VisitBritain chairman Christopher Rodrigues has warned the UK will lose up to £2 billion in tourism revenue over the next 10 years unless the Government provides extra funds.
In a keynote address to The Annual National Conference of Visitor Attractions today, he will state that only increased budgets from Westminster will allow the country to take full advantage of the tourism opportunities the London 2012 Olympics Games will bring.
VisitBritain is calling for more cash as it waits for news from the Department for Culture, Media and Sport about its next three years-worth of funding.
Rodrigues said: “VisitBritain has had its Government grant-in-Aid budget frozen for the past 12 years, which has led to significant cuts in real terms. During this time our tourism deficit has grown every year until it now stands at more than £18 billion.
“The visitor economy employs 2.1 million people throughout the country, involves 150,000 small and medium sized companies and earns more in foreign earnings than any industry apart from the City.
“It is a vital part of a modern Britain, but it is a fragmented industry made up of small businesses that cannot bear the burden of promoting Britain overseas on their own.
“We live in a fearsomely competitive world where 100 different nations are competing for every tourist cent or penny. This competition is made tougher by the relative strength of the pound.
“Without proper marketing support, Britain will inevitably suffer as other nations, which do recognise the importance of their visitor economies, go all out to welcome the world.”
VisitBritain has been battling the Government for nearly three years to secure more funding. The tourism agency claims for every pound that is spent it can secure a return for the Government of £36 through increased revenues and taxes paid by tourists.
The London Olympics in five years time are seen as an ideal opportunity to showcase the UK’s offering among an increasingly competitive international market.