2017 is set to be a strong year for the British hospitality and leisure sector with both domestic and international visitors increasingly planning holidays in the UK.
Good news for UK holiday parks
The UK’s 100 largest caravan, camping and holiday parks saw their turnover rise 9% to £2.67billion in 2016, up from £2.46billion five years ago and currently growing at a positive rate, according to research by Ortus Secured Finance.
The pounds slump against the US dollar and the euro since the EU referendum vote has also made holidaying at home more attractive, as the pound’s weakness bumps up the cost of foreign travel.
John Salisbury, Ortus managing director, said: “Caravan, camping, and holiday parks are going from strength to strength, combining value for money with high standard facilities to maximise the guest experience.
UK holiday parks companies have become the subject of a flurry of private equity deals, with robust growth and solid revenues catching the eye of investors.
One of the last years major transactions included the £1.35billion sale of Parkdean Resorts, the UK’s largest caravan operator, to Canadian private equity firm Onex Corporation, the future for UK holiday parks is bright.
International visitors influenced by Brexit
The Barclays Corporate Banking report, Destination UK: driving growth in the UK hospitality and leisure sector revealed that the mainstream of international holiday travelers (51%) report that the vote to leave the EU has had no impact on their likelihood to visit the UK. Nearly a third (31%) reported that they are more likely to visit the UK than before the Referendum.
Other international trends revealed by the research include the region’s visitors are keenest to visit, with London (67%) and Scotland (44%) topping
the list. Interest in Oxford and Cambridge are also notably higher for Chinese guests. Overall, tourists are eager to experience the UK’s landmarks (51%) history and museums (44%) and natural landscapes (41%).
The average length of a UK visit is just over one week (9 days) and the average budget per family, including airfares, is £3443. However, American and Chinese guests blow even larger budgets on their UK holidays with average spending of £5,230 and £5,424 respectively. Visitors from China and the US also have significantly larger shopping budgets.
