The UK’s tourism industry is one of the country’s most successful sectors, driving export income and securing a positive international reputation.
It is also resilient to the pressures of recession and austerity in ways that other industries, such as finance or manufacturing, are not. So why is the government not championing it more?
According to the CEO of
UKinbound, a leading trade organisation, “it’s the default position from not only the politicians but also the general public, that when you talk about the UK’s successful industries you are still thinking about things like car manufacturing, pharmaceuticals and financial services and I think just a recognition of the fact that tourism is up there with those kind of organisations and industries I think is quite surprising to people.”
Deirdre Wells has been in the role for over a year and is keen to raise the profile of the sector as the general election approaches.
Inbound tourism “accounts for £22bn in revenue to the UK last year,” she says.
“Just to put it in context that makes 'inbound tourism' the 7th biggest export earner for the UK so it is really hugely important. It is an industry that has done very well when the economy wasn’t doing particularly well. Revenues over the last 8 years have gone up by a third from inbound tourism. It is, I would say, one of the UK’s success stories.”
For more than three decades UKinbound has been championing the sector and represents over 300 of the UK’s top tourism businesses.
As May draws close the organisation is calling on the next government to acknowledge the vital contribution the travel trade makes to the UK economy, to invest in the necessary infrastructure required to welcome and transport more visitors and commit to supporting the industry for nationwide growth, maintaining the UK's competitiveness'.
Although the industry has created 1 in 3 jobs over the past five years, its contribution to UK employment is sometimes overlooked, as is the quality and potential of that employment, according to Mrs Wells.
“I don’t think there is a single constituency in the UK that is not affected by tourism. In many constituencies tourism can provide employment at a local level, where perhaps other industries have been unable to do so - destinations that have previously relied on mining or other hard manufacturing which is no longer around or where farming is in decline – tourism is able to provide employment and local employment in areas that need it most…
“There is a real opportunity for MPs to ensure that their Local Enterprise Partnerships are focussing on tourism and particularly around the employment potential that tourism brings, particularly for young people. It’s a very good industry for a first job but also has the real capacity for accelerated promotion.
“A number of our attractions particularly have a whole range of apprenticeships – from horticulture to customer services, you name it. It’s a very wide ranging industry and quite a fun industry for young people to get involved with. We have got a duty really to signpost people towards it.
“I am hoping that the new government will continue the work that was started by the Tourism Industry Council that was set up by this government to really look at how we can maximise the employment opportunities that this industry provides.”
The potential employment opportunities are just one of the benefits the sector can offer if it is encouraged and enabled to grow by policy makers. That is why removing some of the barriers to that growth is high on UKinbound’s agenda.
Mrs Wells sees the perception of the UK as an expensive destination as a hindrance that could be addressed through tax reform.
“We are frequently between about the 5th and 3rd most desirable destinations in the world, which is fantastic... But when you look at us from a taxation perspective we are 139th in the world in terms of the tourism taxes. So, to a certain extent we feel that we are fighting with one hand tied behind our backs.
“We are one of only three countries in Europe that currently has a full rate of VAT for tourism and hospitably. We are perceived to be an expensive destination and issues such as our taxation is not helping that.
“We would like to see the Government recognise how much we can contribute to the economy and also develop a fiscal support system that recognises that. We understand that that is a difficult ask right now, and there have been some welcome developments, but certainly we would like them to at least recognise that there are further challenges there and agree to keep monitoring it.”
Physical infrastructure is equally important however, and improving the UK’s transport network is also key to supporting tourism, Mrs Wells suggests.
She identifies increasing airport capacity in the South East as an essential project and would like to see decisions in the issue made as soon as possible in the next parliament.
“We are awaiting with some interest the outcome of the Davies Commission,” she says.
“The key thing is that whatever decision is taken is future proof. We don’t want anything that is going to be short-term. Whatever we have to do is going to be difficult and expensive so let’s do it right, let’s make sure that we keep the UK, and London particularly, as an international hub and an airport that is still able to receive visitors and deal with the growth over the next 40/50 years not just something that will give support for the next ten years…
“Uncertainty around future infrastructure is something that is difficult for my members. We would want the decision to be one of the first things to be done by the new government when they come in.
“We don’t have a particular preference as to whether it is Heathrow or Gatwick. We have said actually what we would like to see is both increased, because I think that would give us the capacity that we need to be able to deal with the demand, the projected demand particularly from emerging markets where the growth is just exponential and we really need a solution that is future proof and also increases capacity within the regions too.”
Usability of UK transport is also a priority for Mrs Wells as she sees it as playing an important role in encouraging visitors to the UK to venture out of the capital.
“I think one of the key things we would like to see is more support for the leisure industry in making our transport system more transparent and understandable and also reviewing our ticketing system – making that more customer friendly.
“We are still in the situation where over half of the visitors that come to the UK only come to London, but when we’ve surveyed them 77% of people said they would be quite interested in going outside of London and they would do so if they had more knowledge of travel times around the UK and how to get there.”
So, what would Mrs Wells recommend for first-time tourists?
“That’s the great thing about the UK, whether it's rolling countryside, great food, fantastic shopping or world class sport and culture - we've got it all - so tourist's are spoilt for choice no matter what their interests.”
___________________________________________________________________________________________
UKinbound is a leading trade association within the tourism industry and the only association dedicated to promoting inbound tourism to the UK.
Providing a voice for tourism on behalf of over 300 members, UKinbound exists to addressing the current limitations preventing the UK from reaching its full tourism potential. For over 35 years, UKinbound has been uniting the UK’s top tourism businesses, providing B2B opportunities via an extensive events programme, to ensure the UK is export ready internationally.
By generating awareness of the importance of inbound tourism to the UK economy, UKinbound works with the Government to try to reduce the restrictions which are in place; whilst also raising the profile of the benefits and potential our valuable industry can deliver with the aim of growing the number of international visitors travelling to the UK each year.
For more information, please visit
www.ukinbound.orgor contact
marketing@ukinbound.org.