Agenda item

Scrutiny of Monmouthshire STEAM (tourism volume and value) figures.

Cabinet Member Angela Sandles introduced the report. Nicola Edwards delivered a presentation and answered the members’ questions with Councillor Sandles. 

Key points from members: 

·                  A member enquired about the data sets in the STEAM report, specifically how visitors arrive, how they travel once they arrive, and if there is any investment in promoting public transport for tourists. The officer explained that the majority of visitors arrive by car and travel around by car as well. She mentioned that efforts are being made to promote public transport and work with transport operators to encourage its use, although it is challenging in a rural destination like Monmouthshire. 

·                  It was further asked if any public money is invested directly into tourist promotion and if there is a correlation between such investments and positive impacts on the data. The officer responded that while the team does record and report on marketing metrics, detailed visitor research is expensive, and they do not currently have the budget for large-scale visitor surveys. She mentioned that the new Destination Management Plan would address these issues and provide more detailed insights. 

·                  A member asked about the correlation between the labour market statistics and the STEAM report. The officer clarified that the labour market statistics were not part of the report. She explained that the STEAM report focuses on the number of jobs supported by tourism, which is distributed across various employment sectors, including both employed and self-employed individuals. She mentioned that the 15% figure represents the total employment in Monmouthshire supported by tourism. 

·                  A member asked about the occupancy rates of hotel accommodation compared to self-catering accommodation, and enquired about the support for the private self-catering market, considering factors like tourism tax, business rates, and the necessity for holiday lets to have a certain number of days of occupation. The officer explained that non-serviced and self-catering accommodations drive economic impact growth in Monmouthshire. She noted that the accommodation profile is skewed in favour of non-serviced accommodations, which have recovered better post-pandemic. She highlighted the challenges faced by self-catering providers, such as the 182-day occupancy threshold for business rates, which is higher than in England, and mentioned that the visitor levy could be an opportunity if the revenue generated is reinvested to improve the visitor experience. 

·                  The member also questioned the need for further hotel accommodation versus improving self-catering options. The officer emphasised the importance of having a good range of different types of accommodations to attract various visitors, including those who choose destinations based on specific hotels. 

·                  A member asked how Monmouthshire is addressing the challenges posed by extreme weather on tourism and how to keep people coming back. The officer responded that destinations with wet weather attractions have been more resilient, highlighting the importance of having compelling experiences that are not affected by extreme weather. She mentioned that Monmouthshire already has some attractions like castles and halls that cater to this need. 

·                  The member also enquired about incorporating visitor feedback into the new destination management plan and any areas identified for improvement through stakeholder engagement sessions. The officer noted that common issues raised include car parking, public toilets, and public transport, which affect both residents' quality of life and visitor experience. She confirmed that these insights would be incorporated into the new Destination Management Plan. 

·                  A member asked about qualitative insights gathered from visitors e.g. what they value about the Monmouthshire experience, their expectations, and areas for improvement. The officer responded that the team has lots of insightful data on what visitors think about Monmouthshire, including their motivations, activities, and perceptions of the area's strengths. This information will be presented as part of the new Destination Management Plan. 

·                  Concerning budgetary constraints, the member asked if there are potential funding opportunities beyond Welsh Government, including cross-border tourism initiatives, that Monmouthshire could leverage. The officer explained that funding for destination marketing has been reducing, and they rely on partnerships with Visit Wales, Welsh Government, and private sector partners for promotional activities. She noted that opportunities for funding from UK Government are limited due to the perception of displacement activity. 

·                  A member enquired about the data on bed spaces, specifically if it includes campsites and airs (dedicated motorhome parking spaces) within the non-serviced accommodation data. The officer confirmed that the non-serviced bed spaces data includes caravan and camping, as well as glamping. She also clarified that Monmouthshire does not currently have any airs. 

·                  A member asked about the breakdown of the impact of Airbnb and self-catering units on tourism and employment. It was explained that serviced accommodation, such as hotels, is the most valuable type of accommodation as it supports more jobs and delivers the highest value of all tourism. However, Monmouthshire has more non-serviced accommodation, including self-catering and Airbnb, which has been driving economic growth post-pandemic. 

·                  The member asked how Monmouthshire County Council's website could be used for greater promotion of events in the county. The officer mentioned that MCC's website has a calendar of events that is free for event organizers to add their information to, promoting events across the county. 

·                  A member asked about the effect of traffic congestion on the visitor experience, e.g. around Chepstow, whether there is potential for park and ride facilities in Monmouthshire, and if there is any liaison with bus companies and tour operators to organise trips to the county. The officer explained that some larger event venues, like Chepstow Racecourse, organise park and ride schemes for large events. However, organising such schemes for smaller numbers would be difficult and costly. She also mentioned that travel trade activity, including encouraging coach companies and tour operators to come to Monmouthshire, is done collaboratively as part of a Southeast Wales regional marketing campaign. This includes attending trade shows and working with operators to include Monmouthshire experiences in their itineraries. 

·                  The Chair asked if Visitor yield and price is per head per day, or includes an overnight stay.The officer explained that the report covers two different metrics: economic impact per visitor (visit yield) and economic impact per visitor day. The average economic impact per visitor is £144, which varies significantly between day visitors and staying visitors. Day visitors contribute between £42 and £279, while staying visitors contribute £439, which includes their overnight accommodation costs. The average economic impact per visitor day is £93.43. 

·                  The Chair asked what can be done, or is recommended, to deal with the squeeze on self-catering profits from the 182-day occupancy rate. The officer agreed that there is a risk, the size of which is not known, but from the regular feedback received from self-catering operators what they are most struggling with is the 182-dayoccupancy threshold. 

·                  The Chair asked about the relationship between this report and the RLDP.The Cabinet Member explained that discussions with the Cabinet Member for Planning and Economic Development and officers have highlighted the openness to various approaches from tourist operators. The team is willing to collaborate and encourage these operators to come to the county. They have numerous links on their websites, such as MonLife and Visit Monmouthshire, which provide ample opportunities for tourism. She emphasised that there is room in the RLDP for positive developments in tourism and collaboration with operators moving forward. 

·                  Councillor Brown proposed that the committee gives a recommendation to Welsh Government that the 182-day occupancy threshold be reviewed –ACTION 

Chair’s Summary: 

Thank you to the Cabinet Member and officers. A number of points were raised by the committee including questions about increasing private self-catering accommodation and the impact of taxes, traffic congestion, and park-and-ride schemes; promoting Monmouthshire and expressing interest in hearing reports on the impact of different types of accommodation; enquiries about how visitors arrive and travel within the area, and the value of self-catering accommodations; discussing what drives visitors and their expectations, and asking about potential cross-border funding; emphasising the importance of tourism to Monmouthshire and the need to keep tourists returning, mentioning the Corporate Plan and the upcoming Destination Management Plan; and there was a discussion on the Visitor Yield from council tax and profits, as well as the implications of the 182-day occupancy rule for self-catering accommodation, and the RLDP. 

The committee agreed to draft a letter to the Welsh Government, with the help of officers, to address the challenges posed by the 182-day occupancy threshold for self-catering accommodations and its impact on the tourism economy of Monmouthshire. The legislation needs to be in place for self-catering accommodation to be properly regulated.