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East Leicestershire Tourist Accommodation Study

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East Leicestershire Tourist Accommodation Study EAST LEICESTERSHIRE TOURIST ACCOMMODATION STUDY Report of Key Findings Prepared for: Leicestershire County Council January 2015 East Leicestershire Tourist Accommodation Study __________________________________________________________________________________________ CONTENTS EXECUTIVE SUMMARY ............................................................................ i 1. INTRODUCTION .................................................................................. 1 1.1 Background to the Study ............................................................................................................ 1 1.2 Study Objectives ........................................................................................................................... 2 1.3 Study Uses ...................................................................................................................................... 2 1.4 Study Coverage............................................................................................................................ 3 1.5 Methodology ................................................................................................................................. 3 1.6 Report Structure ............................................................................................................................ 5 2. EAST LEICESTERSHIRE TOURIST ACCOMMODATION SUPPLY............. 6 2.1 Current Supply ............................................................................................................................... 6 2.2 Recent Changes ........................................................................................................................ 18 2.3. Tourist Accommodation Schemes Under Construction ...................................................... 21 3. EAST LEICESTERSHIRE TOURIST ACCOMMODATION PERFORMANCE & MARKETS ....................................................................................... 22 3.1. Research Undertaken ................................................................................................................ 22 3.2 Tourist Accommodation Performance ................................................................................... 22 3.3 Key Markets ................................................................................................................................. 28 3.4 Market Trends .............................................................................................................................. 32 3.5. Denied Business/ Accommodation Shortages ..................................................................... 33 4. THE POTENTIAL FOR GROWTH IN DEMAND FOR TOURIST ACCOMMODATION IN EAST LEICESTERSHIRE ................................. 34 4.1 The Views of East Leicestershire's Tourist Accommodation Businesses ........................... 34 4.2 The Strategic Context for Growth in Demand ...................................................................... 35 4.3 National Demand Trends & Forecasts .................................................................................... 38 5. RURAL TOURIST ACCOMMODATION DEVELOPMENT TRENDS ........ 39 5.1. Key Trends of Relevance to East Leicestershire .................................................................... 39 6. INTEREST IN TOURIST ACCOMMODATION DEVELOPMENT IN EAST LEICESTERSHIRE ................................................................................. 40 6.1 Tourist Accommodation Development Proposals ............................................................... 40 6.2. Support Requirements ............................................................................................................... 41 7. CONCLUSIONS & RECOMMENDATIONS ......................................... 43 7.1. Tourist Accommodation Development Priorities in East Leicestershire ............................ 43 7.2. Proposed Tourist Accommodation Development Support Programme ......................... 45 7.3. Next Steps .................................................................................................................................... 49 APPENDICES 1. Glossary of Definitions – Visitor Accommodation 2. Tourist Accommodation Businesses Interviewed 3. Survey of Small Accommodation Businesses 4. National Tourism Market Trends & Forecasts 5. Rural Tourist Accommodation Development Trends in the UK 6. Summary of Findings of the Land & Property Owner Survey 7. East Leicestershire - Potential Tourist Accommodation Projects Hotel Solutions January 2015 East Leicestershire Tourist Accommodation Study __________________________________________________________________________________________ Lynn Thomason Andrew Keeling Hotel Solutions Hotel Solutions Deleanor House Mill Field House High Street Mill Fields Coleby Bassingham Lincoln Lincoln LN5 0AG LN5 9NP t. 01522 811255 t. 01522 789702 e. [email protected] e. [email protected] Hotel Solutions January 2015 East Leicestershire Tourist Accommodation Study __________________________________________________________________________________________ EXECUTIVE SUMMARY __________________________________________________________________________________________ Study Purpose The main purpose of the study is to provide a clear understanding of the future potential for tourist accommodation development in the East Leicestershire LEADER Area and the role that Leicestershire County Council and its public sector partners can play to realise this potential, both through the LEADER Programme and in other ways. Current Tourist Accommodation Supply There are currently 145 tourist accommodation establishments in East Leicestershire offering a total of 3,751 letting bedspaces. The area has a wide range of different types of visitor accommodation, including some niche offers. The greatest bedspace capacity is in hotel accommodation and caravanning and camping provision. Other forms of serviced accommodation (inns, restaurants with rooms, guest houses and B&Bs) account for just under 14% of total bedspaces, while self-catering accommodation makes up 6.5% of the area's tourist accommodation supply. There is only one glamping (luxury camping ) site and nothing in terms of group and youth accommodation such as a youth hostel or bunkhouse barn. Two thirds of East Leicestershire's accommodation supply is in Harborough District and around a third is in Melton Borough. Just 5% of the area's bedspace capacity lies in the Charnwood part of the LEADER Area and there is no accommodation in the Blaby section. Quality varies significantly from luxury country house hotels to low grade hotels and pub accommodation. There is nothing currently in terms of boutique accommodation. The area's accommodation businesses are generally small in size. There are no large hotels, no sizeable holiday cottage complexes with leisure, no holiday lodge park of any scale and few 'super' holiday cottages that can cater for family and friend get togethers, celebrations and reunions. The area has very little accessible accommodation. East Leicestershire's accommodation supply has increased and improved in terms of hotel, self-catering and caravanning and camping provision but reduced in terms of B&B and pub accommodation supply. A Premier Inn budget hotel is about to open in Melton Mowbray and work is underway on a large new holiday lodge park at Asfordby and a major new canal boat marina at North Kilworth. i East Leicestershire Tourist Accommodation Study __________________________________________________________________________________________ Current Performance and Markets There is strong demand for all forms of tourist accommodation across East Leicestershire at weekends, other than for canal boat holiday hire and lower grade hotels and pub accommodation. Many accommodation businesses of all types trade at full capacity and turn business away on most weekends between April and October. Midweek occupancies are generally lower for most types of accommodation other than independent 3/4 star, budget and lower grade hotels, some 4 star inns, a few B&Bs , self- catering establishments and touring caravan and camping sites in the summer school holidays, and the Ragdale Hall health hydro. Key markets are: • Local corporate business during the week for 3/4 star , budget hotels and one country house hotel; • Residential conferences in the week for one luxury country house hotel; • Midweek demand from contractors for budget and lower grade hotels; • Weddings parties at weekends for hotels, inns, guest houses and B&Bs; • Weekend breaks for self-catering businesses and touring caravan and camp sites. There are clear shortages of hotel accommodation in Market Harborough on Tuesday, Wednesday and Saturday nights, and weekend shortages of self-catering accommodation and caravanning and camping provision across East Leicestershire. The new Premier Inn in Melton Mowbray should satisfy any shortages of hotel accommodation here and may challenge some of the town's independent 3 star hotels. ii East Leicestershire Tourist Accommodation Study __________________________________________________________________________________________ Future Growth Prospects There are good prospects for future growth in demand for all forms of tourist accommodation in East Leicestershire: • Accommodation businesses are optimistic about their future prospects; • The strategic context for growth is positive in terms of economic, tourism and population growth that will deliver greater demand for tourist accommodation;
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