Part of the debate – in the Senedd at 4:28 pm on 29 March 2023.
Thank you, Dirprwy Lywydd, and thank you to Members for contributing to today's half-an-hour debate. It won't be a surprise that I disagree with the Member's essential proposal, but he's entitled to bring his proposal forward. That's part of what this Chamber is for. I was, however, a little disappointed at the disparaging references to civil servants in the opening. The visitor economy is a priority for the Welsh Government, with tourism-related industry generating 5 per cent of Wales's gross value added, or £3.4 billion in 2020-21.
We have a clear and ambitious strategy for the visitor economy, 'Welcome to Wales: Priorities for the visitor economy 2020-2025'. Our final budget provides an allocation of £10.63 million in revenue and £5 million of capital to support the sector, and help deliver the strategy. That will provide funding for essential capital investment, like the Brilliant Basics fund, to support small-scale infrastructure investment, along with revenue support for marketing campaigns, investing in skills, recruitment initiatives and quality assurance through grading.
We also have ambitious cross-Government policies in development. I include the visitor levy and the statutory licensing scheme in those, in our manifestos and in the co-operation agreement with Plaid Cymru. These are aimed at enhancing and supporting the industry further. These three factors—strategy, budget and cross-Government, cross-sector working—are the cornerstones of effective policy making at the heart of Government. These directly support the development of the tourism industry here in Wales.
Members will of course be aware that, last month, I announced that the Deputy Minister, Dawn Bowden, was taking a lead on matters relating to tourism, and the tourism and hospitality sector have already started to work positively and constructively with the Deputy Minister. She’s already had an opportunity to see first-hand examples of what Visit Wales are doing to support the sector. She’s been, for example, to Cosmeston lakes in the Vale of Glamorgan to see small-scale infrastructure improvements through Brilliant Basics, and how they help to enhance the visitor experience. She’s been to Pendine Sands in Carmarthenshire; there’s a multimillion-pound visitor attraction there, home to the museum of land speed—at some point I’ll tell him my family connection to that—in addition to a new eco-holiday resort. We supported that project through Tourism Attractor Destinations with former EU funds.
Visit Wales creates a powerful and dedicated one-stop-shop department, with less of a false distinction between making policy and implementation. It has the necessary critical mass and increased commercial focus to generate policy areas that are directly suitable to Wales and our economy. And we are undeniably very close to the sector in the way that we operate. In Wales, we have the ability to know each other well, to engage with each other frequently. That does not happen in every country. I’m proud of how close we are as a Government to the people and organisations here in Wales, including in the visitor economy. We have direct and honest engagement with industry bodies and Ministers, not just officials. The idea that we don’t understand what’s happening and there isn't an industry body lobbying for views and interests simply isn’t accurate. The visitor economy forum and our regional tourism partnerships feed directly into Visit Wales with businesses making very clear their views, including on the times we disagree. But we do listen to the feedback, and we’re interested in the advice from the sector to inform the choices we need to make in the Government. But if there were an arm’s-length body, let’s not pretend that it would somehow put those choices and that advice above the political fray. We all know that wouldn’t happen.
I can also highlight some real examples of how Visit Wales being part of Government has been beneficial to the sector. For example, during the COVID pandemic, the need to work closely across a range of areas, and the direct engagement with the sector, Visit Wales and Ministers, led to effective guidance and support, which the tourism sector supported, and unprecedented levels of funding to maintain visitor economy businesses. Most recently, of course, our recent collaboration with the Football Association of Wales—I’m delighted about the result this week, of course—during the FIFA World Cup worked extremely well in promoting Wales to international audiences, international offices, and in positively promoting modern-day Wales, including of course the Welsh language, culture and priorities. Visit Wales, I believe, sits in a strong position as a key department within the Government, whilst still being able to pursue commercial activity, for example to target international visitors through the likes of Expedia—we had a partnership, again, with them through the football world cup—and to work effectively with VisitBritain to promote Wales. [Interruption.] I’ll take the intervention.