UK tourism ‘no candy floss industry’ – Conservatives
Shadow culture secretary Jeremy Hunt believes tourism could generate an additional £22 billion for the economy and 50,000 jobs if the government took action to help.
Giving a keynote speech at a Conservative Party tourism summit in Brighton, he called for the structures that promote UK tourism to be radically simplified.
Local authorities also need to be incentivised to take tourism seriously.
Hunt called on the government to take on a package of measures to help the UK tourism industry:
- Replace Regional Development Agencies by allowing local authorities to form enterprise partnerships to promote economic development.
- Allow local authorities to keep any increase in business rates receipts from business growth they get for six years.
- Give local authorities a new power to give business rate discounts as they see fit.
- Reduce corporation tax rates on small companies from 22p to 20p, so reversing the government’s £370 million tax hike.
- Cut payroll taxes for the smallest employers to help them save money and so keep jobs.
- Allow small and medium sized businesses to defer their VAT bills for up to six months
“As we seek to rebuild our economy, it has a vital role to play in rebalancing the economy away from dependence on financial services, housing and debt.
"We have proposed allowing local authorities to keep any increase in business rates that they attract for six years.
“They will therefore have a real incentive to attract new tourism businesses.
“And we will help them attract these new businesses by giving councils the discretionary power to cut business rates however they like.
“This will give them a real incentive to support the development of a local tourism industry."
Hunt called for a longer term vision for tourism “as a thriving part of a rebalanced and sustainable British economy”.
He said: “This vision has been totally lacking from the current government – but I also think it is fair to say that tourism has been neglected by successive governments of all colours. I want to put that right.”
Hunt said that a Conservative tourism minister would chair an inter-departmental ministerial group to deal with issues such as planning, immigration and transport that have a direct impact on tourism.
“This would mean there is a voice at the heart of Government that could speak up for the tourist industry before the Home Office doubles visa charges,” he said.
“It would not necessarily prevent changes being made that are unpopular with tourist businesses – but it would ensure that the impact on the tourism industry is properly considered before decisions are taken.”
Hunt said his party wanted to see a clearer structure for the marketing of both domestic and international tourism.
“I welcome the emergence of a stronger Visit England, working together with Visit Scotland and Visit Wales. But the picture is still extremely complicated, not least by the role of regional development agencies,” he said.
“I know that some do a good job at marketing tourism – One North East in particular.
“Our plans will disband RDAs, but allow local authorities to combine forces to continue their work where they choose to do so.
“This will be part of much broader strategy to encourage local authorities to take a real interest in and ownership of the promotion of tourism for their areas.
“Our decentralisation plans will allow local authorities to keep any increase in business rates that they attract for six years. They will therefore have a real incentive to attract new tourism businesses.
“And we will help them attract these new businesses by giving councils the discretionary power to cut business rates however they like. This will give them a real incentive to support the development of a local tourism industry. Seaside towns could, for example, direct such discounts at tourism businesses if they decided they had a strategic regeneration role.”
*See linked story.
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