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Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 4 May 2021
  6. Current session: 13 May 2021 to 13 February 2026
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Displaying 1853 contributions

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Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Claire Baker

Colin Wilkinson, I will come to you and your members next. The fact is that other businesses are feeling the pressures, too—not just tourism and hospitality. Everybody is dealing with increased energy and other costs. What is unique to the sector that is leading to the fragile picture that Leon Thompson has described? Are there unique factors that are making the environment tougher for hospitality?

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Claire Baker

What Mr Stewart means is that he is going to ask some questions about the subject of VAT later. I know that it is something that the sector has raised.

Just to finish the initial line of questioning, I will come to Marc Crothall on the financial status of the hospitality and tourism sectors. Last year, the committee, in its budget proposal, asked for protection of the VisitScotland budget and recognised its important role in helping attract visitors and supporting the sector. However, a cut to that budget has been proposed in this year’s budget. What concerns do you have in that respect? As I have said, we have seen an increase in international passengers to Scotland and in their spend. Actually, the number of visits is slightly lower, but the spend is higher. What concerns do you have around the VisitScotland budget?

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Claire Baker

Gordon, did you wish to ask a supplementary question?

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Claire Baker

There are three members left who wish to ask questions, so we will make some progress.

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Claire Baker

Maggie Chapman has a question about the workforce. Maybe some of the points that you want to make can be addressed to her.

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Claire Baker

Thank you. That brings us to the end of today’s evidence session. Thank you very much to the members of the panel for giving us their time this morning.

10:58 Meeting continued in private until 11:25.  

Economy and Fair Work Committee

Decision on Taking Business in Private

Meeting date: 24 January 2024

Claire Baker

I should also say that we previously agreed to take agenda item 4 in private.

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Claire Baker

Our next item of business is an evidence session with the Scottish tourism and hospitality bodies, following publication of the Scottish Government’s draft budget in December 2023. I welcome Marc Crothall, chief executive, Scottish Tourism Alliance; Leon Thompson, executive director, UKHospitality Scotland; and Colin Wilkinson, managing director, Scottish Licensed Trade Association. Thank you all for attending this morning, and for the briefings that we received in advance.

I will start with some questions. I know that you have criticisms of the budget, but you also point to positive reports from the sector. We have seen growth in the sector’s economic value, and you recognise that there has been an increase in visitor numbers, particularly international visitors. With that, we are seeing an increase in the economic contribution of the sector. If you can point to the positive growth and recovery in the sector, why is there so much concern about the budget, and why are the calls for Government support so strong?

There will be a chance this morning to cover all the areas that you have raised, so please do not feel the need to explain everything in your first answer. Leon Thompson, I will bring you in first to talk about what seems to be a contradiction. If you can point to figures that show that the sector is doing well and that there is buoyancy, why is there such a need for Government support?

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Claire Baker

When the committee did an inquiry on town centres last year, or maybe the year before, we found that one of the solutions was the need for town centres to have a mixed economy, and tourism and hospitality are key players in that. It cannot all be about retail—what we need is a changed economy. Does the picture that you have described make that harder to achieve? At that time of the inquiry, we were looking at how we might change the use of a property to allow a hospitality business to move in, but now we see those businesses closing. They are creating empty spaces as much as retail is.

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Claire Baker

I will bring in Marc Crothall in a second, but members have supplementaries for Colin Wilkinson. Brian, do you want to come in?