Chiefs powerless over tourism slump
A RECESSION could cost UK tourism £11bn – as much as the sector is worth to the North West each year, it emerged today.
And in a grim warning, regional tourism bosses, say there is little they can do to stop a slump, caused by the global economic downturn.
A Deloitte report commissioned by VisitBritain says the UK’s £114bn tourism sector could lose £11bn and 114,000 jobs over the next three years because of the recession.
Nick Brooks-Sykes, head of tourism marketing at the North West Regional Development Agency, says there is little the body can do in isolation to arrest plunging visitor numbers.
“That’s the million dollar question,” he said. “A lot of this is out of our control – such as the price of aviation fuel and if airlines are looking at continuing their routes to the region.”
This month British Airways has axed its direct Manchester to New York flights and last week BMI said it would cease Manchester to Chicago from early in the new year.
Mr Brooks-Sykes is concerned that room rates in Liverpool and Manchester hotels will fall, to keep occupancy rates up.
“Volumes are staying high in Liverpool and Manchester but the danger is that the rates will become lower. People will still be coming, but they will be spending less,” he said.
But he feels Liverpool, particularly, is in a stronger position because of Capital of Culture.
“Confidence is high in Liverpool. I think that will continue in the short-term and it can ride on the back of Capital of Culture through 2009 at least. There is a level of awareness and excitement about Liverpool both nationally and internationally.”
Mr Brooks-Sykes said there would be good news in January, when the NWDA confirms the funding of the five sub-regional tourist boards for a further three years, from April 2009 to 2012.
From 2003-07, the number of visitors to the North West from overseas grew by 61% against a national average of 33%, according to the NWDA, which took over the delivery of the region’s tourism strategy in 2003.
