In the United Kingdom, a coalition government was formed in the wake of the financial crisis, who began to implement not only an austerity programme that aims to remove £81bn from annual government spending (approximately 7% of the total), but also a programme of structural reforms of the public sector. Currently, the UK economy is growing at around 0.1-0.5%pa, reflecting not only the impacts of government spending cuts, but a depressed private sector.
Visit Britain, the national tourism body, is to be restructured as an industry-led organisation, with its (reduced) public funding matched by industry contributions and with two core responsibilities: marketing Britain overseas through a new £100 million per year industry-funded campaign and also encouraging and supporting the tourism industry to improve its productivity to make the UK more competitive as a destination. At the local level, local public sector tourism boards are being reconfigured as Destination Management Organisations (DMOs) that are industry-led and independent of the state, with variability in terms of structure and goals depending on local circumstances and business needs.
Tourism and local economic development in england
James KennellDirector, Economic Development Resource Centre Senior Lecturer in Tourism and Regeneration University of Greenwich Business School
• Created in 2010 after an electoral crisis• Centre-right coalition• Economic crisis driving policy
• Broad changes – Regional Development Agencies abolished – Local Enterprise Partnerships (LEPs) created • Tourism an early priority (Kennell & Chaperon 2010)• Tourism governance changes – Regional DMO funding cut – Restructure and cuts for national DMOs – Increased role for private sector in destination development and management
• Post 1997 – Boosterism / Trickle-down economics – Community-level work as sustainable development – State-driven
“reduce the sector’sdependence on taxpayer funding” (DCMS 2011:8) Generally constrained by older models of economic development (orthodox, community) Governance restructure creates opportunities for progressive LED • Role for third sector • Local leadership
• “a particularly effective vehicle for regenerating run-down neighbourhoods, using relatively small amounts of new investment…festivals and cultural connections can be equally powerful…which then acts as a catalyst” (DCMS 2011: 12).• Sustainable development replaced with ‘economic sustainability’
New Glocalisation Eventseconomic - - models Local The end of - distinctiveness blockbusterDashboards for global attractions? markets
• Centre right / neoliberal government• Tourism policy reflects that….• BUT – because of the economic crisis – Localism – Role for third-sector – Private sector engagement• There are possibilities for tourism being linked to progressive LED