In January 2017 the Government published its Industrial Strategy with the aim of increasing productivity and driving growth across the country. As part of this strategy, UK industries were invited to organise themselves and develop Sector Deals to negotiate with Government. Led by Steve Ridgway CBE, Chair of VisitBritain, a Sector Deal for the UK’s tourism industry was submitted to the Department for Business, Energy and Industrial Strategy in October 2017.
Some key industry facts as highlighted in the Sector Deal Bid are:
- Tourism is a core and vital sector within the British economy, accounting for 9.6% of all employment and 9% of GDP.
- Tourism is two and a half times bigger than the automotive industry, a bigger exporter than the insurance sector and is growing faster than the digital sector.
- Tourism is a big job creator – creating more jobs during the 2008/09 recession than other industries – and helping to lift the economy out of recession through sustained growth.
- Tourism creates growth and jobs across the whole country and in recent years, growth of tourism has played a significant role in the rebalancing of the UK economy.
What Will It Deliver?
The Tourism Sector Deal has the following delivery aims:
- By 2025, with a sector deal, tourism will more than double and will be worth 268bn.
- It will be Europe’s fastest growing Tourism industry by 2025, with 1.8m additional visits.
- A 1% increase in Productivity will deliver an extra £12bn to the UK economy.
- An additional 70,000 jobs will be created, taking the total number of people linked to the sector to 3.8m - 10% of the UK workforce, in every local authority.
The Tourism Sector Deal asks Government for the following:
- A 10-year tourism and hospitality skills campaign to boost recruitment, skills, and long-term careers to provide the industry with the workforce it needs.
- Boost productivity by extending the tourism season year-round and increasing global market share in the business visits and events sector.
- Improve connections to increase inbound visits from more markets by 2030 by making it easier for overseas and domestic visitors to not only travel to the UK but explore more of it.
- Create 'tourism zones' to build quality tourism products that meet visitors' needs and expectations, extending the tourism season and fixing localised transport issues to improve the visitor experience.
Five Tourism Zones will be piloted over a five year period and areas will bid to central government to acquire status as a Tourism Zone. Tourism Zones must be built around pre-existing transport hubs and a clear demonstration that tourism is a dominant part of the local economy will be required.
It is hoped that negotiations with Government will be concluded before the end of 2017.
ekosgen has supported many clients to demonstrate sector impact. Our team has considerable expertise in economic analysis, forecasting and impact assessment, with an impressive track record of securing public sector investment. Please contact Kirsten Hedland for more information on email@example.com or 0845 644 3023