Lib Dems oppose tourism funding cuts

11.32.00am UTC (GMT +0000) Mon 25th Feb 2008

Visit Norwich

At the budget council last week the Liberal Democrats opposed Labour's cuts to the tourism industry in Norwich. Unfortunately, Labour's decision was backed by both Green and Conservative groups.

From the Norwich Evening News 25/02/08 Sam Willimas writes:

A bitter blow for tourism industry

Norfolk's multi-million pound tourism industry could be dealt a major blow amid fears promotion body Visit Norwich (VN) is under threat due to funding cuts.

Fears for the non-profit making company's future have been raised after Broadland and South Norfolk councils withdrew nearly £40,000 in funding.

The figure equates to around 10pc of the group's annual income.

The cuts follow a £50,000 reduction in Norwich City Council's grant last year, which saw payments fall from £125,000 to £75,000.

Today, the cuts were defended by council leaders who said the organisation had not done enough to prove the money was well spent.

However, those directly involved in Norfolk's tourism industry say that were the group allowed to fold it would be a bitter blow to the area.

The fears come after City Hall bosses turned down a proposal to hand over an extra £32,000 for the forthcoming financial year.

Today, VN bosses warned the cuts would curb its work to promote tourism, which is worth more than £650m to the city and surrounding areas and supports 8,500 jobs.

They will be seeking meetings with both Broadland and South Norfolk councils to urge them to overturn the decisions.

Caroline Jarrold, VN chairman, said: "Tourism is a vital sector for the local economy - indeed it's Norfolk's biggest - and with significant growth planned for the Norwich area over the next 20 years, tourism has a major contribution to make to the creation of new jobs and economic growth, as well as helping to boost its image and profile.

"Without VisitNorwich, that growth will be stunted, the destination will be less able to compete and businesses and jobs across the visitor economy are likely to suffer."

Launched in 2005 by the previous Liberal Democrat administration at Norwich City Council, VN was set up to promote the city, Broadland and South Norfolk as a tourist destination.

While the organisation relies on private sector funding for 60pc of its annual income of around £400,000, the remainder comes from councils and other public bodies

It is feared the lack of support could hit VN's reputation, leading to companies withdrawing their involvement.

But the cuts follow concerns over whether VN was the most cost effective way of promoting tourism in Norfolk.

Steve Morphew, leader of Norwich City Council, said: "We are absolutely committed to tourism and absolutely committed to investing £75,000 in tourism but we need to be sure the people acting on our behalf have got the capacity to deliver.

"We are accountable for the £75,000. What we need to be clear about now they have lost the support of South Norfolk and Broadland councils is whether VN is a sufficiently credible organisation."

His comments were backed by Adrian Ramsay, leader of the city council's Green group, who said it would be "financially irresponsible" to give £32,000 "to an organisation others have already abandoned".

But Hereward Cooke, leader of the Liberal Democrat group, criticised the administration's decision not to support the group with extra funding.

He said: "We view it very seriously in that it removes a necessary building block in the tourism offer and removes confidence anyone might have in Visit Norwich."

Bosses at Broadland and South Norfolk councils claim the organisation is too focused on Norwich rather than surrounding areas.

Angi Doy, communications manager at Broadland, said its agreement to fund VN was due to end on March 31, adding: "We particularly want to promote Broadland as a visitor destination in the context of Norfolk as a whole and the proximity of Norwich.

"It was resolved at a cabinet meeting that we would withdraw the funding from Visit Norwich Limited and explore other methods of supporting Broadland's tourism activities using the same level of funding previously awarded to VN."

Michael Windridge, South Norfolk cabinet member for tourism, heritage, enterprise and culture, added: "VN does a great job for the city of Norwich but we believe we can obtain better investment of taxpayers' money by using the £20,000 on developing, marketing and promoting South Norfolk as a destination for visitors - instead of being a gateway to somewhere else."

But Zak Welch, sales manager at the Maid's Head hotel in the city, said if the firm collapsed it would be a "grave loss" to the city and the tourism industry.

He added: "We work very closely with VN and they have so much passion about what they do and really want to take it forward."

Sally Entwistle, proprietor at The Old Rectory hotel in Thorpe St Andrew, said: "Visit Norwich has been a very effective marketing tool for us and has driven a lot of business to us. What would they put in it's place?"