The UK saw record annual inbound spend and record numbers of visitors during 2013, according to the Office for National Statistics.
Overseas visitors spent a record £21 billion in 2013, some 13% more than the previous record from 2012 of £18.64 billion.
This is the highest seen in any 12 month period and the first time the £20 billion mark has been passed.
There were also 32.89 million visits from overseas in 2013, 6% more than in 2012, and exceeding the previous calendar year record set in 2007, which was 32.78 million.
Holiday visits were 7% up from 2012 and 6% above the previous record in 2011 while business visits were up 7% on 2012 and visiting friends and relatives was up 5%.
VisitBritain claims the GREAT Britain campaign is beginning to see results.
Sandie Dawe, chief executive at VisitBritain said: "Not only have we managed to surpass the £20bn barrier for the very first time, but we’ve broken records for holidaymakers and visitors from key growth markets such as China and South Korea.
"Holiday figures are up across the whole of Britain with robust growth for Scotland, Wales, Rest of England and London."
