The Economic Impact of Devon’s Visitor Economy 2017 Torbay Produced on behalf of the Devon Tourism Partnership By The South West Research Company Ltd October 2018

Contents Page Introduction 3 Torbay data 4 Devon data 17

Introduction This report examines the volume and value of tourism and the impact of visitor expenditure on the local economy in Torbay and Devon county in 2017. It should be noted that not all districts within the county have taken part in this project this year and as a result the district breakdowns refer only to those participating. Full county figures are available from page 17 of this report. The figures were derived using the Cambridge Economic Impact Model undertaken by The South West Research Company (TSWRC). The model utilises information from national tourism surveys and regionally/locally based data. It distributes regional activity as measured in those surveys to local areas using ‘drivers’ such as the accommodation stock and occupancy which influence the distribution of tourism activity at local level. For further information on the Cambridge Model and the terms used in this report please see Appendix 1 which accompanies this report. For an overview of 2017, including key facts about the economy, weather and key events please see Appendix 2 of this report.

Value of Tourism 2017 Torbay Key Facts 1,151,200 Staying visitor trips 4,420,300 Staying visitor nights £296,580,000 Staying visitor spend 3,513,000 Day visits £133,451,000 Day visitor spend £430,031,000 Direct visitor spend £8,882,000 Other related spend £438,913,000 TOTAL VISITOR RELATED SPEND 10,849 Estimated actual employment 7,970 FTE employment 18% Proportion of all employment

Torbay – Staying visits Information on staying visits is derived from the Great Britain Tourism Survey (GBTS) for domestic visitors and from the International Passenger Survey (IPS) for Overseas visitors. The methodology of both surveys has been stable since 2006 allowing for direct comparison between years and the analysis of trend data. Data at a county level is derived from the national surveys for trips, nights and spend but adjusted to account for local data and modelled below this level. 6

Torbay - Staying visits in the county context Area Domestic trips (000’s) Overseas trips (000’s) Domestic nights (000’s) Overseas nights Domestic spend (millions) Overseas spend Exeter 458 60 1,474 616 £94 £38 North Devon 990 56 4,294 355 £231 £20 Plymouth 676 79 2,196 645 £121 £35 Teignbridge 605 39 2,520 268 £124 £13 Torbay 1,060 91 3,849 571 £261 £36 Torridge 244 19 999 144 £54 £7

Torbay - Staying visits by accommodation type Domestic tourists Trips Nights Spend Serviced 528,000 1,428,000 £140,219,000 Self catering 101,000 562,000 £43,626,000 Touring caravans /tents 41,000 201,000 £6,346,000 Static vans/holiday centres 183,000 900,000 £45,507,000 Group/campus 2,000 5,000 £274,000 Paying guest in private homes £0 Second homes 13,000 63,000 £2,059,000 Boat moorings 8,000 33,000 £1,815,000 Other 7,000 £523,000 Staying with friends and relatives 177,000 645,000 £20,210,000 Total 1,060,000 3,849,000 £260,579,000 Overseas tourists Trips Nights Spend Serviced 58,100 218,100 £20,542,000 Self catering 4,100 46,600 £2,876,000 Touring caravans /tents 1,600 7,800 £332,000 Static vans/holiday centres 1,000 4,900 £268,000 Group/campus 400 8,800 £650,000 Paying guest in private homes 101,600 £4,872,000 Second homes 7,000 £354,000 Boat moorings £0 Other 1,800 11,200 £260,000 Staying with friends and relatives 18,800 165,300 £5,848,000 Total 91,200 571,300 £36,001,000

Torbay - Staying visits by purpose Domestic tourists Trips Nights Spend Holiday 913,000 3,522,000 £226,225,000 Business 99,000 192,000 £18,467,000 Visits to friends and relatives 36,000 105,000 £11,022,000 Other 11,000 30,000 £4,865,000 Study £0 Total 1,060,000 3,849,000 £260,579,000 Overseas tourists Trips Nights Spend Holiday 48,400 207,100 £14,439,000 Business 15,500 63,600 £6,049,000 Visits to friends and relatives 22,100 155,100 £5,639,000 Other 800 5,500 £477,000 Study 4,400 140,000 £9,397,000 Total 91,200 571,300 £36,001,000 6

Torbay – Day visits Information on day visits within this report has been derived from the 2017 Great Britain Day Visit Survey (GBDVS). The survey, which was first undertaken in 2011, provides a much needed update on day visit activity in Great Britain and generally speaking estimated greater frequencies of trip taking than the previous day visit survey (England Leisure Visits Survey 2005). As a result of the new methodology in 2011 comparisons with previous day visit estimates are not possible. The GBDVS distinguishes between day visits to a town or city; to the seaside and coast; and to the countryside. Different drivers are used within the model to distribute these trips. Local ‘drivers’ such as attraction footfall, quality and size of countryside and coastline are factored into the model for this purpose. 6

Torbay - Day visits in the county context Area Day visits Day visit spend Exeter 1.9 £77.2 North Devon 3.1 £106.5 Plymouth 4.4 £176.4 Teignbridge 3.6 £124.6 Torbay 3.5 £133.5 Torridge 1.8 £60.7

Torbay - Day visits by location Total day visits Total day visit spend 3,513,000 £133,451,000

Torbay - Direct visitor expenditure by category Information on the breakdown of visitor spending is available from the three main tourism and day visitor surveys by type of visitor. The Model divides the expenditure between five sectors: Accommodation Shopping for gifts, clothes and other goods Eating and drinking in restaurants, cafes and inns Entry to attractions, entertainment and hire of goods and services Transport and travel costs including public transport, purchase of fuel and parking The following pages look at the breakdown of this expenditure and business turnover arising from this expenditure. By applying the expenditure breakdown to the estimates of visitor spending the Model generates estimates of total spending by the five business sectors. Visitor expenditure in each sector represents additional turnover for businesses in those sectors. However, evidence from national studies suggests that some minor adjustments are required to match visitor spend to business turnover. In particular, some expenditure on food and drink actually takes place in inns and hotels that fall into the accommodation sector and at attractions. The turnover for each business sector has therefore been adjusted to take account of these marginal changes. More significantly, expenditure on travel costs associated with individual trips is as likely to take place at the origin of the trip as it is at the actual destination. It is therefore assumed that only 60% of total travel expenditure accrues to the destination area. 6

Torbay – Direct visitor expenditure by category Accommodation UK staying visitors £97,973,000 Overseas staying visitors £11,218,000 Shopping UK staying visitors £32,990,000 Overseas staying visitors £10,044,000 Day visitors £40,075,000 Food & drink UK staying visitors £57,174,000 Overseas staying visitors £7,256,000 Day visitors £57,643,000 Attractions/entertainment UK staying visitors £28,142,000 Overseas staying visitors £4,292,000 Day visitors £13,543,000 Travel UK staying visitors £43,759,000 Overseas staying visitors £3,192,000 Day visitors £22,189,000 6

Torbay – Other visitor related expenditure by category Second Homes £905,000 Boats £2,190,000 Visiting friends and relatives (non-visitor spend) £5,787,000 Spend on second homes estimates cover rates, maintenance, and replacement of furniture and fittings. Spend on boats estimates cover berthing charges, servicing and maintenance and upgrading of equipment. Additional spending is incurred by friends and relatives as a result of people coming to stay with them. 6

Torbay – Tourism related employment Having identified the value of turnover generated by visitor spending in each business sector it is possible to estimate the employment associated with that spending. The use of visitor expenditure to generate job numbers underestimates the number of jobs arising in the attractions/entertainment sector. The underestimate arises because local authorities and voluntary bodies do not always seek to recoup the full operating costs of individual attractions of facilities from entrance charges. Therefore an additional percentage of direct employment is added to the attractions sector estimates to take account of this factor. This section of the report looks at employment on three levels; Direct Jobs - Direct jobs are those in businesses in receipt of visitor spending. For example, jobs supported by visitor spending at a hotel would be direct jobs. Indirect Jobs - Indirect employment arises as a result of expenditure by businesses in direct receipt of visitor expenditure on the purchase of goods and services for their businesses. For example, some of the employment at a business supplying food and drink may be supported through the supplies that the business sells to hotels (or any other business in direct receipt of visitor expenditure). Induced Jobs - Induced jobs are those that are supported by the spending of wages by employees in direct and indirect jobs. Such spending will be spread across a wide range of service sectors. Estimates are shown for actual jobs and full time equivalent jobs (FTE’s). 6

Staying visitor related Torbay – Tourism related employment Estimated actual employment Direct 7,950 Indirect 2,073 Induced 826 Total 10,849 Full time equivalent employment (FTE’s) Direct 5,427 Indirect 1,818 Induced 725 Total 7,970 Direct employment in businesses in receipt of visitor expenditure (FTE’s) Staying visitor related Day visitor related Total Accommodation 1,685 18 1,703 Retailing 372 347 719 Catering 894 793 1,687 Attractions/entertainment 630 273 902 Transport 187 88 275 Arising from non trip spend 141 Total Direct 3,909 1,518 5,427 6

Devon 2017

Total staying and day trips Devon - Key facts at a glance Total visitor spend UK £1,201,786,000 Overseas £198,818,000 Total visitor nights UK 21,050,000 Overseas 3,548,000 Total staying trips UK 5,505,000 Overseas 471,000 Total staying and day trips 35,493,000 Total day trip spend £1,051,399,000 Total day trips 29,517,000 Total visitor related spend £2,518,285,000 Friends and relatives spend (non-visitor) £50,733,000 Induced employment 9,341 Indirect employment 12,574 Direct employment 43,777 Total estimated actual employment 65,691 (49,162 FTEs) 11% of all employment Second home/holiday accommodation spend £15,549,000

Devon - Staying visits in the regional context Area Domestic trips (000’s) Overseas trips (000’s) Domestic nights (000’s) Overseas nights Domestic spend (millions) Overseas spend Cornwall 4,430 354 20,970 2,482 £1,253 £148 Devon 5,505 471 21,050 3,548 £1,202 £199 Dorset 3,501 393 12,496 3,447 £671 £226 Former Avon 2,820 952 6,368 5,602 £487 £311 Gloucestershire 1,853 271 4,571 1,748 £337 £123 Somerset 2,270 236 7,350 1,609 £419 £83 Wiltshire 1,625 318 4,340 1,894 £283 £113

Devon - Staying visits by accommodation type Domestic tourists Trips Nights Spend Serviced 1,800,000 4,864,000 £477,713,000 Self catering 522,000 2,893,000 £224,477,000 Touring caravans /tents 590,000 2,923,000 £92,307,000 Static vans/holiday centres 747,000 3,683,000 £186,214,000 Group/campus 89,000 244,000 £14,585,000 Paying guest in private homes £0 Second homes 122,000 565,000 £18,609,000 Boat moorings 28,000 112,000 £6,110,000 Other 57,000 114,000 £4,589,000 Staying with friends and relatives 1,549,000 5,651,000 £177,182,000 Total 5,505,000 21,050,000 £1,201,786,000 Overseas tourists Trips Nights Spend Serviced 198,000 743,000 £69,983,000 Self catering 21,000 240,000 £14,799,000 Touring caravans /tents 23,000 114,000 £4,833,000 Static vans/holiday centres 4,000 20,000 £1,098,000 Group/campus 471,000 £34,580,000 Paying guest in private homes 17,000 350,000 £16,782,000 Second homes 63,000 £3,195,000 Boat moorings £0 Other 16,000 98,000 £2,277,000 Staying with friends and relatives 165,000 1,449,000 £51,271,000 Total 3,548,000 £198,818,000

Devon - Staying visits by purpose Domestic tourists Trips Nights Spend Holiday 4,759,000 19,144,000 £1,063,432,000 Business 334,000 673,000 £80,614,000 Visits to friends and relatives 314,000 963,000 £40,060,000 Other 99,000 270,000 £17,680,000 Study £0 Total 5,505,000 21,050,000 £1,201,786,000 Overseas tourists Trips Nights Spend Holiday 203,000 1,037,000 £72,196,000 Business 52,000 254,000 £24,168,000 Visits to friends and relatives 194,000 1,623,000 £58,904,000 Other 7,000 58,000 £4,983,000 Study 15,000 575,000 £38,568,000 Total 471,000 3,548,000 £198,818,000 6

Devon - Estimated seasonality of staying visits 6

Devon - Estimated seasonality of staying visits 6

Day visit spend (millions) Devon - Day visits in the regional context Area Day visits (millions) Day visit spend (millions) Cornwall 14.7 £518.2 Devon 29.5 £1,051.4 Dorset 25.5 £891.1 Former Avon 22.6 £911.5 Gloucestershire 18.2 £609.0 Somerset 21.9 £761.0 Wiltshire 18.0 £677.8

Devon - Day visits by location Total day visits Total day visit spend 29,517,000 £1,051,399,000

Devon - Estimated seasonality of day visits 6

Devon – Direct visitor expenditure by category in the regional context Accommodation Shopping Food & drink Attractions/ entertainment Travel TOTAL Spend £511,268,000 £536,448,000 £754,111,000 £272,842,000 £377,335,000 £2,452,004,000 % 21% 22% 31% 11% 15% 100%

Devon – Direct visitor expenditure by category Accommodation UK staying visitors £454,390,000 Overseas staying visitors £56,878,000 Shopping UK staying visitors £152,209,000 Overseas staying visitors £57,522,000 Day visitors £326,717,000 Food & drink UK staying visitors £265,180,000 Overseas staying visitors £42,232,000 Day visitors £446,699,000 Attractions/entertainment UK staying visitors £129,775,000 Overseas staying visitors £23,591,000 Day visitors £119,476,000 Travel UK staying visitors £200,232,000 Overseas staying visitors £18,595,000 Day visitors £158,508,000 6

Devon – Other visitor related expenditure by category Second Homes £8,175,000 Boats £7,374,000 Visiting friends and relatives (non-visitor spend) £50,733,000 6

Staying visitor related Staying visitor related Devon – Business turnover Turnover derived from trip expenditure Staying visitor related Day visitor related Total Accommodation £517,416,000 £8,934,000 £526,350,000 Retailing £207,633,000 £323,450,000 £531,083,000 Catering £298,190,000 £433,298,000 £731,488,000 Attractions/entertainment £158,538,000 £127,210,000 £285,748,000 Transport £131,296,000 £95,105,000 £226,401,000 Arising from non trip spend £66,282,000 £0 Total Direct £1,379,355,000 £987,997,000 £2,367,352,000 Total business turnover supported by tourism activity Staying visitor related Day visitor related Total Direct £1,379,355,000 £987,997,000 £2,367,352,000 Supplier and income induced £774,062,000 £437,005,000 £1,211,067,000 £2,153,417,000 £1,425,002,000 £3,578,419,000 6

Devon – Tourism related employment in the regional context Area Number of FTE’s Cornwall 40,467 Devon 49,162 Dorset 34,628 Former Avon 24,486 Gloucestershire 19,705 Somerset 24,674 Wiltshire 20,704 6

Staying visitor related Devon – Tourism related employment Estimated actual employment Direct 43,777 Indirect 12,574 Induced 9,341 Total 65,691 Full time equivalent employment (FTE’s) Direct 29,938 Indirect 11,030 Induced 8,194 Total 49,162 Direct employment in businesses in receipt of visitor expenditure (FTE’s) Staying visitor related Day visitor related Total Accommodation 7,622 132 7,754 Retailing 1,752 2,729 4,480 Catering 4,085 5,935 10,020 Attractions/entertainment 2,876 2,308 5,183 Transport 840 609 1,449 Arising from non trip spend 1,052 Total Direct 18,226 11,712 29,938 6