Select Committee on Culture, Media and Sport Minutes of Evidence


Memorandum submitted by Caradon District Council

1.  INTRODUCTION

  1.1  The Culture, Media and Sport Committee has set up an inquiry into Tourism and is seeking additional evidence from local authorities. This paper represents Caradon District Council's response to the call for evidence.

2.  BACKGROUND

Location and character of Caradon District

  2.1  The area of the District is 66,389 ha and in 2001 the population was 79,649.[2] There are five principal rural and estuarial towns Liskeard, Looe, Callington, Saltash and Torpoint, with more than 70 small to medium sized villages scattered between. Some 47% of the population live in these five main towns.

  2.2  The District has a strong rural character, with the Fowey, Lynher and Tamar rivers running from Bodmin Moor, through a farmed landscape with deep wooded valleys to magnificent coastal scenery. This mix of small towns, villages and hamlets, provides the District with a rich diversity in both cultural heritage and environmental terms. It is an undeniably superb environment, which is a key factor in the area's attractiveness to tourists, migrants, and new investors. It is however, subject to constant pressures for change arising from development, agricultural change, and recreational use by visitors and residents.

Population of Caradon District

  2.3  There has been a significant level of in-migration since 1961, when the Tamar Road Bridge opened, with the population increasing from 49,980-79,694 (+59.5%). However, growth between 1991 and 2001 was one of the slowest in the region at 4.09%. 17.1% of the population are aged 0-15 years; 63.7% are of working age and 19.3% are of pensionable age. Ethnic minorities comprise 0.7% of the population.

  2.4  There are proportionately fewer children and young working age people living in Caradon than is experienced nationally. This reflects a shortage of higher educational opportunities and jobs for the young people seeking careers in the area. There are, however more mature working age people than typical, and more pensioners. The average age in the district is 42, compared with 38.6 nationally.

Tourism in Caradon

  2.5  Caradon District Council relies heavily on the visitor economy and the latest figures on the Tourism Economy from South West Tourism show that for 2005:

CARADON KEY FACTS (2005)[3]


474,000trips by staying visitors
2,868,000staying visitor nights
£110,629,000spend by staying visitors
1,399,000day visits
£56,124,000spend by day visits
£7,040,000other tourism related spend
4,608jobs related to tourism spending
14%of employment is supported by tourism


  2.6  By supporting 14% of all employment and bringing in a total of £170 million pounds to the local economy every year, the visitor economy is absolutely vital to the economic wellbeing of the district and underpins much of the district's rural economy. This was borne out in 2001 when the Foot and Mouth outbreak caused much of the rural area to be closed and put the tourism economy on hold for some months.

3.  THE TOURISM INDUSTRYA SPECIAL CASE

  3.1  The tourism industry in S E Cornwall is predominantly made up of small establishments, operating from a rural location with very firm roots to their local area. What they can offer their paying visitor is directly related to what the local area "offer" is which includes how the public product is managed and presented. Nowhere is this more true than in Cornwall where visitors come for the landscape, the beaches, the towns, moors, the heritage and the countryside. This complex relationship between an industry, its social and natural environment and the public bodies who manage a seemingly unrelated part of a product, is unique and is not seen in any other economic sector and yet must be understood if the tourism economy is to be effectively and sustainably managed.

  3.2  Since the early 1990s, the Government has done much to try to understand this complex relationship and to harness it to deliver real benefits to the visitor, the industry, the host communities and the environment,[4] also known as the "VICE" model. As a result of the Tourism and the Environment report, the Government went onto set up a number of "Local Area Initiatives" which were pilots into how tourism could be managed to be more sustainable. "Project Explore" was one of these initiatives that operated in S E Cornwall and was recognised for delivering great progress to the striking of this balance.[5]

  3.3  A key lesson learnt from all these initiatives was the importance of partnerships and the need to build these from the grass-roots level up at a very local level. Whilst it was recognised that there had to be supporting structures at a higher political level, it was at the grass-roots level that the relationships were particularly vital.

  3.4  It is important that these findings are not lost in any new structures but remain an integral part, driving benefits down to the local level.

4.  CHALLENGES AND OPPORTUNITIES FOR THE DOMESTIC AND INBOUND TOURISM INDUSTRIES

  4.1  A. Domestic and Overseas Tourism in Caradon:

  Source:  2005 Value of Tourism by SWT. (2007)


Domestic
Overseas
Total
No
%
No
%
No

Trips
448,000
94.5
26,000
5.5
474,000
Nights
2,669,000
93.1
199,000
6.9
2,868,000
Spend
£100,951,000
91.3
£9,678,000
8.7
110,629,000
Spend per trip
£225.33
£372.23


  4.2  The table shows that whilst that whilst Caradon receives only 5.5% of its visits from overseas visitors, they do spend about 60% more per trip than domestic visitors. However, because the overall numbers are small, overseas visitors account for less than 10% of visitor spend in the district.

  4.3  With marketing at overseas visitors being notoriously high-risk in terms of effectiveness, it would seem to make sense for efforts for the tourism sector to continue to focus on marketing to the domestic market who spend 91% of all visitor spend in the district. This is particularly true looking to the longer term, when cheap flights are no longer viable and domestic destinations become even more attractive to the UK holiday-maker.

  4.4  Climate change and rising oil prices will have an increasing effect on the tourism economy of peripheral areas such as Cornwall and it is imperative that these are properly modelled in order to understand the impact that any price increases or reductions in their availability might have on the local economy. However, learning from the findings from the "Maintaining the Balance" report, it is also important that the tourism economy takes a responsible attitude to any impacts it may have on the environment, and that the utmost is done to reduce and mitigate any negative impacts.

  4.5  It is also imperative that marketing activities do not occur divorced from the efforts at grass-roots level to develop the visitor economy on the "VICE" principles mentioned earlier. It is only when the product offer matches with that marketed, that there is a true partnership and responsible destination marketing.

  4.6  If we are to future-proof the visitor economy which underpins so much of our rural areas, we should be looking to build from the grass-roots level up a local economy that celebrates an areas distinctiveness, that builds local links between producers and consumers and that enables more sustainable use of an areas resources. These aims are all compatible with a quality visitor experience as well as the inevitable higher costs of oil and travel as well as the corresponding reduction in disposable income that will come soon.

  4.7  Infrastructure will also be critical and it must be incumbent on the Government to ensure that rail links to these peripheral areas be maintained for the longer term; the Teignmouth stretch of the mainline being a case in point.

5.  THE EFFECTIVENESS OF DCMS AND ITS SPONSORED BODIES (SUCH AS VISITBRITAIN) IN SUPPORTING THE INDUSTRY

  5.1  The support structures for tourism lie battered and bruised after experiencing a continuous carousel of reorganisation over the last 15 years. Seismic shifts in the support structures at all levels from national to regional have resulted in an industry that is defensive and lacks confidence. This has been happening at a time when the industry should have been doing the opposite—it should have been looking to work together and build lasting partnerships to deliver the quality product that the visitors, the environment and the communities deserve.

  5.2  Current concerns with DCMS lie with its uncertainty about how to treat the tourism industry—whether to treat it as a cultural/leisure experience in which case the DCMS is clearly its rightful home, or whether to treat it as the multimillion pound industry that it is, in which case it would be better in the DTI.

  5.3  However, regardless of where it should sit, the current structure has handed all strategic functions down to the Regional Development Agencies without the national framework required to give it a single compass of direction. This has led to ad-hoc policy development and continued fragmentation of effort. Examples here would include the voluntary emphasis on "inspected-only" accommodation and the confusion over how best to incorporate sustainability into the tourism industry. It is imperative that the DCMS be properly funded to fill this strategic vacuum with staff knowledgeable and experienced in this field.

  5.4  VisitBritain seems to deliver its marketing function effectively, but it is not delivering to its full potential due to the policy vacuum above it. Linkages between for example EnglandNet and local websites could be improved if there was the strategic drive from DCMS to do so, thereby pushing the "assessed only" criteria for accommodation.

  5.5  In light of the numbers of businesses leaving the national inspection schemes, it must be clear that DCMS need to look carefully at the National Quality Assurance Schemes and consider whether the way forward might rather be a basic statutory inspection that ensures guests are not going to be burnt, poisoned, swindled or infected. This would do much to remove the confusion amongst the trade and visitors alike and would provide them with the safeguards that they deserve. Such statutory licensing would not preclude the tourism industry from being involved in any qualitative inspection schemes which could then be market driven and could grow to reflect emerging niches. For example here in S E Cornwall there are some fantastic holiday companies offering quality alternative accommodation types. However sadly neither heritage railway carriages nor teepees can be inspected according to the narrow NQAS inspection scheme and so neither of these fantastic experiences can be marketed through VisitCornwall marketing activities, they cannot take part in Green Tourism Business Scheme because they are not inspected and they cannot appear on VisitBritain websites because they are not inspected. Clearly ridiculous as these are precisely the new and vibrant niche markets that we are keen to develop.

6.  CARADON RESPONSES TO KEY ISSUES—THE STRUCTURE AND FUNDING OF SPONSORED BODIES IN THE TOURISM SECTOR, AND THE EFFECTIVENESS OF THAT STRUCTURE IN PROMOTING THE UK BOTH AS A WHOLE AND ITS COMPONENT PARTS

  6.1  In the South West funding for tourism is provided through the SWRDA who seem to commission South West Tourism for some functions. Unfortunately the biggest conflict seems to arise when their marketing function with its associated membership activities, get in the way of tourism development and delivery. For example there is lack of clarity on who South West Tourism are there to serve: are they there to protect their members interests or are they there to deliver a regional tourism agenda that enables the industry to support the local economy. With tourism businesses having small and fixed marketing budgets, what this means is that the support bodies are actually all working in competition with each other as they all try to boost marketing buy-in to their particular service rather than in partnership.

  6.2  This highlights the confusion over roles and functions at the different levels of support bodies. It is therefore imperative that this is clarified at an early stage in any reorganisation, and the removal of the duplication of membership schemes would do much to help this.

  6.3  The tourism industry must also be mindful that government sponsored marketing activity may become less important now that the Internet enables direct routes to market so much more easily than was the case even 5 years ago. The time for sponsored bodies to have a role in marketing may be limited as Expedia, Lastminute.com and even the destination management system operators all offer their own private route to market effectively and efficiently. Perhaps the time for government sponsored intervention for direct marketing is numbered. This would enable resources to be freed to develop the product and to ensure that rich local information is provided for specific areas.

  6.4  Whichever option is considered, it will be very important that there is parity across regions in order to ensure a level playing field.

7.  THE EFFECT OF THE CURRENT TAX REGIME

  7.2  The benefits that tourism can bring to an area are well documented—supporting the rural economy, bringing in local expenditure, helping facilities and services to become more viable and assisting in promoting a sense of pride and place. However the visitor economy does not come free and whilst much of the benefit goes directly to the private businesses in the area, the costs of the industry are borne by the local authorities through car parks, toilets, picnic areas, street cleaning, life-guarding, beach and open space management, visitor information and so on. This can place a heavy burden on local authorities and can also lead to schisms in communities when funding cuts need to be made. Recently in Cornwall we have faced the debate of whether cuts should be made to life-guarding on beaches, an activity perhaps geared towards the visitor, or cuts to children's' playgrounds which is perhaps more resident-focused.

  7.3  South East Cornwall also experiences high levels of second homes, which again places a burden on local communities—pushing prices out of reach of local buyers. Some of our parishes have over 20% of their houses as holiday homes. This places an increased burden on the local authority with more young people having to be placed on the housing list than would otherwise be the case if property prices were lower.

  7.4  Changes are therefore needed to redress this imbalance; to ensure that local authorities have the resources to manage the impacts of tourism without placing the resident communities at a disadvantage.

8.  TOURISM DATA

  8.1  [...] "we have come to believe that there is no other sector in the UK economy as significant as tourism in which the key strategic and management decisions are so hampered by a lack of adequate data. Existing sources are no longer fit for purpose and the potential economic, social and environmental contributions of the tourism sector will only be realised if priority is allocated to better measurement." Allnutt (2004) "Review of Tourism Statistics" DCMS.

  8.2  The Allnut report highlighted quite clearly the need for a co-ordinated collection of data which enabled trends and comparisons across areas to be gained. Overriding priority must be given to this basic requirement of collecting and monitoring accommodation stock.

  8.3  Should a statutory licensing requirement be adopted, this would provide the means of collecting this important data, of monitoring numbers and accommodation types and of identifying trends in for example hotels going to self-catering apartments and camp sites becoming time-share chalet sites.

9.  "ENVIRONMENTALLY FRIENDLY" TOURISM

  9.1  Managed well the tourism industry can be a great force for good in any destination—bringing in investment, underpinning services for visitors and locals alike and supporting the rural economy. However, managed badly it can be a drain on a local area, impacting on the environment as well as the local communities and culture. The challenge must therefore be on how best to deliver tourism that is not just "environmentally- frieindly", but culturally and socially-friendly as well.

  9.2  As mentioned in section 3.2, the Government built on its experiences of the "local area initiatives" run in the early 1990s, to understand clearly the principles of delivering sustainable tourism as set out in its document published in the mid-1990s. However, since then, the national government has failed to mainstream these findings into national policy, and with little emphasis at a national level, there has been no strategic drive to develop responsible tourism at regional or local level.

  9.3  Here in S E Cornwall a very successful "local area initiative" was run called "Project Explore", which did much to develop tourism that balanced the needs of the visitor, the community and the environment and thereby contributing to the "VICE" model. However, despite the findings being published in the mid-1990s, and the "destination management handbook" being published by the Tourism Management Institute in 2003, the principles have not really found their way into mainstream tourism management.

  9.4  This seems to be a serious missed opportunity, made all the more worse by the growing urgency to reduce the environmental impact of the tourism industry in response to the climate change challenges.

  9.5  One area that this could be mainstreamed is in changes which could be made to the NQAS accommodation inspection schemes. Here in Cornwall agencies have been working for some time with the accommodation providers to encourage them to take part in the Green Tourism Business Scheme (GTBS)—indeed Cornwall is the only county where there is an LAA attached to this activity, with a stretch target attached. However, the requirement for all businesses to be part of the NQAS scheme before they take part in the GTBS scheme is nonsense to many and in fact there are still instances where NQAS criteria are completely at odds with the "green" activities. This just perpetuates the outdated notion that high quality is linked to high consumption.

  9.6  It must therefore be time to firstly look very carefully at the NQAS criteria and see which are really appropriate, and to "green-proof" them to ensure there is no conflict; and secondly to consider incorporating green criteria into the NQAS scheme, so that for example even a basic one star establishment complies with basic environmental criteria. This would make good business sense anyway since with its emphasis on basic monitoring systems to measure usage, would help establishment owners be more aware of how their business operates.

10.  DERIVING MAXIMUM BENEFIT FROM THE OLYMPICS

  10.1  Nothing further to add to the paper submitted on the Olympics by the Cornwall Sustainable Tourism Working Group which stressed the need to ensure that the principles of sustainable tourism were adhered to.

October 2007






2   Source: 2001 Census. Back

3   The Value of Tourism 2005. South West Tourism, Exeter. Back

4   "Tourism and the Environment; Maintaining the Balance". 2001. English Tourist Board Back

5   "Principles of Sustainable Rural Tourism" 1994. Countryside Commission. Back


 
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