VisitBritain attack nine-year funding freeze

Sunday, 17 Nov, 2005 0

WTM Special Report: The effective marketing of Britain overseas is being hindered by a staggering nine-year government funding freeze, VisitBritain has said.

And the organisation warned that the golden opportunity presented by the Olympics could be damaged if the position does not change.

The remarks, from strategy and communications director Sandie Dawe, come a day after a meeting at Downing Street where Tony Blair insisted tourism has “huge economic benefits” to the country.

Despite Blair’s positive words, Dawe questioned just how seriously the Government really takes the industry.

UKinbound also waded in, describing the meeting as “worthy but lacking in any meaningful content.” (see separate story)

Speaking to TravelMole during World Travel Market, Dawe said: “Money is invested at a regional level but not nationally and we feel we just don’t have enough money to do our job. In 1996 we were allocated £35.5 million and, nine years later, that is what we still get. It should be at least £50 million by now.

“They talk tough and believe they should not financially support the industry. But it’s not right to talk in those terms. Our return on investment is around 35 to one and in 2004 it even hit 47 to one. So this isn’t money that is diappearing into a black hole.”

The funding freeze is making it particularly tough to penetrate energing markets, she said. Mexico, Russia, Czech Republic, Poland, Hungary, Greece, China, South Korea, Malaysia and Thailand have all been targeted by VisitBritain but the potential is struggling to be realised.

“We need more people on the ground to effectively build the brand,” said Dawe. “It costs us £12 million in running costs and staff and that’s before we pick up the phone. We are stretched.”

Asked if it appeals for cash were like banging your head against a brick wall, she said: “It feels like that. We’ve not had an increase in funding for nine years. The facts speak for themselves.”

Turning to the Oympics, Dawe warned it was imperative not to let the opportunity be thrown away by a refusal to inject funds.

“This is a once-in-a-lifetime oportunity and we would like once-in-a-lifetime funding,” continued Dawe. “We feel there is an education job to be done. Leverage must happen in the four years before the games and that’s when we need extra funding.

“Sydney received additional money and conducted very clever marketing campaigns with the main sponsors. We would like around £10 million over the four years to do the same.”

Report by Steve Jones