Tourism test for Chancellor

WITH George Osborne set to announce increased levels of borrowing in next week’s Autumn Statement because of the country’s flatlining finances, the Chancellor will have very little room for financial manoeuvre in a setpiece speech that is likely to revolve around his plans to transform the North’s economic prospects.

He could do no worse than heed the call from the Tourism Alliance for the amount of VAT levied on visitor attractions and accommodation to be cut from 20 per cent to five per cent, a move which has the potential to create 8,500 jobs in Yorkshire and boost the county’s coffers to the tune of £260m a year.

Britain already has some of the highest VAT rates in Europe when it comes to tourism and there are fears that the country will miss out on overseas visitors – and the Treasury’s finances left even more depleted – unless Mr Osborne takes this timely opportunity to demonstrate his tax-cutting credentials.

The Chancellor should not be afraid to do so. For, while his plans for a Northern Powerhouse revolve around improvements to transport and infrastructure along the M62 corridor, there is a danger that the plight of the rural economy will be overlooked.

This is both mistaken and short-sighted. Parts of rural Yorkshire, for example, are home to hidden pockets of poverty which are comparable to the levels of social deprivation in urban areas that so concern Britain’s political elite. Without visitors, the prospects for many countryside communities would be even bleaker and it is time that policy-makers recognised tourism’s untapped potential as a growth industry – the Tour de France, after all, did far more to promote Yorkshire to a global audience than any political initiative in recent times. As such, Mr Osborne should not be afraid to seize the initiative. For, if he does, the longer-term economic dividend could be a substantial one for rural and urban Britain alike. Over to you, Chancellor.

Migration move

Home truths on the jobs front

ANOTHER DAY and another Tory backbencher increasing the pressure on David Cameron to push for Britain’s exit from the European Union because levels of migration have become so destabilising. The latest advocate is Owen Paterson who is still aggrieved that he lost his job as Environment Secretary in the last Cabinet reshuffle.

His warning that “the eurozone has already embarked upon a path that we can never follow” suggests David Cameron will have an almost impossible job convincing his Parliamentary party about the merits of any reforms and concessions which he is able to secure from Brussels ahead of any referendum in 2017 on EU membership.

Yet, inadvertently or otherwise, Mr Paterson’s approach does reveal a flaw in the political debate that appears to be taking on added urgency because of Ukip’s electoral success, not least in last Thursday’s Rochester and Strood by-election.

Instead of blaming eastern Europeans for moving here to take advantage of job opportunities, perhaps the Government – and politicians like Mr Paterson – need to question the work ethic of those out-of-work Britons who seem reluctant to roll up their sleeves and gain a foothold on the employment ladder.

With the number of vacancies now exceeding the number of jobseekers according to the latest analysis, perhaps Britain’s problems with Europe are far closer to home than politicians like Mr Paterson are prepared to admit in the current climate.

A small world

Supporting the high street heroes

THe description of England by Napoleon as a nation of shopkeepers has looked ever shakier in recent times as the nation’s customers flock to out-of-town retail parks rather than the independent shops of the traditional high street.

Christmas, however, is an occasion when shoppers remember the reliability and variety offered by smaller traders and those family-run businesses who work all hours in order to provide a level of service that cannot be matched by the major supermarkets or online retailers.

So what better time for Small Business Saturday on December 6 to shine a spotlight on small shops and emphasise their importance both to local communities and to the national economy?

So hail these high street heroes by downloading the new work by renowned pop artist Sir Peter Blake, celebrating the independent traders who contribute so much to Yorkshire’s vitality, and don’t forget your high street this Christmas.