Edinburgh’s tourism industry has been hit badly by the impact of the Olympics clashing with the capitals festivals-even with ticket sales rallying since the end of the games. New records released to Scotland on Sunday reveal that hotel bookings in the capital were down 18 per cent in the first two weeks of August.
Many commercial property hoteliers had to cut their rates at the last minute after being left with vacant rooms, with industry leaders acknowledging the market was “flat” in the capital.
The high cost of flying to the UK, interest in the Olympics and the impact of the recession on consumer confidence have all been keeping tourists away from the city.
Chair of VisitScotland, Mike Cantlay, said it had been a “challenging” summer, with bad weather discouraging visitors. However, the arrival of major new venues, a post-Olympics ticket sales boom and a campaign to keep retail commercial properties open later than normal is thought to have sparked a recovery in the second half of the month.
Major Fringe venues professed earlier this month that ticket sales were lower than projected, with many pointing the finger at the local audience for staying in to watch the Olympics instead of taking in shows.
However, the Edinburgh Hotels Association said larger issues had affected booking levels, which by the end of the third week were down by 12 per cent compared to that of 2011.
Colin Paton, chairman of Edinburgh Hotels Association, commented: “I’d say the main impact was the cost of travel to the UK over this period compared to other international cities. Many visitors to Edinburgh are going on two-city breaks to the UK and would normally take in London and that market was way down.
“The first week was down 19 per cent and the first two weeks by 18 per cent. It’s only after week three there has been a difference after the Olympics, as the total number of bookings is down 12 per cent.”
Nevertheless it’s not all doom and gloom for Scotland. A £9 million expansion of The Fort shopping park in Glasgow’s East End could deliver additional jobs over the coming months.
The project is set to be completed for the summer of 2013 and will see a number of big names in the restaurant and hospitality sector attracted to the site, including Harvester and TGI Friday.
Previous Post
Have you Lost Faith in your High Street Bank?
