Credit crunch warning from VisitBritain

VisitBritain is warning the volume of inbound tourism in 2008 will be below the figure achieved last year, blaming the current economic downturn on a reluctance of overseas visitors to travel to the UK.

The first half of next year is expected to be particularly slow, while annual growth in visits will pick up in the second half of the year, according to the organisation’s latest report, which says the value of inbound tourism will remain static in real terms during 2008.

The tourist board predicts that, although 2008 presents a “host of opportunities” to grow the inbound visitor market, including Liverpool becoming European Capital of Culture, the opening at Heathrow Terminal 5 and the handing over of the Olympic torch, the credit crunch will have a detrimental effect on travellers, particularly those from the US.

“With still no end in sight to the current turmoil in the global economy the prospects for inbound tourism in 2008 are not looking as good as they should,” says the report.

It adds that analysts continue to forecast further weakening in the value of the US dollar, which will make Britain even more expensive for American visitors.

UKinbound, which has already warned of a decline in US travellers, was among the contributors to the report. 

Meanwhile, Enjoy England is to continue its City Breaks and Rural Escapes campaigns in 2008, in a bid to kick start domestic travel. Rural Escapes will run until May, while City Breaks will run until September.

Meanwhile, 18% of British adults are planning at least one overnight trip away over the coming fortnight. Of these, 62% plan to visit England, 13% Scotland, 3% Wales and 32% are planning to travel overseas.

By Lisa James