Select Committee on Culture, Media and Sport Minutes of Evidence


Examination of Witnesses(Question Numbers 320-339)

MR PHILIP EVANS, MR JONATHAN JONES AND MR STEVE WEBB

TUESDAY 17 DECEMBER 2002

  320. There has been some reporting in the press over the last two weeks about Objective 1 money not being spent and the danger of it not being drawn down from the EU and so on. Are there problems in terms of you finding projects which should attract money? Are there other projects which should be attracting money which are not? Is the process too slow? What is your impression?
  (Mr Evans) We were slightly disadvantaged originally under the criteria for Objective 1 in that tourism was not given a priority status, so consequently we had to go through measures of seeing how we could raise the funds through various avenues. All the funding, and there was some £10 million which we have achieved this year, we have already spent. There is no shortage of projects because it is strategy-driven. We look at our strategy, we say, "How do we invest this money?" There would be a fairly long queue at Brunel House if you started talking about grants; there is no shortage of applicants.
  (Mr Jones) I would just add that it is not giving out money willy-nilly. Those projects are analysed in some fair degree of detail and we have to meet our objectives. So for every £12,500 we spend on capital grant aid for an Objective 1 area, we create the equivalent of one full-time job, and for every £7,500 we spend in a non-Objective 1 area, we create a full-time job. Those figures are our own targets and they are monitored very closely by the National Assembly. If we do not hit those targets, they will not give us any more money.
  (Mr Webb) The scheme we operate with the support of Objective 1 money means that money is finding its way into the hands of businesses. We are one of the few scheme-driven funds through European grant aid, which allows us to target small businesses, so we are actually putting the money where it is supposed to be going, and that is into the tourism industry.

  321. One of the issues we heard from the ministers when they were along here was the issue of trying to get foreign visitors coming to Britain not just to go to London and Edinburgh but to diversify and go out wider into the country. It seems relatively easy to get people to go to Cardiff but much more difficult to get people to go elsewhere in Wales, and it seems even more difficult to get people to go into the valley communities. Obviously the valleys are the main part of the Objective 1 area. What are you doing to address that problem?
  (Mr Evans) You are very correct in what you are saying, because there is a parochial nature in Wales which says, "This is my boundary, this is my patch, this is my manor, we will organise tourism from within it." One of our major tasks which we are now achieving is actually breaking down those boundaries. As was said, when a visitor gets off the plane at Heathrow and comes to Wales, he is not aware where Powys starts or Gwynedd finishes, and we have now got all the local authorities in the valleys on a Valley Marketing Initiative and the valleys are now being promoted through heritage and culture as a product from east to west. With the Regional Tourist Partnerships, if you take the south east, we have ten local authorities for the first time ever sitting down round a table talking about a joint marketing strategy. We will not devolve our funds to the regions unless they have these global issues.

  322. I do not know whether it is just my experience of the Rhondda and Taff but it feels very, very lumbering. There seems to be little self-confidence about saying, "Actually the valleys have some of the most beautiful geography in the country." They are green again, they are not what they were 70, 80 years ago when you had to clean the front room twice a day because of the coal dust, but there is an industrial heritage of which people are proud. It still feels as if people are very hesitant. I know there are problems in some areas, there are not enough bed and breakfasts, the Forestry Commission historically has been pretty inconsiderate towards the valley landscape, so do you really have confidence that over the next five, 10 years we are going to see a difference in that?
  (Mr Jones) We are confident. As Philip said, we have kick-started this initiative to bring all the local authorities, the Welsh Development Agency, the National Museums and Galleries of Wales, Cadw, the National Trust, the Industrial Trust together by the Wales Tourist Board to look at the whole of the south west, not just the Valley areas to try and say we have got to do something about our wonderful industrial heritage and take it to the world and link it in with education and link it in with trying to raise people's standards in the Valleys and their self- respect. The people of South Wales Valleys, like many other parts of industrial Britain, have had a pretty tough time over the years and it is quite understandable that they lack a bit of self-respect and self-confidence and we firmly believe in this way we can raise their standards and raise their self-confidence because they are wonderful people and they need that support.

  323. But there is still a terrible infrastructure problem. There are theatres dotted around everywhere but many of these have terrible back stage facilities and terrible front of house facilities and people have grown used to something that they would not expect if they went to a foreign country to visit. How do we raise people's sights on that, how do we make them become more ambitious?
  (Mr Jones) We have to have exemplar products. In your own constituency of Taff you have an industrial heritage park there which is an excellent example, then you have a UNESCO World Heritage site in Blaenavon and you have a wonderful museum of an old working mine. Those are exemplars and I think if we can find people who are prepared to come forward because the public sector cannot do this alone—the local authority or the Wales Tourist Board or the Welsh Development Agency. You really need some private finance coming forward. If we can find those people prepared to invest we can certainly support them with capital grants schemes.
  (Mr Evans) I think it is important we do have this incredible commitment. We are a strategic delivery mechanism. We take the money from the taxpayer and we deliver, but our major stakeholder is the people of Wales. We do not get involved in political comment and heated discussion on what we are; we know what we are. We are given our budget and I firmly believe, so do my colleagues, that our principal stakeholder is the people of Wales and to raise their prosperity is our ambition. We do it through the vehicle of tourism, it is as simple as that. There is no confused ambition.

  324. Can I ask about Cardiff Airport because we were talking about airports earlier. Many of my constituents would not fly from Cardiff, they would probably fly from Bristol because in many ways it is more convenient, it is easier to get to. It is almost impossible to get by public transport to Cardiff Airport and the road is miserable. Do you think there is any chance of that changing over the coming years?
  (Mr Jones) As Philip has just said, we had BMI Baby coming into Cardiff. I have to say that the road infrastructure was not a major consideration of theirs in deciding whether or not to base their operations out of Cardiff. They were looking at more commercial aspects in terms of the number of people that could fly from a two hour radius from Cardiff and indeed looking at the inward possibilities of flying people back into Cardiff. All airports require good road infrastructure like you have to Manchester, like you have in Birmingham, like you have in Heathrow and Gatwick, and certainly if we had better roads and better public transport in and out of Cardiff Airport it would make it easier to encourage other aircraft to come in. I have to say that BMI were not put off. We are confident they will make money out of flying people out of Cardiff and flying people back into Cardiff.

Chairman

  325. I thought that Cardiff Airport had become the preferred entry point for Glasgow!
  (Mr Webb) Only for Celtic supporters I think.

Mr Bryant

  326. Can I just ask about this business about marketing Wales. We were told that a lot of people in America do not know where the UK is, they think it is somewhere in the Middle East. What impression do Americans or any of the major markets that you mentioned have of Wales and what impression are you trying to give them in your marketing?
  (Mr Jones) Certainly as far as the States is concerned to call it one market is just too silly. It is made up of a vast number of markets and we tend to concentrate our work on the North East border and the West Coast, so you will probably find a lot of people in Arizona and Kansas and Missouri who have never seen anything from the Wales Tourist Board. You could say that is good use of public funds because the market is not there for them. We know that only 18% of Americans hold a passport and there is no point in marketing to people who do not have passports. We portray an image of Wales as a land of mystery and legend, talking about the Arthurian legends, talking about the history and the heritage and we find that goes down well with those Americans whom we get to. Yes, of course you can find Americans who do not know where Wales is, but, with respect, you can find Americans who do not know where Cornwall or Devon or the Lake District or even bits of London are.

  327. Is it more important to market to them in America or is that a complete waste of time and money? Would you be better off spending money getting Americans to come to Britain and then once they are here making sure that every single American and Canadian and Italian who comes to Britain knows about Wales?
  (Mr Evans) If somebody is going to spend $10,000 or $15,000 to "do Europe" it is very important you get them at the decision-making process, consequently a lot of our money is spent below the line, ie talking to journalists, bringing journalists over. We pitched for the business against Nice and won it and brought 400 American travel writers from the Society of American Travel Writers into Wales last year and had them for a week and two weeks on various schemes. It was of huge benefit to us. It is guerilla marketing, if you like. We will look at various ways of getting into the homes and getting into the lifestyles of Americans to create an ambition to want to come and see Wales. One of the great things that is now emerging is that Wales is seen as a safe destination. We are probably not looked at as a terrorist prospect. It is a hard fact but it is one that is very important for Wales. We are seen as a very safe destination.
  (Mr Jones) You have got to put yourself into the position of the consumer here as well. If you were to go to New York or Paris for a week, when you get there, what is the first thing on your mind, is it to enjoy your time in Paris or New York or to try and get out of the city? With respect, I suggest you have got there and you want to enjoy it and you are not going to leave that place until you have exhausted all the possibilities. You have got to hit people with your marketing messages where they take the decisions which is in their homes.

  328. When Simon Glyn was going on a year ago about incomers coming into Wales and living in Wales and not speaking Welsh, do you think that did any harm to the impression of Wales as a holiday destination for the English?
  (Mr Evans) I do not think the message got overseas.

  329. For the English?
  (Mr Evans) There were border land issues that we had to answer that we addressed quite successfully. It was taken as an off-the-cuff comment, it was not taken as a serious comment from the Wales Tourist Board. The ten million that always come from Britain, predominantly from England, have not responded to that message.

  330. And that number remained the same this year.
  (Mr Jones) It is going up.
  (Mr Evans) Tourist figures are 11% up this year.

Miss Kirkbride

  331. There is not really much left to ask. I am a big fan of Wales and we go at least three times a year to Aberdyfi which is brilliant and a lot of the things we have taken in there are excellent. I was a bit curious because the biggest obstacle to going if I were not the Member of Parliament for Bromsgrove is the sheer distance from London. How do you address that for your primarily English audience that wants to come to Wales—(a) getting there and (b) getting about when you get there? Is there any strategy attached to helping that issue?
  (Mr Evans) It is amazing because there are differences of opinion. People love Wales because of the shortage of motorways, people love the meandering country roads.

  332. That helps.
  (Mr Evans) We have now got passing bays and things like that! A lot of people come to Wales purely because of the lack of infrastructure. I agree with you totally, the biggest problem you have got is going from south to north and north to south. One of the most successful campaigns—and our new campaign is "The Big Country" which is a very bold campaign—we have been running is "Two hours and a Million Miles Away". That was a successful campaign because it got into the lifestyle of people saying that it is two hours and a million miles away and it worked.

  333. Do you have a strategy with train companies? It is a long drive from London and when you get there you may want to travel about a bit or go somewhere a bit more remote than Cardiff. What can you do to attract more people?
  (Mr Jones) We certainly work with the public transport sector. It is wrong to say that you cannot get around Wales with public transport, you just have to be a little more organised and planned about it, and we work very hard in putting information out which links train times with bus times. You can do it. A lot of overseas visitors do it, because they do not like driving on the "wrong" side of the road. 90% of all our tourists, UK and overseas, are car-borne and therefore we have to ensure they have appropriate road facilities. As Philip said, we have the M4 coming into South Wales and of course it goes a lot further than Cardiff, and we have the A55 which is a dual carriageway now all the way to North Wales. Access to mid-Wales could certainly be improved but the view is, once you are there, it is God's own country, and the roads are brilliant and, dare I say, not too full of tourists. It is a balance we have to maintain to keep it full and empty at the same time.

  334. It is very exciting you are getting the Spaniards or Italians coming over to take shoulder holidays in Wales—three or four days—is that based on the car? How do you disperse them when they get there? Do you offer a fly-drive package?
  (Mr Jones) The majority of our overseas visitors from mainland Europe are car-borne, they would come via ferries.

  335. Spain is a long way by ferry.
  (Mr Jones) Europeans drive a long way anyway.

Chairman

  336. We are Europeans!
  (Mr Jones) I beg your pardon. I meant Europeans on the other side of the English Channel.

Miss Kirkbride

  337. When they come in via Cardiff Airport on the BMI Baby, how do they get dispersed?
  (Mr Jones) That is where we are trying to put the private sector on to this and putting packages together so they can pick up a car, get discount vouchers for hotels not just in Cardiff but go-as-you-please vouchers throughout the whole of Wales. But that is the job of the private sector. We, in the public sector, have done our job introducing BMI into Cardiff, the private sector should be able to pick that up and make money from it.

  338. Which European destination is at the top of your list for these packages?
  (Mr Jones) We are waiting now for BMI to tell us what their consumer destinations are. Their winter destinations are Malaga, Milan. We are looking probably for somewhere in France and Germany to come up in the summer and then we will be selling incoming fly-drive packages from there.
  (Mr Evans) We would probably be the embryonic mechanism within the industry. We will probably try and do marketing campaigns on a 50-50 basis with the industry, and we will invest, and once it is robust enough we will pull out.

  339. Good luck!
  (Mr Evans) Thank you very much.

  Chairman: Thank you very much indeed, gentlemen. That is most interesting.





 
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