 70 per cent of the population in each of the target cities will saw the
8
Department for Culture, Media and Sport, Government Tourism Strategy, March 2011, p7
Government Tourism Plan, 4 March 2011, p 8
10 VisitBritain, GREAT Britain: You’re invited, website
11 HM Treasury, Autumn Statement 2013, 5 December 2013, p 100
9
12
advertising on billboards, TV, or in the cinema.12 VisitBritain was allocated £17 million for the
GREAT image campaign in 2014/15.13
The combined objectives of these campaigns are to achieve the following by March 2015:

4.6 million visitors

£2.3 billion visitor spend

57,000 job opportunities

£460 million in tax revenues
Progress against these targets is measured on the VisitBritain website and in the VisitBritain
annual reports, the most recent of which was published in October 2014: VisitBritain: Key
performance indicators 2013/14.
The Tourism Alliance has stated that their concern that with the campaigns:
…the Government’s committed expenditure (£12.5m per annum for four years from VisitBritain’s
greatly reduced grant) is insufficient to achieve the targeted £2bn Olympic Tourism legacy and
50,000 new jobs. By comparison, New Zealand spends more than the combined marketing
budgets of VisitBritain, VisitScotland and VisitWales on its “100% Pure New Zealand” campaign
and, in 2011, Tourism Ireland will spend more on marketing in the UK than VisitBritain has to
promote the UK in all international markets.14
Further information on VisitBritain’s strategy for attracting overseas tourists to Britain can be
found in Delivering a golden legacy published in April 2013. This sets an ambition to attract
40 million visitors and earn £31.5 billion (in real terms) from inbound tourism by 2020. This
would support 200,000 additional jobs across the UK per annum. The key elements of the
strategy are:15

Improve Britain’s image abroad, by building on the work of the GREAT campaigns.

Work with the travel trade in key markets to increase awareness of the UK as a
holiday destination via brochures and package products, and also as a location for
business events and conferences. Package and promote more areas of the UK to the
trade.

Improve the range of product on offer. Food and drink and mid-range accommodation
are areas of perceived weakness in Britain according to potential tourists surveyed by
VisitBritain

Make Britain easier to visit by encouraging the development of more air routes to
Britain and by working with the Home Office and the Foreign and Commonwealth
Office to challenge misconceptions about the visa regime and improve the visa
application process.
12
DCMS, Britain's biggest ever international tourism campaign goes global, 9 February 2012
VisitBritain, press release: On track to outstrip GREAT campaign targets, 8 October 2014
14 Tourism Alliance, Tourism for Growth, p4
15 VisitBritain, Delivering a golden legacy: a growth strategy for inbound tourism to Britain, 2012-2020, April 24
2013, p35
13
13
7.2
Increasing domestic tourism
One of the Government’s aims set out in the paper is to:
Increase the proportion of UK residents who holiday in the UK to match those who holiday
abroad each year. For longer stays (4 nights or more) this would mean 29% of travellers
holidaying in Britain rather than just 20% today (creating 4.5m extra domestic trips each year,
£1.3bn more spend and 26,000 new jobs). And if we can replicate this scale of improvement
for shorter stays as well, we will create a further £750m of spend and 11,000 new jobs.16
The policy document continues:
Britain usually runs a large tourism trade deficit because we are far more likely to travel abroad for
our holidays than most other countries. Currently, less than 40% of our total holiday spending goes
on domestic tourism – roughly a 2:1 trade deficit. And these recent figures are probably rather
optimistic; before the effects of a low pound, recession and a volcanic ash cloud had taken their
toll, the average for 2006-08 was just 31%. We’re worse than our neighbours too: just 21% of us
holiday at home, compared to 28% on average for other European countries. But 29% of us
holiday abroad compared to just 16% in the rest of Europe.17
In 2010, UK tourists spent £30.9 billion on trips overseas whereas overseas residents spent
£16.7 billion on trips to the UK; a balance of payments of £14.2 billion.18 The percentage of
UK tourism expenditure spent on domestic tourism has risen from 36% in 2007 to 40% in
2010.
To boost domestic tourism, the strategy paper suggested moving the May Day bank holiday
to October to extend the tourism season. On 12 May 2011 the Government launched a “preconsultation” these proposals.19 In April 2012 the Government stated that a decision about
the outcome of the pre-consultation would be made “in due course”.20 The strategy paper
also raises the possibility of encouraging domestic package holidays.
7.3
VisitBritain and the future of tourism bodies
In October 2010 the Government announced that the resource grant-in-aid budget for
VisitBritain and VisitEngland would be cut by 34% in real terms by 2014-15. The total grant
in aid budget for both organisations (including capital) will be £128.6m over four years.
VisitBritain’s total grant in aid over this period accounts for £95.7m, and VisitEngland
accounts for £35.9m. The Secretary of State’s letter to the Chair of VisitBritain stated that:

Funding for the following top priority programmes to be protected as far as
possible:
-
VisitBritain’s core international marketing and PR activity in the top and
emerging international markets. This will be provided in the expectation that it
is matched by the private sector;
16
DCMS, Government Tourism Policy, March 2011, p7
Ibid, p15. The policy document uses information published by Eurostat on participation in tourism - Eurostat,
Tourism statistics in the European Union 2008 data, 2010, p11
18 ONS, Quarterly Overseas Travel and Tourism, Q4 2010 and
19 DCMS, Pre-Consultation on moving the May Day Bank Holiday, May 2011
20 HC Deb 26 April 2012 c875W
17
14
-

VisitEngland’s investment in and support for destination management
organisations and the local businesses, local authorities and enterprise
partnerships involved in tourism.
your administration budgets to be cut by around 50% in real terms which will lead
to:
-
downsizing and refocusing VisitBritain’s overseas presence;
-
ceasing VisitBritain’s advocacy function, though continuing to inform DCMS
Ministers’ own advocacy within Whitehall on behalf of the sector;
-
rationalising VisitEngland’s involvement in and the delivery of the quality
schemes and the digital platforms.21
For more information (including a breakdown by year and by resource and capital budgets
for each organisation) see the Spending Review letter sent from DCMS to VisitBritain on 20
October 2010.
The 2011 tourism strategy announced changes to the role of VisitBritain, and changes to
local tourism bodies. VisitBritain was to be “refocused” on “researching, creating and
delivering a series of marketing campaigns to attract ever-greater numbers of inbound
travellers to the UK”.22 Other existing responsibilities would be transferred to VisitEngland or
abolished altogether.
The tourism strategy also pledged to “modernise and update local tourism bodies to become
focused and efficient Destination Management Organisations (DMOs)”.23 DMOs will be
bodies involving local tourism support bodies, local attractions and interests, local business
networks, the new Local Enterprise Partnerships and local councils. DMOs will define their
own boundaries and areas of responsibility. The strategy states that once the boundaries,
role and governance of the DMOs has been established, they would need to become less
reliant on public funds and instead be funded through partnerships with the private sector in
the same way as the VisitBritain national marketing campaign described above.
Government funding for tourism has previously been delivered through a variety of channels,
including local authorities, Regional Development Agencies and VisitBritain, the central
public body tasked with promoting tourism. With all of these organisations facing cuts to real
term spending (or abolition in the case of RDAs) over the course of the Spending Review
period, there are concerns that tourism will not benefit from the same levels of support it has
enjoyed in the past. Some functions of the RDAs will be taken on by new Local Enterprise
Partnerships (LEPs), although these are not directly replacing the regional bodies.24 The
Tourism Alliance has expressed concerns regarding the impact of transition from RDAs to
LEPs on tourism promotion:25
If the new LEPs are not established in a coherent and coordinated manner, providing
national coverage for tourism businesses, the future cohesion within the industry, and the
21
Letter for the Secretary of State for Culture Media and Sport to the Chair of VisitBritain, 2010 Spending Review,
20 October 2010
22 Department for Culture, Media and Sport, Government Tourism Strategy, March 2011, p21
23 Ibid, p21
24 For background on LEPs see Standard Note SN/EP/5651, Local Enterprise Partnerships
25 Tourism Alliance Submission to BIS Inquiry: The New Local Enterprise Partnerships, 13 August 2010
15
implementation of national programmes for tourism development, including the new National
Tourism Strategy for England, could be seriously compromised.
The Alliance argued that there is a danger that tourism development will be lost in the
transition between RDAs and LEPs, claiming “it seems likely that some essential core
tourism development tasks previously carried out via the RDAs will be terminated before the
new arrangements are in place”.26 They note that it remains unclear where responsibility for
implementing the National Tourism Strategy will lie under the new arrangements and express
further concern that knowledge and contacts built up by RDAs could be lost. 27
On 31 October 2011 it was announced that VisitEngland had been successful in bidding for
funding from the Regional Growth Fund. The funding is to be allocated to a number of
destination partners in England. VisitEngland has stated that their partners include Marketing
Manchester, Marketing Birmingham, Bath Tourism Plus, Visit Peak District and Derbyshire,
Cumbria Tourism and Visit York. In addition to targeted activity in these areas there will be a
series of thematic campaigns focusing on countryside, heritage, coastal and business
tourism.28
26
27
28
Ibid
For background on LEPs see Standard Note SN/EP/5651, Local Enterprise Partnerships
Visit England, VisitEngland’s Regional Growth Fund Bid is Successful
16