Leisure sector 'will drive economic growth'
Businesses view the hospitality and leisure sector as a key driver of economic growth in the UK over the next decade, according to a survey by Barclays Corporate.
The survey of 664 UK firms found that more than three quarters in all but two regions of the country named the sector as an important catalyst for the economy in their region. In Scotland, 95% of companies surveyed believed this to be true.
The proportion of firms that agreed in two other regions — London and the south east, and the north west — was 57% and 53% respectively.
In addition, 52% of the leisure and hospitality businesses surveyed expect steady and sustained growth over the next 10 years. However, 39% expect predict zero or negative growth.
Meanwhile, the companies predict that foreign ownership of hospitality and leisure businesses will increase to 81% over the next decade. More than half of those surveyed (52%) expect to see "much more" foreign ownership generally in the UK.
Olympics
Mike Saul, head of hospitality and leisure at Barclays Corporate, said: "It is clear that the majority of the UK's hospitality and leisure sector believes in the fundamental strength of the UK as a place to do business, and this underlines the temporary nature of the challenges we are currently experiencing.
"To see the majority of businesses anticipating steady and sustained economic growth over the next decade should also be welcome news for a Government that is focused on developing a growth strategy.
"The industry sees itself playing an important role in this growth, and clearly the boost from next year's Olympics, and its ongoing legacy, will play a major part in this."
Investors
He added: "The UK has attracted foreign direct investment for more than two decades bringing both benefits and challenges.
"We can expect further international investment in the UK to stimulate economic development and job creation, indeed, we have already seen numerous, international hotel developers invest substantially in London in the past 18 months."
