Government to slash VisitBritain funding by 18%

Tourism officials have hit out at the Government after it announced 18% cuts to VisitBritain funding.

The funding will be reduced over three years from the current £49.6 million to £47.6 million in 2008/09, £45.1 million in 2009/10 and £40.6 million in 2010/11.

VisitBritain chairman Christopher Rodrigues said the cuts were disappointing.

“We will need to become even more efficient in the marketing partnerships we have with the travel industry and the regions and nations to plug the gap this settlement has created,” he said.

Tourism Alliance chairman Ros Prichard OBE said the cuts “highlight the Government’s lamentable understanding of tourism and a lack of joined-up thinking”.

“This cut in funding means that, in real terms, the Government will have reduced VisitBritain’s funding by around 50% between 1997 and 2011,” said Prichard.

“To do this to a successful organisation that has generated around £10bn for the UK economy and £2bn for the Exchequer over the past 10 years and supports over 23,000 jobs across the country makes no sense whatsoever.

“To do it in the lead-up to the Olympics when the Government’s own research shows that there is the potential to generate an additional £2.1bn in tourism expenditure for the UK economy borders on sheer madness.”

The cuts will compounded because tourism spending at the local and regional levels also stand to be reduced over the next three years, she added.

“This lack of understanding and joined-up thinking makes a mockery of the Government’s new Olympic Tourism Strategy that was launched just last month.”

UKinbound said it was “shocked and horrified” by the cuts.

Chief Executive Stephen Dowd said: “This announcement confirms that DCMS has completely lost the plot.

“The London 2012 Olympics could provide a once in a generation opportunity to promote the UK as a tourism destination to a global audience and for the Secretary of State responsible for the UK tourism industry to forego this opportunity is utter madness.

“James Purnell has emasculated VisitBritain and our competitors will be rubbing their hands with glee.”

Tom Jenkins, executive director of the ETOA, added: “From a worldwide perspective, VisitBritain is regarded as one of the very best tourist authorities and many people will be puzzled as to why DCMS has chosen to cut funding.

“This is particularly strange as, with the Olympics coming up, funds are needed more than ever because, contrary to what many say, the Olympics is NOT a tourism event. It is a sporting event which displaces tourists and we need a strong tourism authority to counter this problem.

“Part of the problem is that VisitBritain is funded by DCMS and they are ‘drunk’ on the Olympics.”

By Bev Fearis