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Why the Rest of the World Doesn’t Want to Visit Britain

by Richard Eldred
19 August 2024 1:00 PM

The U.K. is grappling with a £2.8 billion drop in overseas visitor spending, as tourist numbers remain below pre-pandemic levels. The Telegraph has more.

According to a new report by the Centre for Economics and Business Research (CEBR), Britain attracted 38 million tourists in 2023, down from a 2019 peak of 40.9 million. Projections for 2024 suggest only a slight improvement, to 38.7 million. Furthermore, spending by tourists has also declined by 8%, translating to a £2.8 billion dip when adjusted for inflation.

While the CEBR cites “general cautiousness surrounding international travel”, it also says that Britain is being outperformed by its main competitors in Europe. “The U.K. is falling behind its closest competitors as a tourist destination,” the report said.

According to the latest United Nations World Tourism Organization (UNWTO) statistics, U.K. visitor numbers in 2023 were still 5.6% down on 2019, placing the country towards the bottom of the European table when it comes to growth – below France, Spain, Turkey, Greece, Netherlands and Croatia, among others, though faring better than Italy and Germany. 

So why such a slow uptick, and why are other countries having more success? …

The World Economic Forum ranks the U.K. 113th out of 119 countries for price competitiveness of travel and tourism. Food and transport in particular are expensive, and this will inevitably deter some people who might otherwise come. 

The CEBR report says that overall prices in the U.K. for 2024 are expected to be 23.5% higher than in 2019, with accommodation costs up by 35.8%, restaurant prices by 28.7%, and airfares by 47.6%.

For those who watch the news, the U.K. has not had the best promotional campaigns. Raw sewage at the seaside, rising knife crime, chaos on the railways and even the axing of HS2 are hardly enticing images. …

In the most recent Anholt-Ipsos report on Nation Brands, the U.K.’s “Welcome” ranking fell to 19th place out of 60 nations – the lowest ever received for this measure.

In this context, “Welcome” refers to factors such as “Positive interaction with locals”, “Helpful hotel staff”, “Friendly service in restaurants”, “Stress-free airport experience”, “Ease of getting around” and “Smiling faces”. …

Oxford Economics forecasts that the U.K. will fall further in terms of its international tourism reputation, not only globally (where the Middle East is the fastest growing region) but also against its major western European rivals. …

The Government’s target was to recover inbound numbers to 2019 figures by the end of 2023, but all the data indicates the U.K. won’t hit that target even by the end of 2024.

Richard Toomer, Executive Director of the Tourism Alliance – an umbrella organisation for more than 70 associations and bodies – says the Government ambition was the right one, but policies have hindered it. 

“An absolutely key one was the decision to abolish tax-free shopping for international visitors. We are now the only major European destination not to offer this service, which is a key driver for many long-haul visitors,” he says.

Worth reading in full.

Tags: Bad PolicyCOVID-19EuropePandemicU.K. Tourism

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