Placed based leadership will be critical to successful local economic recovery. Local government supports the hospitality sector through shaping local economies and attracting business through regeneration, inward investment and developing visitor economies.
Councils support hospitality businesses directly through business support services, regulatory and licensing services, planning and transport. Local government also provides a range of other bespoke solutions to support businesses including skills academies, supporting wifi rollouts and providing high street marshalls during the pandemic to keep town centres safe.
The culture and leisure sectors play a critical role in supporting the hospitality sector and the night time economy through driving footfall to high streets and attracting visitors to town and city centres, and other destinations. Hospitality businesses have been clear that the closure of key attractions like theatres, museums and sports stadiums have had a significant impact on their own businesses, and restoring these experiential offerings is crucial to supporting the hospitality sector. Our research into the impact of Covid on these sectors, and councils’ work with them, revealed significant challenges for councils in supporting this activity if their budgets continue to be under pressure.
Councils play a key role in funding and delivering services in the culture sectors and visitor economies. Councils are direct providers of visitor and tourist attractions, including castles, historic buildings, parks, piers and amusement parks, and they act as destination management organisations. They run over 350 museums, public archives, over 116 regional theatres and galleries, and are responsible for many monuments. Councils are the largest public investor in cultural activity, spending over £1.1 billion each year on cultural services and suppliers. Councils’ contribution to regional visitor economies is particularly significant, with many of our regional airports being directly or indirectly owned and managed by councils. These critical transport hubs are essential to ensuring all parts of the country benefit from the visitor economy.
Local government should be involved in the national conversation on the visitor economy and the recovery of hospitality and other industries it supports, given their unique position as direct deliverers of attractions, key transport infrastructure, funders, and as curators of place. Local government should also have representation on the Tourism Industry Council chaired by the Minister of Tourism to allow them to maximise their contribution to the economic recovery, and effectively manage their own key tourism businesses.