Tourism fuels our economy

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Monday, March 15, 2010
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This is Cornwall

TOURISM will outstrip manufacturing, retail and communications to become one of the fastest-growing sectors of the economy, according to new research which highlights the importance of the holiday industry to the Westcountry.

More than one in eight people in key marginal seats in the region are employed in tourism-related jobs, compared to the national average of one in 12.

New independent analysis by Deloitte and Oxford Economics reveals tourism is worth £115 billion and employs 2.6 million people. It is Britain's fifth largest industry.

The study reveals that in the next decade, tourism is forecast to be one of the county's best-performing sectors, with its contribution to the economy rising by 3.5 per cent each year.

The research is published today to mark the start of British Tourism Week, and with less than two months until the General Election expected on May 6, detailed figures reveal the reliance on key swing seats on the holiday industry.

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For example, in Torbay, where Lib-Dem MP Adrian Sanders defends a notional majority of 2,727, almost one in five people are in tourism jobs.

In Camborne and Redruth – held by Lib-Dem Julia Goldsworthy but targeted by both Labour and the Tories – more than 10 per cent of people rely on visitors for their work. Nationally, the proportion of jobs in tourism is only 8.2 per cent.

According to VisitBritain, in 1997 83 per cent of Tory-held seats in the seaside areas switched to Labour, proving "there are votes in tourism".

The organisation's chairman, Christopher Rodrigues, said the research highlighted the ongoing importance of tourism to the British economy.

"Tourism is a powerful economic driver, and investing in tourism delivers immediate economic benefits," he said. "Overseas visitors pay around £3 billion a year to the Treasury alone.

"Tourism is one of the few industries that supports jobs across the country in our cities, seaside towns and rural areas, cannot be outsourced and has the potential to grow and support 250,000 more jobs with continued investment."

While British tourism has benefited in recent months from the weak pound and increase in the number of Brits holidaying at home, there are fears that looming public spending cuts could limit the amount of Government investment in tourism promotion.

VisitBritain is particularly critical of the inability of tourism minister Margaret Hodge to operate levers of power to influence policy affecting the industry.

The combined spend of the Department for Culture, Media and Sport on museums, libraries, the arts, culture and tourism is less than the annual underspend of the Department of Health.

Critics claim the benefits in income both to the Treasury and to local communities are often "taken for granted".

Deloitte predicts that, by 2020, tourism will account for 2.9 million jobs, 250,000 more than is the case today.

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27 Comments

  • Profile image for This is Cornwall

    by Dave Joslin, St Austell

    Wednesday, March 17 2010, 2:29PM

    “The only beneficiaries of tourism are those who own the attractions. The peolpe of Cornwall get nothing from it. Soon all our youngsters will have to look forward to is low paid seasonal jobs which will not help one bit towards getting a home of their own. Whay we need in this country is real industry paying real wages. Cornwall has put all its eggs in the tourism basket and failed.”

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    by Dooby, Cornwall

    Wednesday, March 17 2010, 2:25PM

    “Onan - as you are the expert on everything to do with Cornwall, what do you suggest.

    that is all”

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    by Gary, Saltash

    Wednesday, March 17 2010, 10:58AM

    “It is always funny reading these threads and trying to spot the spin and antics of some. The basic concept of the thread is Tourism fuels our economy remains a statement of fact in Cornwall clever people will seek to exploit this lazy people will site around moaning about it and blaming everyone except themselves

    My biggest concern is now tourism is in decline what will be left with?

    I am not a fan of tourism or the industry and used it to drive my studies and plans for the future. Turn a negative into a positive and make the most of the hand fate deals you.”

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    by Neil, London

    Tuesday, March 16 2010, 4:40PM

    “Harold, And would Cornwall Council differentiate between a tourist and a businessman (O.K. a businessman would claim on expenses) with their Bed Tax ? I bet you and the 1000s of other Cornish residents who leave the Duchy to go on holiday would be the first to bellyache if London, the Lake District, Spain or where ever charged you a Bed Tax.”

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    by Harold, Duchy of Cornwall

    Tuesday, March 16 2010, 3:34PM

    “My kids work in the so called tourist trade - God help them. The wages are low and job security next to nothing.
    I see Cornwall Council are considering a Tourist Bed Tax - now there is a good idea and the money would pay for the resources absorbed by the tourists - extra water, health service etc.”

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