TOURISM-DEPENDENT businesses in Bournemouth, Christchurch and Poole could miss out on more than half a billion pounds if coronavirus lockdown measures continue for six months, a report warns.
The BCP Council document says “detailed estimates” show missing the entire summer season could also lead to 9,000 job losses and be “difficult to recover from”.
But businesses have said they are optimistic that holidaymakers might choose a domestic break over international travel once restrictions are eased.
Many hotels and holiday firms have either furloughed staff or made redundancies as a result of measures preventing people from making trips.
Others have applied for support through business grants, with BCP Council having now awarded more than £30 million of the £128 million it has been given to distribute across the area.
But a report published ahead of its cabinet meeting on Wednesday warns the industry could lose as much as £507 million if travel restrictions remain in place for the next six months. A three-month period of restrictions could lead to £245 million in lost revenue and 5,000 job losses.
“Any extensive closure of the industry will effectively result in a lost season, and that may be difficult for the industry to recover from, other than in a changed configuration with potential significant disinvestment,” the report says.
Earlier this month, the District Councils’ Network said more help needed to go to more tourist-dependent parts of the country.
Tim Seward, the chairman of the BH Area Hospitality Association, said some businesses were struggling but that the area was in a better place than many others due to the number of events outside the summer period.
“As an association, we are proud of how many hoteliers in recent weeks have supported each other through emailing, phone calls and online conference calls – all hoteliers in the area know that we are in this together,” he said.
“Here in Bournemouth we are lucky in that we have more events all year round to other seaside towns and with several major events cancelled or postponed to later in 2020/2021 future bookings for hotels look hopeful.”
He said he expected a “slow recovery” once restrictions are eased but that they would then be catering for many people who have decided against travelling abroad for holidays.
His comments were echoed by Paul Clarke, the chairman of Bournemouth Coastal Bid, which represents many of the more tourism-dependent businesses in the area.
He warned there was “no guarantee” the important coach tour trade would return as strongly as it had been and that the rapid roll-out of remote working could hit the business and conference industry.
“However, there is optimism because the lockdown will end, albeit with restrictions,” Mr Clarke, who also manages the town’s Hallmark hotels, said.
“The people in the country – and locally – can help us all by holidaying in the UK and making use of the facilities we have here in our award winning coastal resort.
“We also want the BIC, Pavilion and other event venues to re-open as soon as is safe because their closure has a great impact on the town’s economy.”
Councillor David Brown, the council’s cabinet member for finance commented said they had held discussions with these service providers to advise them on the support that is available.
The Coastal Bid has also applied to the government for grants which it said would be used to support its levy payers.
But Mr Clarke said there was room for optimism with many people pushing back bookings rather than cancelling them outright.
“It will not make up for the weeks of lockdown – and we await to see if we get the Christmas bookings – but we must be ready to take advantage of the opportunity when the lockdown ends," he said.
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