£7bn holiday business left to fend for itself

Welcome to Yorkshire bosses are hoping a deal can still be struck which would see the agency bringing in private investment which the Government would then match to boost its work to attract thousands more visitors to the region.

The agency has been receiving about £10m from regional development agency Yorkshire Forward, helping build up an industry worth £7bn to the Yorkshire economy and responsible for thousands of jobs,

But the looming abolition of Yorkshire Forward means the money has dried up and the Government is pushing for organisations to be more business-focused.

Instead VisitEngland – which is responsible for the whole country rather than individual regions – will get £8.5m from the Government next year and is bidding for £15m more from the Regional Growth Fund.

Meanwhile, Visit Scotland will be furnished with £38m from the Scottish Government next year, raising concerns Yorkshire will be out-muscled in the battle to attract holidaymakers.

Gary Verity, chief executive of Welcome to Yorkshire, said tourism was “vital” and needed backing. “In order to help the sector grow quicker a small amount of funding has been provided over the past three years - we don’t add to the deficit, we help reduce it by adding on £1bn to the Yorkshire economy.”

A Department of Culture, Media and Sport spokesman said: “Restraints on public spending mean that destination management organisations and tourism bodies need to be more effective, strongly business-focused, and less reliant on the public purse.”