OVERVIEW AND SCRUTINY COMMISSION
TASK AND FINISH GROUP
ECONOMY OF THE DISTRICT – BARRIERS AND BLOCKAGES TO GROWTH
TOURISM
1.0 TOURISM
1.1 TOURISM in the UK
Tourism is the sixth largest industry employing 1 in 11 of all people working in the UK and generating 115bn every year for the UK economy.
Over 80% of the 249,000 tourism businesses in the UK employ less than 10 people.
It is felt that this industry will be one of the keys for rebuilding the UK economy and for generating employment, especially where it is most needed such as in rural communities or among young school- leavers.
A new full time equivalent tourism job is created and sustained with every £50,000 increase in tourism revenue.
In 2011 the inbound tourism revenue grew at over 5 times the rate of the economy as a whole while it is estimated that domestic tourism revenue will end the year 14% higher than in 2010.
Tourism is a significant incubator of entrepreneurs – despite the economic downturn there were 21,580 businesses start-ups in 2009.
The sector is a large employer of school leavers and young people. 44% of people employed in the sector are under the age of 30%.
It is also a significant source of employment for those unable to work full time. Nearly half the sectors workforce is part time.
For every 1% increase in the cost of visiting the UK, the UK’s tourism earnings drop by 1.3%.
The UK is ranked the 6th most competitive country in the world for tourism, but is ranked at 135th out of 139 countries in terms of taxation on tourists.
The UK is one of only three EU countries to charge tourists full-rate VAT on accommodation, meals and attractions.
The three main aspects where we are uncompetitive internationally relate to: VAT rates, Visa Requirements and Air Passenger Duty.
The UK is the sixth largest international tourism destination ranked by visitor
1 numbers. The first five destinations are France, USA, China, Spain and Italy
Total Revenue from Tourists in 2010 was £110bn and in 2011 was 125bn
The average visitor spend per visit is £580.00
The average length of stay is 7.6 nights
Total spending by international students on all types of course in the UK, from English language to doctoral degrees was estimated to be £14 billion with a potential to grow to £20 billion by 2020.
2.2 Tourism in Harrogate
To assist the Commission, information has been taken from the Harrogate Website which details the support we are currently providing to this sector and also the information our customers will see when searching our tourism pages
HBC Website – Support for business – APPENDIX A http://www.harrogate.gov.uk/Pages/harrogate-6137.aspx?lgnl=100009,200096 HBC Website – Enjoy Harrogate – APPENDIX B http://www.harrogate.gov.uk/tour/pages/harrogate-266.aspx
Stakeholders from the public and private sectors are working together in order to help establish a new Destination Management Organisation (DMO) to maximise the value of tourism in Harrogate district. This is in response to the Government’s move from regionalism to localism detailed in the policy paper Local growth: realising every place’s potential published in October 2010.
The district also sits within two Local Enterprise Partnership areas – York and North Yorkshire, and Leeds City Region – both of which have publicly stated that tourism will be a priority as the LEPs look to become established over the next 12 months in replacing the outgoing regional development agency, Yorkshire Forward, which will close in March 2012.
The statistics provided for the Commission have been taken from the details provided to these groups from the following sources:
The Regional Visitor Survey attracted over 30,000 responses over three years, and gives an insight into the perceptions, attitudes and behaviours of visitors to the region. Business Tourism Research combines several surveys of conference organisers, conference venues and business visitors and gives a measure of the volume and value of business tourism in the region.
These two elements of tourism are looked at individually because the sample sizes from the Regional visitor survey give robust results at a district level. The date from the Business Tourism Research is not considered robost other than at Regional level.
2.3 Leisure Tourism – Day, staying overnight for holiday purposes or with friends.
In 2009, 9 million trips were made to our district.
These trips generated 448 million pounds in visitor spend.
2 This equated to a Gross Value Added (GVA) impact of 280 million.
14500 jobs were supported by Leisure Tourism during 2009.
98% of leisure visitors to Harrogate are from within the UK.
¾ of Leisure visitors were day visitors.
Overnight stays average at 3.39 nights.
Two thirds of these visitors came from within the Yorkshire & Humber region.
9 in 10 leisure visitors travelled to Harrogate by car, van or motorhome.
When in the district, walking was the main mode of transport adopted by visitors.
Over 50% of leisure visitors visit with their partner.
41% of leisure visitors to Harrogate are aged 55. This is 13% higher than the regional average.
Our visitors are very loyal, in 2010 only 20% were first time visitors compared to a regional average of 26%.
69% had visited up to 5 times within the past 2 years.
Over 90% said their last trip was for leisure purposes.
91% were likely or very likely to return to Harrogate in the next 2 years.
97% would be likely or very likely to recommend Harrogate as an area to visit.
Of the visitors that do stay, 46% stay in a Hotel or Motel, 22% Caravan or camping and 12% opt for self-catering accommodation.
The regional survey indicated that leisure visitors who stay in serviced accommodation spend approximately 30% more.
Staying visitors in Harrogate were less likely to book their accommodation by internet than the regional average. 61% booking directly with the provider over the telephone.
x 47% visited used our shops x 61% used places to eat and drink x 44% used attractions/museums x 98% found it easy to find their way around x 99% rated cleanliness of streets as good or very good. x 40% Used public toilets with 86% rating cleanliness as good or very good. x 84% used Car Parking facilities. 52% saying rating the cost as good or very good.
Every rating for Harrogate detailed above came out higher than the regional average.
3 When asked for suggestions on how we could improve: x 8% wanted better signage. x 5% for car parking. x 4% said the area needed better upkeep. x Two thirds of leisure visitors would not improve anything.
2.4 Business tourism A business visitor who may be defined as a traveller whose main purpose is to attend an activity or event associated with their business interests.
In 2009 there were 1.3 million business tourism trips to the district.
This generated over £230 million, which ranked us as the second highest growing business centre in the region behind Leeds.
9500 jobs are supported by business tourism.
2.5 We are unable to bring a list together relating to all the businesses who contribute to providing the tourism service within out district as not all the trade from these types of business will be a result of tourism. We suggest the Commission send the questionnaires to the following organisation types: x Hotels and Restaurants
x Camping sites and other provision of short stay accommodation
x Canteens and catering.
x Recreational, cultural and sporting activities
x Library, archives, museums and other cultural activities
x Recreational, cultural and sporting activities
The other choices to include were:
x Motion picture and video activities
x Radio and television activities
x Other entertainment activities
x News agency activities
x Sporting activities
2.6 Tourism in Yorkshire These stats cover the County of Yorkshire plus part of North Lincolnshire.
In 2009, there were 10.6 million domestic overnight trips to Yorkshire, generating a total spend of £1.5bn.
1.1 million inbound visits to the region, together accounting for £0.46bn
4 Where do Domestic Overnight Visitors to Yorkshire Come From
Where do inbound visitors to Yorkshire come from:
5 2.7 The Great Britain Travel Survey (GBTS) reveals trips to the region increased by 14% in the first quarter of 2011.
The figures came in as the regional tourism agency confirmed officials from the Tour de France are to visit the region in October.
The agency said hosting the event in 2016 would attract even more visitors.
The regional tourism agency, Welcome to Yorkshire, is bidding to host the opening stages of event.
They agency say major events play an important role in maintaining the region's high-profile at home and abroad.
The figures from the GBTS reveal spending by domestic visitors in Yorkshire had also risen by 25% to £267m compared to the same period in 2010.
2.8 Tour de France: 'Thousands back' Yorkshire's 2016 bid
More than 150,000 people have supported Yorkshire's bid to host the first two stages of the 2016 Tour de France cycle race, tourism bosses have said.
3rd September
A Welcome To Yorkshire spokeswoman said: “Things are developing very well and we are very optimistic they will announce the Tour de France is coming to Yorkshire in 2014 or 2016.
The race organisers have sent contracts to Welcome To Yorkshire for it to examine and detailed talks are now being held about the route. An announcement is likely
6 either at the end of this month or the start of next month.
The Yorkshire bid has been backed by cycling star Mark Cavendish, whose family live in Harrogate, and Leeds-based Olympic triathlon medallists Alistair and Jonathan Brownlee, and would boost the county’s economy by up to £300 million.
“The talks have become very serious and we are perusing contracts and looking at a lot of the technical details, such as the width of the roads in the Dales. We are getting a lot of support from local authorities, and the thought of something of this magnitude coming here is very exciting.”
2.9 Support organisation – Tourism Welcome to Harrogate
Welcome to Harrogate Limited is a new company formed to develop the visitor tourism offering in the wider Harrogate area. The company is supported by Harrogate Chamber of Trade and Commerce, Destination Harrogate, Yorkshire Agricultural Society and Harrogate Borough Council.
Welcome to Harrogate Limited is the destination management organisation for the Harrogate district. Its strength lies in a robust public-private partnership. The company will seek the support of a diverse range of more than 1000 businesses and organisations across the district, large and small, who share in the vision to promote the area as a world class place in which to live, learn, work, visit and invest. The company, which will be funded by both the private and public sectors, will be financially sustainable and business driven, responding to the needs of the industry.
The company aims to raise the profile of the Harrogate district and the surrounding area, attract visitors, generate spend and deliver economic benefits as a result.
A summary of this organisation has been included in your papers A link to their website is show below: http://www.harrogate.gov.uk/pages/Welcome-to-Harrogate-Limited.aspx APPENDIX C
2.10 Support organisation – Tourism Welcome to Yorkshire Championing Yorkshire tourism
Forget flat caps and whippets, Yorkshire is a contemporary destination which hasn't neglected its roots. Welcome to Yorkshire has created a fresh, dynamic view of the UK's largest county with its innovative marketing and PR campaigns, not forgetting its contagious enthusiasm which has garnered fans of Yorkshire from across the globe. Our award winning team has achieved this by being creative and forward thinking but more importantly by working closely with members and partners to build a new confidence in the county.
7 Since Welcome to Yorkshire launched in 2009:
The destination management organisation (DMO) has achieved in excess of £100 million in media coverage worldwide and has received accolades including the World Travel Award for World's Leading Marketing Campaign.
x The visitor economy has grown from £5.9bn to £7bn. x An additional 4,000 jobs have been created. x Overnight domestic holiday visits have increased by 26%. x Overseas visitor spend has doubled during peak summer months.
Fast facts
x Welcome to Yorkshire is the official destination management organisation (DMO) for Yorkshire, working with its members to grow the county's visitor economy. x Tourism in Yorkshire is worth £7 billion annually x The county's industry employs almost a quarter of a million people x There are 216 million visits to Yorkshire each year - more than Walt Disney Attraction Theme parks worldwide.
Welcome to Yorkshire The Destination Management Organisation for the UK's largest county. A summary of this organisation has been included in your papers A link to their website is show below http://industry.yorkshire.com/
APPENDIX D
A copy of their 5 year strategy has been included within the Commissions papers.
5-Year-Strategy Welcome to Yorkshire.pdf
APPENDIX E
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