Conference centre helps town to rise above the recession

It had been feared that the Harrogate district – the most populous area in the whole of North Yorkshire – could be severely affected by the economic downturn with a decline in tourists visiting the town and many businesses cancelling conference trips altogether as they tried to cut down costs.

But new figures show between April and September the Harrogate International Centre hosted 38 major events plus a plethora of smaller meetings and seminars – and in July it raked in 32m in just one month.

Despite the impending central government cuts, Harrogate and Knaresborough Conservative MP Andrew Jones says he is confident the spa town will continue to weather the economic storm.

He said: "Every sector will be impacted from the recession, there is no question of that, and the tourism and conference industries are no different.

"The current economic crisis is having an impact everywhere but I am convinced Harrogate is in a very strong position nationwide and will continue to be a prosperous place which as the money generated from the conference centre shows we are already seeing.

"It is vital to the economy of the entire district and due to its position in the centre of Harrogate offers something completely unique to people ahead of its competitors. I am delighted at the news."

Earlier this week Mr Jones addressed more than 210 businesses from the district alongside Wallace Sampson, chief executive of Harrogate Borough Council, at a meeting of the Harrogate Chamber of Trade and Commerce.

During the meeting it emerged that Harrogate is ranked 28th in the entire country and the highest-placed town outside of the south east, in terms of its predicted economic resilience.

Brian Dunsby, chief executive of the Harrogate Chamber of Trade and Commerce, said: "It is a welcome boost to know we are coping so well and I am very confident about the future – the conference centre, clearly, is pivotal to that.

"Harrogate's whole economy depends on visitors, from business people using our conference facilities to weekend shoppers.

"We have seen that there has been a decline in the conference industry nationwide.

"Even though the events being held are more or less the same as previous years, attendances are down, sometimes by as much as 10 per cent. But we have seen that despite the downturn, people are not going to stop coming to Harrogate.

"We are very pleased to see how well the district is performing but that will only continue if we invest in new buildings and transport infrastructure."

Despite the latest figures, experts say that there are still worrying factors affecting the district's economy.

Earlier this year a new economic blueprint developed for the area by the council identified growing economic divisions between Harrogate itself and the district's market towns, including Boroughbridge, Pateley Bridge and Knaresborough.

The study also raised concerns over a "brain drain" of young entrepreneurs – often highly-trained graduates – leaving the area to pursue careers in other parts of the country and also over rising house prices which are way above the national average.

Alison Griffin, the centre's head of sales and marketing, said: "Harrogate International Centre is clearly one of Harrogate's biggest economic drivers, impacting on everything from tourism and event providers to local shops and infrastructure.

"We are closely supported through all our work by the efforts of the town and residents, who ensure we remain a fashionable and friendly place to hold events."