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Industry leader tells summit UK should try harder in run up to Games
Thursday, 01 Feb, 2011
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The UK is “operating with one hand tied behind its back” as it tries to showcase its charms to visitors coming to the London Olympics, the chief executive of the British Hospitality Association has told the travel industry.
Ufi Ibrahim said high VAT rates, a lack of coordination between tourism bodies and escalating visa costs for Indian and Chinese visitors was hampering the UK’s bid to persuade those who come to London for the Games to return again.
Speaking at a conference on Monday about the impact of the event on hospitality and tourism, she said the most serious risk to this was the transition of regional development agencies to local enterprise partnerships and destination management organisations.
She said: “There is absolutely no co-ordination nationally in this and there is a grave danger that tourism will lose out in the reorganisation.”
She compared VAT levels in the UK with lower ones charged on accommodation in Europe, adding: “This puts the UK at a severe competitive disadvantage which is damaging UK tourism even harder since the rise in VAT to 20 per cent – the third highest in the EU.
“In competitive terms, UK tourism is operating with one hand tied behind its back, and this will become ever more damaging if we don’t do something about it.”
She added: “On the one hand we want to encourage tourism to the UK but on the other we make it extremely difficult and expensive to achieve this objective.”
She went on to say that rises in air passenger duty would have a negative impact on long-term tourism trends but stressed that the Games was our country’s big chance to shine and boost tourism figures for a long time.
“If visitors gain a favourable impression during their visit, they will want to return. This will be one of the most important legacies of the Games not only in London but throughout the UK. They are a unique opportunity to increase awareness of the UK in the global tourism market.”
The London Olympics are expected to attract 320,000 visitors to the city and 5000 journalists.
by Dinah Hatch
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