The Scottish Tourism Emergency Response Group (STERG), which is chaired by VisitScotland, was created to respond to the Coronavirus (COVID-19) crisis. STERG was established in March 2020 and has helped to get significant levels of financial help to the industry.
It has been working on a single, joined-up, phased National Action Plan not just to combat the current issues but also to look at how the industry could effectively recover once the lockdown is eased.
This has been a real team effort, giving the agencies an opportunity to refocus plans and redirect budget, as well as working alongside the tourism industry to work through daily issues.
On this page you'll find an update on what STERG has delivered since it began in March 2020, including:
STERG meeting key notes and actions
6. June 2022
Key Notes & Actions - Thursday 16th June 2022
1. Note of Previous Meeting
• The note of the previous meeting (1st June) was approved.
2. Review of Previous Actions
• The STERG Action Log was circulated in advance of the meeting for information. Action: STERG partners to review the Action Log and feedback updates to KC. (ALL)
3. Business Support Funds
• All Omicron Business Support Fund grants are expected to be paid by 17th June / 20th June latest. RD expressed sincere thanks to Gillian Learmonth and the VisitScotland team for the tremendous amount of work done to deliver this complex fund.
• Significant work remains to collate the necessary data and paperwork for reporting to Scottish Government and for audit purposes (this fund falls into both FY2021/22 and FY2022/23).
• It was noted that there is further work to be done on subsidy control registration.
4. Industry Concerns and Outlook
• Recovery remains inconsistent across Scotland.
• April and Easter were strong, feedback would suggest May was softer, June is looking better, and July and August are expected to be stronger.
• International visitor numbers have not yet returned to 2019 levels however feedback suggests that international visitor spend is incredibly strong, this is particularly evident in retail and hospitality.
• A strong return of French, German, Belgian and Dutch visitors is reported in some sectors – although still not back to 2019 levels.
Examples of demand outstripping supply remains evident in accommodation, restaurants, cafes etc where operating hours are reduced and impacting on the visitor experience. It is expected that this could get worse as we move into July and August.
• Workforce challenges remain across the country, and it was noted that the scale of this challenge has not eased. It was highlighted that there are examples of businesses who have successfully managed to recruit and retain their staff and other examples of businesses who are having to adapt and manage with the workforce they have. For many businesses labour issues continue to impact capacity, operating hours and services offered to the visitor. A programme to recruit and train young people straight from school is underway in Inverness.
This is not without challenges as customer expectations have increased post pandemic and new, young staff do not yet have the skills to manage that. There is a need to ensure that the young people joining the industry are not deterred from staying in the industry. The Migration Policy Scotland round table took place yesterday, Leon Thompson UK Hospitality (Scotland) replaced MC who had COVID. The challenges and opportunities in the sector were highlighted however it was noted that nothing had moved forward.
• Funding support for sector groups and DMOs requires further discussion by STERG.
• It was highlighted that the Food Tourism action plan is being refreshed.
Action: MC to ensure the latest documents on Food Tourism are circulated to STERG for information.
5. STA Industry Survey
- • MC presented the headline findings from the STA Industry Survey which ran from 17th May 2022 to 8th June 2022.
- • The summary slide deck will be circulated with the meeting notes.
- • The press release will be published w/c 20th June along with the final report.
6. STERG Industry Performance Indicators
- • Chris Greenwood, VisitScotland joined the meeting to discuss STERG’s requirement to monitor key performance indicators for Scottish Tourism and more specifically to address the intermediate requirement between pandemic monitoring and development of Tourism Strategy (SO2030) Indicators.
• CG presented a suggested list of indicators and a suggested format for consideration. To identify specific requirements several questions were posed for future discussion by STERG.
-
- It was noted that indicators to monitor the following areas could be important: o City centre vitality / recovery – city centre footfall
-
- Flight passenger numbers, inbound and outbound
- Investment / ability of businesses to invest
-
- It was concluded that given the significance of this topic for the industry, a more in-depth discussion was required. It was noted that medium / long term requirements must be considered as well as the short
- term. It was agreed that there was not an immediate, short term need to resolve this and therefore a session within the next two months should be planned.
Action: Working session to be convened by end August / beginning of September to discuss further.
7. STERG Transition
- • The Terms of Reference are being updated to reflect further feedback from SGov colleagues and additional comments captured from STERG partners.
- • RD, MC and JY met on 9th June to discuss the application and selection process for members of the future leadership group. Further details of the process are still to be discussed however an initial proposal is being prepared for consideration by STERG partners which will include an application form and skills matrix.
- • The aim is to have the future leadership group in place and for the inaugural meeting to have been held by 31st October 2022.
8. Partner Updates
Skills Development Scotland
- • The Fair Work Convention inquiry into fair work in the hospitality industry kicked off this week. The Inquiry Group comprises of representatives from the Fair Work Convention, employers, workers, national bodies engaged in the industry, and trade unions. The Inquiry co-chair is Linda Johnston, Auchrannie resort and Satnam Ner, Prospect and Fair Work Convention. The process has just started, and it was noted that it will be challenging to ensure that a balanced view of the industry is presented. The first meeting focused on the negatives within the sector, going forward it will be important to ensure that the positives are also highlighted and that there is recognition of the great changes that have been made over the last few years.
9. AOB
- • No AOB was noted
Next Meeting Dates
- • The next STERG meeting is scheduled for Thursday 30th June, 11.00am-12.00pm.
- • The STERG meeting on Thursday 14th July will be moved to Wednesday 13th July, 11.00am-12.00pm.
- • All other STERG meetings will continue as planned throughout the summer.
Key notes & actions - Wednesday 1 June 2022
1. Note of Previous Meeting
• The note of the previous meeting (19th May) was approved.
2. Review of Previous Actions
• The STERG Action Log was circulated in advance of the meeting for information. Action: STERG partners to review the Action Log and feedback updates to KC. (ALL)
• The deadline for STERG to complete the Fraser of Allander Institute survey has been extended to Sunday 5th June.
3. Business Support Funds
• VisitScotland are processing the final few applications to the Omicron Business Support Fund. Most applicants have been advised of the outcome of their application. It is estimated that the fund will complete within the next 2-3 weeks.
4. Industry Concerns and Outlook
• Industry Concerns
o Pressure on business profitability continues due to Labour shortages and the increase in utility costs.
o The ability to provide the right service levels to meet demand and to deliver the visitor experiences that are expected, is an ongoing concern given the workforce challenges being faced. This is impacting many business operations and future bookings.
• Outlook
o Industry feedback would suggest that in general, the outlook is reasonably positive for the summer, (although May was perhaps not as good as expected).
o Demand would seem to be strong, particularly across the hostel sector, golf and tour guides who are seeing a return in international visitors, (although not yet to pre pandemic levels).
o The North American market seems to be particularly strong.
It was noted that VisitScotland have access to airline data which will provide evidence of the scale of the return of international visitors. The data should be available within the next two weeks and will be shared with STERG. Action: Airline data to be shared with STERG when available. (RD)
o Beyond the summer the outlook is not as positive, businesses are concerned about the autumn and business resilience given the current economic challenges and the fact that labour challenges will not be resolved in the short term.
• ASVA Visitor Attractions Survey ASVA in collaboration with the Moffat Centre, have just completed the latest survey of Scottish visitor attractions. Data was gathered over a three week period from the last week of April through to mid-May. 165 responses were received from organisations representing more than 310 attractions across the country. Results will be shared with STERG when available, however it was noted that the report highlights low levels of investment in new facilities or new infrastructure and in Leadership development - the potential long term impact of this was noted as concerning.
5. Scottish Government Spending Review
• The Scottish Government’s Resource Spending Review was published yesterday (31st May) https://www.gov.scot/news/resource-spending-review/
• It was noted that the review highlights that public spending is under significant pressure.
• Concern was raised that the spending plans for Tourism, Enterprise and Trade decline by c.9% from 2022-23 to 2026-27. It was noted that there is no further detail at this time and therefore it is not known what the impact of this is likely to be on tourism.
6. STERG Transition
• An updated Terms of Reference, incorporating the feedback captured on the previous STERG call, was circulated to STERG in advance for reference.
• SGov Tourism & Hospitality team have received feedback from other SGov colleagues on the draft ToR. Feedback to be shared with KC. Action: CC (SGov) to share with KC (date TBC).
• Further discussions on the member application and selection process for any future leadership group will take place on 9th June.
• It was recommended that any future leadership group should be in place by September / October 2022.
7. Scotland Outlook 2030 Transition
• A high level transition timeline, highlighting the key milestones needed to develop an implementation plan for Scotland Outlook 2030 was presented to STERG. The Implementation Plan, which will build on Phase 1 of the Tourism Recovery Programme and the Phase 2 Recovery Recommendations, aims to deliver the commitments in Scotland Outlook 2030 and contribute to the key NSET deliverables.
The importance of highlighting the relationship between Scotland Outlook 2030 and NSET was emphasised. In addition, identifying how Scotland Outlook 2030 will contribute to the delivery of NSET was also seen as critically important. It was noted that all activity undertaken in response to the COVID-19 pandemic and in support of recovery has been aligned to Scotland Outlook 2030.
• It was agreed that a review of Scotland Outlook 2030 would be prudent to ensure the strategy remains relevant in light of the COVID-19 pandemic, Brexit, current economic conditions and NSET.
• It was highlighted that plans to deliver Scotland Outlook 2030 should look to reflect a three year funding commitment as opposed to a one year commitment (2023/24 to 2025/26).
• The monthly STERG Recovery dashboard is being reviewed by the working group to find a more efficient way to deliver regular, relevant data as required by STERG. A proposal for an interim solution covering 2022 is being prepared by the working group and will be presented to STERG at the next meeting on 16th June. Medium term, a solution which can be delivered through the Scottish Tourism Observatory will be explored.
8. Partner Updates
Scottish Government
• The status updates provided in the Phase 1 Interim report can now be used to update vs.org. Action: KC to advise CC (VS) that the updates can be published on VS.org
• Mr McKee will be undertaking a summer tour and would welcome any recommendations of places to visit or people to meet. Action: STERG partners to advise CC (SGov) of all possible opportunities for Mr McKee over the summer. (ALL)
• The ASSC paper which was shared with STERG will also be circulated to other SGov colleagues.
Scottish Tourism Alliance
• The STA industry survey will close on 8th June. Headline results will be shared with the STA Council on 14th June.
• The Apprenticeship in Hospitality Board meeting was held this morning which reinforced concerns about the industry providing the right service levels to meet expectations of visitors and the impact of costs on profitability.
• The FSB published their quarterly results today, https://www.fsb.org.uk/resource-report/sbi-q1-2022.html
9. AOB
• No AOB was noted
Next Meeting Dates
• The next STERG meeting is scheduled or Thursday 16th June, 11.00am-12.00pm
5. May 2022
Key Notes & Actions - Thursday 5 May 2022
1. Review of Previous Actions
• The STERG Action Log was circulated in advance of the meeting for information. Action: STERG partners to review the Action Log and feedback updates to KC. (ALL)
2. VisitScotland - Business Support and Continuity Fund
• Initial grant offer letters for the Omicron Business Support Fund are expected to be issued by the end of this week. All grant offer letters will be issued over the next 10-14 days. Assessment of the applications to this fund has been complex due to the diverse nature of both the businesses and their reasons for applying.
• VisitScotland have delivered more than £100m in grants to the sector during COVID
3. Industry Concerns and Future
Outlook Intelligence gathered over the last two weeks is summarised below. It was noted that the STA also shared these concerns with Mr McKee in a meeting which took place earlier in the day.
• Labour Challenges The impact of labour availability on a business’s ability to operate is significant. Businesses are operating on reduced hours of operation and reducing or limiting the services that they offer which is impacting profitability. In some cases, businesses are choosing to change their business model or the product that they offer in response to the labour crisis. There is concern that the sector will not be able to support demand in some locations through the summer and the visitor experience will be seriously compromised.
• Rising Costs Rising costs, particularly energy but also across every other aspect of business, food, drink, wages, equipment etc continues to be challenging. Some businesses are choosing to increase rates to pass on some of that cost, other businesses who have limited ability to pass on the costs to consumers and are trying to absorb the cost. Events, such as outdoor sports or music concerts are seeing significant increases in their cost base and there have been reports of some cancellations. It was noted that ticket prices in some cases may not reflect the increase in costs or that ticket prices are just too much for people’s discretionary spend.
• Ferry Services Fleet vulnerability and the ongoing risk of cancellations continues to be a significant challenge in the short term. Possible solutions to address these issues in advance of the new vessels being delivered in 2023 is unclear. Action: VisitScotland, STA and HIE to schedule a follow up meeting on the current ferry situation and provide further comment to SGov for consideration. (RD)
• Future Outlook
o Easter was generally positive for many businesses in the industry, (it was noted that there are still businesses who are struggling to operate or operate profitably, because of labour challenges).
o Performance remains inconsistent across the country and across the different sectors.
o Forward bookings are patchy and late which creates uncertainty.
o International visitors are returning (the North American market appears stronger than European markets). It was noted that those international visitors who have returned, are spending.
o Overall, there is a cautious optimism about the summer. However, there is now a growing concern about the autumn months - if forecasted profits are not realised over the summer and if the cost of living crisis squeezes disposable income even further hitting visitor numbers and spend, then businesses could become financially fragile.
4. Phase 1 Recovery Projects
• An interim evaluation report of the 10 projects included in the 2021-22 tourism recovery programme, was completed by STERG partners and submitted to the Scottish Government for review on 29th April. The report looks at progress towards the projected outcomes as well as identifying the challenges faced and the lessons learned, (please refer to separate summary document). The final report will be completed in autumn 2022 when the longer term impacts and outcomes of the programme can be more readily assessed.
• Expectations of the final evaluation report will be confirmed nearer the time however it is expected that these will be completed at an agency level and are most likely to be relatively light touch.
• Scottish Government team expressed a huge thank you to colleagues across all STERG partners for the significant contributions made to the delivery of the Phase 1 programme. It was noted that although the programme is not yet complete the scale of work which has been delivered by partners must be acknowledged.
• It was noted that there is no capacity to carry forward any underspends from the 2021-22 tourism recovery programme.
• It was highlighted that the Minister continues to press for the Phase 2 Recovery Recommendations to be supported.
5. STERG Transition
• Further work to explore how STERG might evolve to meet the future needs of the sector and deliver the ambitions of Scotland Outlook 2030 was carried out. An initial Terms of Reference for a future group was drafted for STERG consideration. Immediate observations were noted:
o The ethos of SO2030 – i.e., industry and communities working in partnership - should be reflected in the group.
o Resource requirements and resource availability to support any future group(s) needs to be identified and considered.
o The remit of the group must be explicit about the type of work that it will carry out and how it will connect to NSET and the wider landscape.
o Funding to support the activities of the group (Phase 2 Recovery Recommendations and SO2030 Action Plan should be considered
Action: STERG partners to discuss the draft with colleagues in their own organisations and feedback comments to KC by Thursday 12th May. (ALL)
6. STERG Communications
• Updated narratives, (STERG Transition and Labour Shortages), reflecting feedback from STERG colleagues, was circulated in advance of the meeting. Action: STERG colleagues to review both narratives and provide feedback to CC-VS by 5.00pm, Thursday 12th May.
• It was noted that the narratives will need to be submitted to Mr McKee before they can be circulated more widely.
7. STERG Tourism Recovery Dashboard
• The STERG Tourism Recovery Dashboard is issued monthly and provides high-level tourism related recovery indicators. Moving forward consideration should be given as to whether a dashboard report remains the requirement or whether an alternative format or content is preferred. It was agreed that further discussion was required to address STERG requirements in 2022 and a separate session should be convened. Action: Working session to be set up with the working group and additional STERG colleagues to explore STERG requirements for 2022. (KC)
8. Fraser of Allander Institute (FAI) - Covid-19 and Scotland’s Tourism Industry
• The FAI are working with partners in VisitScotland on an Economic Social Research Council-funded project which aims to evaluate the economy-wide impact of Covid-19 on Tourism in Scotland. The project started in March 2021 and will complete in August 2022.
Grant Allan, Aditya Maurya and Dr Gioele Figus, the FAI project team, joined the meeting to discuss progress on the project and to seek guidance from STERG on the demand simulations that could potentially support the work of STERG in the coming months.
• Once the simulation scenarios are agreed it will take c. two weeks to deliver a set of results which can be shared with STERG. FAI advised that it was possible to run multiple simulations. A report will be provided for each simulation. Results will show the impact at a sectoral level and at a regional level.
• It was advised that the model outputs can look at how exposed regions / local authorities would be to changes.
• An Audit Scotland report can be referenced to understand local authority mappings to Scotland's City Region and Growth Deals. https://www.audit-scotland.gov.uk/publications/scotlands-city-region-and-growth-deals
• The demand based simulation scenarios presented by FAI can be delivered immediately. Should STERG have an interest in other scenarios then these can be developed however this would take longer to deliver results. To deliver results within the project’s timeframe then demand based scenarios would need to be the focus.
• STERG agreed to provide feedback to FAI on the simulations presented. It was noted that the Scottish Government’s analytics team will provide comment on scenario 3 ‘New variants / Lockdown’. Action: Colleagues of STERG are to review and provide their expert opinion on the simulations presented for 2022. KC to provide FAI with a list of colleagues who can be contacted. (KC) Action: Scottish Government’s analytics team to provide comment on proposed Scenario 3. Kevin Brady to be the main contact for FAI. (KB) Action: FAI presentation to be circulated to STERG members. (KC)
9. AOB
• No AOB was noted
Next Meeting Dates
• Thursday 19th May, 11.00am-12.00pm
_____________________________________________________________________________________________________________________
Key notes & actions - Thursday 19 May 2022
1. Review of Previous Actions
• The STERG Action Log was circulated in advance of the meeting for information. Action: STERG partners to review the Action Log and feedback updates to KC. (ALL)
• Action A32 - The STERG narrative which highlights the issue of labour shortages has been approved by STERG and the Tourism Skills Group. This will be forwarded to the Minister, Ivan McKee for noting.
2. Business Support Funds
• VisitScotland are continuing to assess applications for the Omicron Business Support Fund. Applications to this fund have been extremely complex and a detailed assessment process has been required.
• All local authority business support funds are now closed.
3. 3. Industry Concerns and Outlook
Intelligence gathered over the last two weeks is summarised below:
• Labour Shortages Staff recruitment remains a serious ongoing challenge. Businesses are limiting the products or services that they offer or are reducing capacity to manage the customer experience. The impact on revenue is significant and the impact on customer service levels and customer experience is concerning.
• Rising Costs Cost increases - fuel, energy, food etc, continue to severely impact profitability. Longer term there is concern about the sectors ability to invest in their business and the future impact this will have on the visitor experience.
• Cost-of-Living Crisis Feedback suggests that the cost-of-living crisis is already hitting the sector as there are indications that spend per head has dropped. However, it is expected that the impact of the cost-of-living crisis will hit the sector hardest towards the end of summer and into the autumn when people are likely to be making even more difficult decisions about where and what they spend their money on. There is a real concern that businesses will not generate enough revenue over the summer to see them through a very tough winter.
• Ferry Disruption Ongoing ferry disruption and the devastating impact this is having on island communities remains unacceptable. Solutions to address these challenges must be sought in the short term. Action: VisitScotland, STA and HIE to schedule a follow up meeting on the current ferry situation and provide further comment to SGov for consideration. (RD)
• Rail Disruption Recent rail disruption and the planned introduction of temporary timetables is causing significant concern across the sector. There is evidence that recovery is already being curtailed and, depending on how long it will last, could seriously impact the summer festival season. A number of implications were highlighted: attendance numbers at concerts and events will be hit, traveling to and from work will become more challenging, the ability to do business between the highlands and the central belt will become even more difficult and longer term there are environmental implications.
Action: MC will raise with Scotrail directly and at the Scotland’s Railway Stakeholder Panel. Action: SGov colleagues will ensure that the Minister, Mr McKee is made aware of the impact on the Tourism & Hospitality sector.
• Regulatory Concerns There are a number of regulatory concerns with the potential to significantly impact business costs, staff and customers.
o Short Term Let licensing – Impact not yet known. Working group set up to address.
o Transient Visitor Levy – Uncertainty over potential implications.
o Deposit Return Scheme – Hospitality working group are in ongoing discussions with SGov.
• Outlook
o Cautious optimism was noted at the previous STERG meeting - this remains the case for 2022.
o Performance across the country and across sub-sectors continues to be mixed – some are performing well, others not so well.
o The pattern of forward bookings remains inconsistent. Late bookings are the norm.
o North American and European visitors are returning which is encouraging.
o There are concerns as to whether the domestic market will hold over the summer as many may choose to holiday overseas instead of at home.
• Role of STERG Despite the cautious optimism noted, there remains widespread concern about the future - there is still a long way to go before businesses across the sector are once again operating sustainably. STERG recognises the importance of supporting businesses through the recovery phase and will continue with this role. The STERG sector call was highlighted as a critical platform to share information and ensure a common understanding of the current and future challenges and opportunities.
4. Phase 1 / Phase 2 Recovery Programme
• Following corrections to the Phase 1 Budget report and the Phase 1 Interim narrative report, the updated documents were circulated to STERG for reference.
The final Phase 1 narrative report is expected to be delivered by the beginning of October 2022.
• No funding has been made available in 2022/23 to support the Phase 2 recovery recommendations.
5. STERG Transition
• Discussions continue to explore how STERG might evolve to meet the future needs of the sector and deliver the ambitions of Scotland Outlook 2030 and NSET. A revised Terms of Reference for a future leadership group was circulated to STERG in advance of the call. The following comments were noted:
o The positioning of SO2030 within the context of delivering NSET should be more clearly articulated. This will also help to position the critical role of the sub-sector strategies.
o The group must achieve a good blend of knowledge, expertise and experience – this should include the tourism & hospitality workforce.
o The role of sub-groups should be included.
o The member application and selection process for the leadership group is still to be determined and must be carefully considered. A detailed discussion is required to identify the optimum solution. It was noted that the solution must be pragmatic, transparent and credible. Action: RD, MC and JY to discuss and agree a set of options to be presented to STERG partners. (KC)
• The transition timeline is to be reviewed once the member application and selection process has been agreed by STERG.
• The Transition narrative was approved by STERG and will be forwarded to the Minister, Ivan McKee for noting. This is to be accompanied by an update on the next steps for the future leadership group. STERG agreed that further progress on the ToR was required before the narrative is published.
7. Scotland Outlook 2030 – High Level Transition Plan
• This item will be discussed at the next STERG meeting.
8. Partner Updates
COSLA / Business Gateway
• Local governments are currently in a period of transition following the local elections at the beginning of May. This is expected to last until late June.
9. AOB
• No AOB was noted
Next Meeting Dates
• Due to the Platinum Jubilee holiday, the next STERG meeting, planned for Thursday 2nd June, will be rescheduled to Wednesday 1st June, 3.00pm-4.00pm.
4. April 2022
Key notes & actions - Thursday 7 April 2022
A. Review of Previous Actions
The STERG action log was circulated in advance of the meeting for information. Action: STERG partners to review the action log and feedback updates to Karen Christie.
B. VisitScotland - Business support and continuity fund
- Almost all payments have now been made on the original six top up funds. All payments should be complete by the end of next week (29 April).
- An initial assessment of applications to the new omicron business support fund has been completed. A more detailed assessment will be completed by the end of next week (29 April). No decisions have been made on which applications have been successful or not. Payments from this fund should be made by the end of April / beginning of May.
C. Local authority – Business support funds
- Most issues previously raised on grants have now been resolved.
- Guidance has now been agreed for the £80 million allocated by Scottish Government to local authorities for 2022-23. It was noted that the guidance intends to allow local authorities maximum flexibility on how the funds can be spent, this could range from business support to supporting low-income households.
- Discretionary funding remains in a very small number of local authorities.
D. Industry issues
- Labour shortages – The availability of staff and the impact of this on service levels and the overall visitor experience is a concern which is growing. This pressure is likely to increase as the sector moves towards the summer season. This should be kept under review.
- Ferry services – The significant challenges and devastating economic impacts of the ongoing ferry situation on the islands has once again been highlighted by the most recent situation with services to Arran. It was noted that Marc Crothall will meet with CalMac in the week commencing on 25 April. Marc Crothall will also meet shortly with the minister to discuss in detail.
- Rising costs – The rising cost of doing business is hitting the sector hard and this is expected to get worse. It was noted that Highlands and Islands Enterprise are considering demand within the sector for pricing strategy workshops. Highlands and Islands Enterprise would welcome partnering with other STERG organisations to potentially deliver activity which would address this challenge.
Action: STERG partners to confirm to if they would like to work with Highlands and Islands Enterprise on this initiative.
- Cost of living crisis – It is expected that as the impact of the financial squeeze on households intensifies over the coming months, the issue of disposable income will become more of a significant challenge.
- Transient visitor levy – Concerns have been raised about the transient visitor levy (particularly Edinburgh). Given the impact of Coronavirus (COVID-19) over the last two years it is being suggested by some in the sector that now is not the time.
E. Easter Performance and 2022 Outlook
- Easter anecdotal feedback from industry suggests that for many businesses Easter has been positive. Bookings have generally been good, and operators have been busy. Overall, there has been a better performance than 2020 and 2021 however not as strong as 2019.
- 2022 outlook – It is evident that there is no clear, single pattern determining the outlook for 2022. Bookings and visitor numbers vary across geographies and across sectors. Domestic demand anecdotally would appear to be strong with international demand remaining slow. There is however a “nervous optimism” about the year ahead with continued uncertainty deterring any feeling of complacency.
F. Phase 1 recovery projects
- Phase 1 end of year budget update and narrative reports are being completed by the agency leads. These will be submitted to the Scottish Government team by the end of April. The narrative reports will highlight how the projects have fared versus the initial outcomes that were set as well as providing insight on the challenges that were faced and the key lessons learned.
- The final stage of the tourism and hospitality talent development programme has now gone live, with 380 places available for a series of one day courses in leadership, performance or engagement, taking place in May and June. Four options are available:
o Extraordinary leadership - Building trust and developing resilience
o Extraordinary leadership - Conflict resolution
o Extraordinary performance - Getting things done
o Extraordinary engagement - Developing a coaching culture
All other training programmes are complete except for the disability/inclusion programme which has been extended to the end of June.
The EV charge point fund (as part of the DNZ project) is due to go live on 10 May and run for c. 4 months.
G. Phase 2 recovery recommendations
The final funding prioritisation for the phase 2 recovery recommendations (as agreed by STERG on 21 March) was circulated to STERG as a reference document.
H. STERG transition
Discussions are continuing about the potential evolution of STERG over the coming months to address the future needs of the sector. More detailed discussions will take place at the next STERG meeting on 5 May.
I. STERG communications
A narrative which highlights tourism labour shortages and the impact of this on the sector was prepared and circulated for STERG sign off.
Action: STERG colleagues to review the narrative and to feedback comments by 5pm, Thursday 28 April.
A narrative to explain STERG’s transition from an emergency response group to a group which will drive recovery in the long term was prepared and circulated for STERG sign off. Action: STERG colleagues to review the narrative and to feedback comments by 5pm, Thursday 28 April. It was highlighted that this narrative will need to be submitted to Mr McKee before it can be circulated more widely.
J. Scottish Tourism Observatory (STO)
Susan Dickie, Lin Sutton-Smith and Lesley Whitehill from VisitScotland joined the STERG meeting to provide an update on the STO project. This included an update on what has been achieved so far, an indication of the next steps, a demonstration of the new STO website and a summary of the plans for this year. The following additional points were noted:
- Further development of the STO will be dependent on the availability and scale of funding. A sustainable model for the STO, which will allow for further development, continues to be explored. It was noted that Tourism Observatories around the world all use different models and a lot of work is being done to scope the right model for Scotland.
- Moving forward the STO project team would welcome STERG partner organisations and industry to get involved in short life working groups / project groups.
- Scotland Outlook 2030 branding will be added to the website.
- The Research and Insights section on vs.org will remain and will continue to provide insights, interpretation and analysis. The STO will provide data as data, allowing individuals to carry out their own analysis. Both resources should work in synergy with each other.
- Skills Development Scotland have access to a huge amount of data relating to the workforce / labour market, including the quarterly sector skills assessment for tourism and regional data. It was noted that Skills Development Scotland are happy to work with the STO and connections can be made to the Skills Development Scotland's evidence base team.
- The new STO website is expected to go live imminently in the week commencing on 25 April.
- It was noted that the STO team have done an excellent job under very challenging circumstances.
K. Any other business
It was noted that Business Gateway (in addition to the enterprise agencies) is a good channel for business support, particularly for micro businesses and sole traders. Sector organisations with a member base of small businesses should look to engage proactively with Business Gateway.
L. Next meeting date
Thursday 5 May, 11am - 12.30pm, (Note – This meeting has been extended by 30 minutes).
3. March 2022
Key notes & actions - Thursday 24 March 2022
A. Review of previous actions
The STERG action log was circulated in advance of the meeting for information. Action: STERG partners to review the action log and feedback updates to Karen Christie.
B. VisitScotland - Business support and continuity fund
- All six top up funds are now closed (coach operators, day tour operators, hostels, inbound tour operators, visitor attractions and the outdoor / marine). There are no issues to report. All payments will be paid over the next 1 - 2 weeks.
- The new omicron business support fund is due to open today and will be open for a week. Comms will go out later today. This fund will support businesses across the six original fund sectors, which were impacted by the omicron variant but not eligible for previous funding rounds in 2021.
C. Local authority – Business support top up
- Final applications for the taxi & private hire fund and the business ventilation fund are being processed at the moment, with final grants to be awarded over next couple of weeks.
- Hospitality, leisure, brewers, nightclubs funds are now closed with the vast majority of funds awarded. Small number of appeals cases / cases with exceptional circumstances being reviewed & processed.
D. Industry issues on market fragility
- Concern is growing about the 2022 season as bookings begin to slow down and cancellations are being felt. High levels of uncertainty around Coronavirus (COVID-19), the impact of cost-of-living increases, the conflict in Ukraine and the appetite for outbound travel is impacting business confidence.
- Some businesses remain in a state of survival, they have not yet moved to recovery, for example in the visitor attraction sector and hostel sector.
E. Rising Costs
- Rising costs remain a significant concern across the industry, particularly energy costs. A recent poll conducted by several hospitality organisations, including UK Hospitality, has shown that increasing energy costs are forcing some hospitality businesses to raise prices and cut opening hours.
- Short-term let licensing continues to be seen as a significant threat for the sector. Business closures, as a result of the impending licensing scheme, are already being reported. In addition, there is evidence that Short-term let licensing is discouraging potential start-up businesses.
- There are several Short-term let licensing concerns which need to be addressed, some of which include:
o The cost to business – this should be the minimum
o Consistency of approach across all 32 local authorities
o Communication plan
o Clarity of communication to avoid confusion
- Concern was raised that there are potentially a number of issues that could be conflated as a Short-term let licensing issue when they are not. Care should be taken to avoid this confusion.
- VisitScotland will meet with Scottish Government officials, who are leading the Short-term let working group, on 29 March to discuss. Following that meeting, VisitScotland and the Scottish Tourism Alliance will convene to discuss how the organisations can best support the sector.
Action: VisitScotland to arrange meeting with the Scottish Tourism Alliance to discuss how best to support the sector with the challenges of short-term let licensing.
- The sector continues to struggle with recruitment. As a result, some businesses are still having to reduce their hours of operation, or they are choosing to close on some days.
- The continued disruption to ferry services and the significant economic impact which this is having on island economies, as well as the impact on visitor confidence, is unacceptable.
- It was agreed that more needed to be done to ensure that the current ferry situation is made clear to the Scottish Government and that the issues and damage being caused is understood.
Action: VisitScotland and the Scottish Tourism Alliance will convene a group to ensure that the impact of the ferry situation on tourism and island economies is clearly set out and that the necessary actions are identified.
F. Phase 1 recovery projects
A draft narrative to support the completion of the phase 1 recovery projects in 2021/22 was shared with STERG in advance of the meeting. Once agreed the narrative will be shared to communication colleagues across the partners.
Action: Draft narrative to be reviewed by STERG and comments emailed by close of play Thursday 24 March. Final narrative to be approved at STERG meeting on Friday 25.
G. Any other business
- Sector leads who attend the fortnightly STERG Sector calls agreed that the calls should continue indefinitely
- The board of Scottish Tourism Alliance are currently undertaking a review of the organisation. Recommendations on the future structure of the Scottish Tourism Alliance council and forums were shared at the Scottish Tourism Alliance council meeting yesterday. The recommendations suggest that the Scottish Tourism Alliance council focuses on the future policy agenda. The forums will be expanded to include affiliate members, this will allow direct engagement with businesses.
- A meeting will be convened this week to discuss a recent proposal received by Scottish Government and the enterprise agencies, to support a specific sector organisation. It was noted that Scottish Government’s tourism team and VisitScotland should be included in the conversation.
- Entries and nominations for the 2022/23 Scottish Thistle Awards opened yesterday (22 March). Thistles Award briefing to be provided to STERG at a future meeting.
H. Next meeting dates
- Friday 25 March, 9am - 10am, Final wash-up session on the weeks discussions
- Thursday 7 April, 2pm - 3pm, Rescheduled STERG meeting
3.1 - Thursday 10 March 2022
A. Review of previous actions
The STERG action log was circulated in advance of the meeting for information.
Action: STERG partners to review the action log and feedback updates to Karen Christie.
Workforce challenges communications colleagues from VisitScotland and Skills Development Scotland met with the tourism skills working group on Wednesday 9 March to discuss the narrative and key messages required to support the workforce challenges across the sector.
Discussions highlighted the challenges and the causes of the current situation, as well identifying the data which is available to evidence these challenges. Mitigations which are already in place were noted as were potential gaps. A follow up meeting is scheduled with VisitScotland and Skills Development Scotland communications colleagues in the week commencing on 14 March to refine the narrative.
Action: A summary of the key points discussed is to be circulated to STERG.
Visible support for the tourism sector A plan is in place to drive a greater presence of MSPs at tourist attractions, hospitality venues or events etc. The following actions are being taken:
- An email will be issued by VisitScotland to all MSPs next week encouraging them to support tourism businesses in their constituencies.
- VisitScotland’s activity with MPs and MSPs are being planned in Shetland, Ayrshire and the north east.
- VisitScotland activity with CPG members is also being planned.
- It was noted that the Scottish Government team are looking at what action can be taken to encourage ministers to engage more with tourism businesses.
Action: Scottish Government’s team to coordinate with VisitScotland colleagues to ensure activity is aligned.
The Scottish Tourism Alliance’s business leaders lunch will take place next week. 80 guests will attend, and all will be encouraged to get out and about to support local businesses.
B. VisitScotland - Business support and continuity fund
- The first four VisitScotland top up funds to launch, (coach operators, day tour operators, hostels and inbound tour operators) are now complete and all eligible businesses have been paid.
- The visitor attractions fund and the outdoor / marine fund are now closed and circa 87% of businesses have been paid. These funds should be concluded by the end of next week.
- The inbound tour operators fund is now open and all businesses, (circa 190), should receive offer letters by close of play today (10 March). Businesses have two weeks to respond.
- The destination & sector marketing top up fund is up and running. All offer letters have been sent.
- A new discretionary fund, targeted at those businesses who were not eligible for the original funds, will be launched in the week commencing on 14 March, the fund will open in the week commencing on 21 and close one week later to ensure completion by 31 March.
C. Local authority – Business support top up
- Most grants are now closed. Outstanding applications for hospitality, leisure, breweries, and night clubs continue to be processed.
- Grants for taxi drivers have been extended. Local authorities are contacting eligible drivers this week.
- The Scottish Government has provided £80 million to local authorities to spend on economic recovery and low income households next year. Several local authorities will use this to continue funding Scotland loves local cards.
- Many local authorities have yet to decide how the money will be spent. The intention is to keep the guidelines as flexible as possible to ensure that the money goes where it is needed the most. It was noted that the fund is revenue only.
D. Phase 1 recovery projects
- The latest Phase 1 monthly projects update was issued to STERG on 28 February. No issues were raised for discussion.
- The Phase 1 budget update to the end of February will be submitted to the Scottish Government on 11 March.
- Destination Net Zero (DNZ) STERG partners attended a meeting on 1 March with the consultants who are working with the DNZ sub-group, on the development of the DNZ phase 2 action plan for public agencies, (beyond March 2022). In response to initial questions from the consultants on the phase 2 action plan, the following comments were noted:
o Any future reporting for the DNZ phase 2 action plan should consider the reporting which is already in place within the agencies and align to them.
o STERG supports the recommendation that Destination Net Zero should continue as the overarching industry facing brand for this tourism specific collaborative work.
It was noted that clarity about the future of DNZ is required. It is not clear whether DNZ is a programme of tourism specific activity or a theme that should underpin everything that that the tourism sector does. STERG will discuss the future of the DNZ recovery project in more detail on 21 March when STERG meet to agree priorities for 2022. This discussion will include how the DNZ project will connect with the Scottish Tourism Observatory.
E. Industry issues
Impact of the Ukraine Crisis Concern is being expressed across many sectors about the potential impact of the Ukraine situation on international visitors, particularly those from Europe and the USA – typically the USA market are more cautious about travelling to areas of potential risk.
Recent feedback from industry has confirmed that some cancellations are now being seen across the sector. Recent insights on Ukraine were provided to STERG by VisitScotland. It was noted that from a sentiment perspective no major shifts had been detected so far, however the situation would continue to be monitored through social listening.
Action: Additional VisitScotland’s insight paper to be circulated to STERG
The labour crisis remains challenging. It was noted that more needs to be done to help the Ukraine refugee crisis. Opportunities to bring refugees to Scotland must be considered and accelerated. It was noted that the sector will press the UK government on the visa situation. Action: the Scottish Government’s team to follow up with colleagues on the work currently underway to address the Ukrainian refugee situation.
Rising Costs Escalating costs, particularly energy costs, are crippling businesses, this is an ongoing worry.
As the cost of living increases and household budgets are squeezed, there is concern about the impact this will have on advance summer bookings within the domestic market. There is also concern about the impact this will have on discretionary spend – visitors may come, but their spend may be greatly reduced.
Food Security Significant changes are taking place within the agriculture sector in Scotland which could impact the supply of food to tourism and hospitality businesses. If Scotland aspires to be a nation known for food tourism, providing visitor experiences centred on Scottish produce then agriculture, food & drink and tourism must ensure they are joined up.
F. Scotland’s National Strategy for Economic Transformation (NSET)
Colin Cook, director economic development, Scottish Government, presented an overview of NSET, Scotland’s 10-year economic strategy, which was launched by the cabinet secretary on 1 March.
It was highlighted that all sectors of the economy should ensure that their sector strategies align to NSET.
It was commented that the aims and objectives of the tourism strategy, Scotland Outlook 2030, align closely to the overarching aims and objectives of NSET – this direct relationship should be emphasised.
Scotland Outlook 2030’s focus on equality, diversity, fair work and upskilling demonstrates the synergy between the strategies.
Skills Development Scotland have completed a piece of work to understand what NSET means to Skills Development Scotland, the key areas identified were, entrepreneurship, skills and fair work.
It was noted that the focus on talent attraction, addressing labour market inactivity and the lifetime commitment to supporting people in the workplace through upskilling and retraining are all crucial for the tourism sector and most welcome.
It was noted that there has been much entrepreneurship within the tourism sector - this has been particularly evident over the last two years.
Tourism can be seen as a solution to creating a wellbeing economy.
Tourism businesses are doing their best to address the challenge of fair work, it was noted however that the issue of pay and the ability to accelerate pay rates will be even more challenging as the cost base for businesses increases.
Collaboration and working in partnership with business to deliver the strategy is welcomed. It was noted that the STA is a signatory on the Scottish Government’s Business Organisations Principles of Partnership agreement.
It was noted that Scottish Government continue to see Tourism as central to the future economy.
Further clarity is required on the role that local government will play within the proposed partnership approach to delivering the strategy. It was noted that from an economic development point of view, the public sector, (the agencies, local government and national government) should be seen as one team, working together to support economic development.
It is hoped that local government will take a significant leadership role in delivering the strategy. It was emphasised that there is a real drive to listen to the voice of businesses in everything that Scottish Government does.
G. Partner updates
Skills Development Scotland have launched a new Scottish Government funded programme called ‘Future Learn’, a free on-line training programme for anyone over 25 living in Scotland. The programme covers a very broad range of subjects including some tourism specific content. Link to further information is here Develop new, career-changing skills through flexible online training.
The Business Support Partnership will launch a joint marketing programme next week which is to include TV advertising. The aim is to drive potential customers (those needing help), to find business support. This will be followed by specific campaigns from Business Gateway, Scottish Enterprise, Highlands and Islands Enterprise and SOSE.
H. VisitScotland
The international campaign “Scotland is calling” was launched yesterday, although focused internationally, there are domestic elements within it. This is the next phase of the campaign which was successfully launched last year. Key markets are USA, France, Germany and the domestic market.
The campaign includes partnerships with National Geographic, Expedia, Facebook and NBC. The campaign is intended to kick start a sustainable and responsible recovery of the tourism industry, however, given the current crisis in Ukraine, VisitScotland will monitor sentiment through social listening to see whether any marketing activity needs to be adapted.
I. Enterprise agencies
Highlands and Islands Enterprise are completing activity on sustainable tourism supply chains. Two online sessions have been delivered and a face-to-face session is coming up in April. The activity has been received well. A review will be done to determine whether it should be rolled out more broadly.
Activity is still being delivered on fair work and tourism. A help guide for fair work and tourism is now on the HIE website, further information can be found here. In addition, there are 50 1-2-1 surgeries available for tourism businesses.
Following a recent visit to the Nevis Range it was noted that although there is great excitement about the UCI championships next year, and a general feeling of confidence, there is much nervousness about the current challenges and uncertainties, such as, energy prices, the conflict in Ukraine, workforce, housing and transport.
J. Any other business
The Scottish tourism recovery dashboard for February 2022 was issued to STERG on 1 March. A review of 2021 will be completed by end of March.
K. Next meeting dates
- Monday 21 March, 10am - 11am, STERG - Phase 2 recommendations review
- Wednesday 23 March, 1.30pm - 3.00pm, Rescheduled STERG meeting
- Friday 25 March, 9am-10am, Wash up session
- Thursday 7 April, 2pm-3pm, Rescheduled STERG meeting
2. February 2022
Key notes & actions - Thursday 24 February 2022
A. Review of previous actions
The STERG action log was circulated in advance of the meeting for information.
Action: STERG partners to review the action log and feedback updates to Karen Christie.
STERG had previously been convened by VisitScotland for crises such as foot-and-mouth. Rob Dickson advised that he had spoken to a VisitScotland colleague about the recovery landscape following the foot & mouth crisis to understand whether there were any learnings that could be taken forward. The following was noted as successful in Dumfries & Galloway:
- The promotion of the region and what the region was doing as part of recovery was a new development for Dumfries & Galloway but helped to strengthen the Dumfries & Galloway offer going forward
- When promoting the region, only the best in class were promoted this helped to position a strong and positive offer
- Specific funding was made available for the development of new activities and infrastructure, it was noted that this is where the 7stanes cycle trail originated from
With this in mind, it was concluded that STERG’s approach to recovery was along similar lines.
B. VisitScotland - business support and continuity fund
The first four VisitScotland top up funds to launch, (coach operators, day tour operators, hostels and inbound tour operators) are now closed. Three of the funds have paid 100% of all businesses who received funds first time around. In the fourth fund there are only a very small number who were not eligible.
The visitor attractions fund and the outdoor / marine fund are making good progress and will close today (24 February). A lower return is expected on these funds as not all businesses would have been open and trading in December and January and therefore not eligible for the top up. Payments should conclude in the next 2 to 3 weeks. Fraud checks continue on all applications.
Work is ongoing to set up the £7.5 million inbound tour operators fund, (announced by Kate Forbes on 10 February). This fund will provide a pro rata top up to the same percentage of the original fund. VisitScotland are working closely with colleagues in the inbound sector on this fund. This is expected to go live at the beginning of March. The aim is to make all payments by 31 March.
The remaining balance from the £9 million, (once the 6 top up funds are complete), is to be redistributed as a top up for the destination & sector marketing fund. This will allow destination management organisations and sectors to extend current marketing and communications activity to strengthen the 2022 season. It was noted that these additional funds must be spent by 31 March.
Discussions are ongoing about the creation of a new fund which would target businesses who were not previously eligible to receive the first round of funding (and therefore not eligible for the second round top up). Typically, these may be new businesses where they would not have had a set of accounts or other necessary paperwork to qualify for the original fund or businesses who may have changed hands and for whatever reason were then precluded from qualifying for the original fund. It was noted that this may only apply to a modest number of businesses, current estimate is circa 100 to 150 businesses. This fund is expected to open during the second week of March for two weeks with all payments being made by 31 March.
It was noted that there will be no top up funding for the tour guide sector, although this will be kept under review. It was also noted that there will be no top up funding available for large self-catering properties, although a final discussion is still to take place on this.
Action: Further discussion required to confirm the final position on top up funding for large self-catering properties.
C. Local authority – business support top up
No further updates on the business support top ups were noted at this time.
It was noted that the £80 million Coronavirus (COVID-19) economic recovery fund, announced by the first minister on 21 February, will be allocated across local authorities in Scotland and will allow local authorities the flexibility to distribute the funding to meet the needs of their areas. Rob Dickson questioned whether monies from this fund could be contributed by local authorities to support a re-run of the days out campaign. Contributing funds to support tourism businesses in their areas during the shoulder months would be welcomed by the sector.
Action: A proposal is to be drafted and sent to Hugh Lightbody for consideration by local authorities.
D. Phase 1 recovery projects
The Phase 1 monthly projects update will be issued in the week commencing on 28 February.
The days out campaign has been well received by sector groups. Unfortunately, Coronavirus (COVID-19) restrictions and the Omicron variant prevented the full benefit of the campaign being realised. Strong call from sector groups to re-run this campaign to help in the shoulder months.
STERG partners will take part in a consultation workshop on 1 March to contribute thoughts on the scope of Destination NetZero over the next two years.
The tourism & hospitality talent development programme is live with 1,340 tourism employees taking part. In addition, a series of standalone modules have also been introduced, these will be delivered in March for up to 300 participants and are now being promoted.
The new skills development programme funded through the tourism recovery funding is now live programme content includes a springboard charity talent attraction and development programme. The programme is now live.
Complete storytelling training for 200 participants delivered by ASVA as part of the Year of Stories. The programme is now being delivered with 188 applications so far received.
Mental health and wellbeing training being delivered by hospitality health with support from hospitality industry trust Scotland. This programme is now live and has been oversubscribed. Additional funding provided to increase volumes that can be delivered. Climate emergency training being delivered to 75 participants by Keep Scotland Beautiful in partnership with Green Tourism. The programme is now live with 30 registrations so far. Book spaces at Eventbrite. Disability/Inclusion training to 250 participants from the sector delivered by Inclusion Scotland. The programme is now live although needs to be promoted heavily across the sector as so far only 30 applications. Chef management/leadership training to be delivered to 75 head chefs and aspiring head chefs by People 1st. The programme is now live with delivery through March. Around 90 applications received.
Grant awarded to Traveltech for Scotland to deliver an intensive pilot to explore potential tec. Solutions for small and middle-sized hospitality enterprises to help address the recruitment/retention and staff retention challenges. Programme of work now commenced with report due at the end of March.
Tourism induction toolkit is in development.
A paper is being prepared outlining the options available for the sustainability and future development of the Scottish Tourism Observatory from April 2022 onwards.
Ongoing discussions are taking place on STERG’s communication approach to the conclusion of the phase 1 recovery projects. Timing for any communication activity will be post March 2022.
E. Industry issues
Explicit, positive Scottish Government messaging, which will give the public confidence to get out and about - where to go, what to do and how safe it is etc., is needed now. It will be critical to get this in place in the run up to Easter. It was noted that VisitScotland are preparing a Scottish tourism month plan for ministers and MSPs which will encourage them to visit their local visitor attractions. It was highlighted that there are a good number of events taking place in a Scottish tourism month and these can be found on the Scottish tourism month's website.
Action: VisitScotland communications to stay connected with the Scottish Tourism Alliance to ensure Scottish tourism month events and activities can be amplified through Scottish Tourism Alliance communication channels.
Labour shortages and skills challenges continue to be a serious concern and it is unlikely to get any easier over the next 6-9 months. It was stressed that this could cause serious problems for the season ahead where periods of closure, restricted hours of operation or restricted capacity could continue, despite demand being evident. Recent examples which demonstrate the impact of labour challenges were highlighted.
Forward bookings for cruise operators are looking strong, however providing onshore services are challenging, restaurants for example are not taking bookings in some cases due to reduced capacity (as a result of staff shortages) as they would prefer to protect their limited capacity for premium customers and not cruise passengers.
To combat increased costs, hoteliers need to drive increased revenue through higher rates, however reduced capacity (as a result of staff shortages) is limiting the volume of guests who can stay, this means that there are potentially fewer people spending money in the local economy.
Discussions are ongoing to agree what investment in recruitment should look like. It was highlighted that if the talent pool is not there, then there is a risk that money will not be spent wisely.
It has been recommended that if investment is available then it should be concentrated on educating workforces across organisations such as the department for work and pensions or teachers to ensure that they are better informed and understand the career opportunities that are available in the sector rather than a marketing campaign to attract people into the sector. Hospitality rising have now raised £425,000 (minimum target £1 million), there are 70 days remaining to meet their target.
It was noted that recruitment should not just consider the 18-30 year-old age group, there is an older population who are work ready and should not be forgotten.
The department for work and pensions at a recent Scottish Tourism Alliance's forum advised that in Scotland 5,602 people were seeking work in hospitality and food and 363 people seeking work in travel & tourism. Despite this, there still aren’t enough people to meet demand.
Springboard have identified a workforce opportunity which they are pursuing. It is estimated that there are circa 45,000 people in the UK employed in Coronavirus (COVID-19) centres (6,000-8,000 in Scotland). Now that these Coronavirus (COVID-19) centres are being reduced and employees are being served notice, there is a possibility that these individuals could return to the talent pool and subsequently could be targeted to join the tourism & hospitality sector. It was agreed that STERG should have a clear narrative which outlines the key messages associated with the labour and skills challenges. This should consider the implications for businesses, customers and specific sectors of the industry. It was highlighted that there is no easy solution and that this is a long-term problem, however it was noted that there are things happening to address this.
Action: STERG communications representatives to be invited to the next subgroup meeting of the tourism skills group on Wednesday 9 March to discuss the narrative and key messages required to support the workforce challenges across the sector. (Lawrence Durden to issue invite and to liaise with STERG partners to ensure the right people attend this session).
The importance of continuing with international marketing activity was emphasised. Investment needs to happen now, not only to drive demand for this year but for next year also. There are signs of international bookings returning, however it remains unpredictable. It was noted that VisitScotland recognise and understand this.
City recovery remains a concern. Positive messaging to encourage a return to cities and to boost the confidence of the public / visitors continues to be important. It was noted that recovery is more challenging and that cities require a particular focus.
Disruption to ferry services continue to be a major issue - the recent cancellations of the Islay ferry service is the latest example. There is ongoing concern that the transport minister and Scottish Government generally, are not recognising the severity of the economic and operational impact this is having on the tourism sector. It was noted that there is high demand for the islands and there is great marketing activity taking place to drive that demand however visitors cannot get there – this is not acceptable.
Action: Meeting to be scheduled with VisitScotland, Hightlands & Islands Enterprise and the Scottish Tourism Alliance to have further discussions on the ferry situation and to agree next steps.
Concern was raised that the draft national planning framework 4 contains no recognition or acknowledgement of Scotland Outlook 2030. It was noted that the consultation window closes on 31 March and therefore there is only a limited window of opportunity to influence any changes. It was noted that a tourism response from the Enterprise Agencies would be very important and there was a request for the Enterprise Agencies to share their responses with STERG partners. It was confirmed that VisitScotland will be submitting a response and will share with STERG partners.
Action: national planning framework 4 responses to be circulated to all STERG partners
F. Business support needs 2022-23
Rob Dickson advised that a letter had been drafted to STERG agency partners outlining the approach to be taken and recommending a meeting with the relevant individuals to progress. The aim is to have a business support proposition in place by 1 April.
Action: Letter to be issued to STERG agency partners.
G. STERG review of phase 2 recommendations
STERG partners are continuing to review the phase 2 recovery recommendations. It was noted that this is a complex process which has required serious internal discussions within agency organisations.
Action: STERG partners to return phase 2 review templates as soon as possible.
Action: A first cut of the consolidated phase 2 review is to be circulated to STERG once all templates have been returned.
Action: An additional STERG session to discuss the phase 2 review is to be scheduled in early March, with discussions concluded by the end of March.
H. Any other business
The next version of the STERG recovery dashboard will be issued in the week commencing on 28 February.
I. Next meeting dates
- Wednesday 1 March, 9.00am-10.30am, Destination Net Zero consultation
- Thursday 10 March, 11.00am-12.00pm, STERG
2.1 - Thursday 10 February 2022
A. Review of previous actions
The STERG Action Log was circulated in advance of the meeting for information.
Action: STERG partners to review the Action Log and feedback updates to KC. (ALL)
B. VisitScotland - business support and continuity fund
• All six VisitScotland top up funds are now up and running
• The first four to launch, (coach operators, day tour operators, hostels and inbound tour operators) continue to progress well and are nearing completion
• The Visitor Attractions Fund and the Outdoor / Marine Fund launched within the last few days and is also progressing well
• It was noted that there are a small number of anomalies which are being dealt with on a case by case basis by VS and SG. Action: CC (VS) to share list with CC (SG)
• The VisitScotland Events top up funds are also progressing however these are proving to be challenging
C. Local authority – business support top up
- An update was provided on the live funds
- December & January Hospitality and Leisure top-up grants – these are now closed, Local Authorities have already made payments to businesses and are continuing to process payments to existing and new businesses who applied before the fund closed
- Nightclub Closure Fund – eligible nightclub businesses were invited to apply for this fund by the Scottish Government, Local Authorities are currently in the process of paying grants out to businesses
- Brewers Support Fund – Local Authorities are in the process of making grant payments to brewers who were eligible for grant support
- Public House Table Service Fund – Local Authorities requested guidance from Scottish Government on business eligibility for the grants. Local Authorities have made preparations to make direct payments to eligible businesses as soon as clarity is received, with all payments expected to be made by 14 February
- Taxi & Private Hire Drivers and Operators – Local Authorities are in the process of contacting all taxi drivers and operators in their respective areas to confirm eligibility and arrange payment of the grant funds
It was noted that recent feedback from Hospitality representatives would suggest that there are still outstanding issues with the Hospitality and Leisure top-up grants. Further discussion is required.
Action: JY to set up a call with HL and SG colleagues to discuss the latest position.
A meeting is being set up between SG colleagues and the Night Clubs sector to further discuss the Night club closure fund.
D. Industry issues
Inbound tour operators are still experiencing international cancellations, this remains a worry for businesses. For other businesses dependent on international visitors, overseas bookings are slow. This reinforces the need for and importance of international marketing.
Cash flow remains an ongoing concern for businesses across many of the sectors.
There is significant concern about the impact of cost increases on businesses and on consumer spending.
Due to the impacts of the pandemic, there has been limited opportunity and confidence for many businesses to invest in their products. This will have consequences. Future support for the industry must help businesses to invest as well as help them to cut costs.
Currently there is a general optimism about 2022, however, to maintain this positive momentum consumer confidence must be maintained. Care must be taken with Scottish Government messaging to ensure consumer confidence is not impacted and that progress in 2022 is not derailed.
It was suggested that a greater presence of MSPs, (including the FM and other ministers), at tourism attractions, hospitality venues or events etc, would give a real boost to consumer confidence, particularly as half term is approaching.
It was noted that it is important for SG to be out and about supporting the sector. Action: CC(SG) to follow up with SG colleagues to see what would be possible for Mr McKee (or other ministers) and officials. Action: CC(SG), CC(VS) and KC to discuss ideas to encourage SG ministers to get out and about in the sector.
It was noted that in October last year VS coordinated a piece of work to reiterate the ‘tourism as a force for good’ messaging, this was a programme of facilitated visits for MSPs (not just government ministers). A similar engagement programme could be coordinated for February / March.
It was highlighted that England will be relaxing COVID rules one month earlier than planned. The impact of this on tourism & hospitality in Scotland (if Scotland does not follow) should be assessed. Issues around COVID rule disparities between the four nations is being discussed with Scottish Government and will continue to be a live discussion.
It was noted that it is not clear whether the approach in Scotland will change. It will be important to ensure that any measures which remain in place are recognised as safety measures and not restrictions. It was noted that the revised Strategic Framework will be published on 22nd February – this will guide the way forward. It was suggested that the publication of the revised Strategic Framework would be the ideal starting point to push positive messaging for Easter.
There is a critical need to build confidence and momentum throughout March to ensure a successful Easter for the sector. The importance of ministers getting out and supporting the sector was reiterated and it was agreed that this would be a good first step towards creating positive messaging which could then build further momentum through March.
It was highlighted that despite a general optimism about the year ahead, the cities are still struggling and recent data and messaging from Aberdeen and Glasgow demonstrates this.
In Glasgow, STR data for the next 12 months shows that hotel occupancy does not rise above 25% and despite the optimism about the number of events which are planned to take place in the city over the summer, and the forecasted attendance numbers, this is not yet transferring to bookings. It was emphasised that the cities must not be forgotten about when discussing future priorities.
It was noted that VisitScotland are currently having internal discussions about the cities and the intention is to bring forward proposals which will support the cities. It was suggested that there may be an announcement later today by Kate Forbes on additional support for cities.
Update: Kate Forbes announced in her Budget statement that, “we will make an additional £3 million specifically available for city centre recovery to improve footfall and help those businesses that have been affected by for example, office closures.”
E. Business support needs 2022-23
At the Tourism Funding Models meeting, it was agreed that public agency support for 2022-23 should be reviewed in order to understand even more clearly what each agency is offering to the sector. RD will write to Enterprise Agency, Business Gateway and Skills Development Scotland representatives on STERG requesting a meeting with the right representatives from each of the organisations to discuss business support. It was noted that there must be individuals who are able to adjust the current business support offer as well as individuals who understand tourism.
The intention is to get a business support proposition in place by 1st April. It was highlighted that STERG must not lose sight of the wider work which the Business Support Partnership is undertaking. A connection must be maintained with the BSP to ensure a coordinated approach which avoids duplication.
F. Phase 1 recovery projects
The Phase 1 budget update to 31st January is due to be submitted to SG tomorrow (11th).
VisitScotland have adjusted the Terms & Conditions on payments made to businesses in the Days Out Campaign, DMO marketing fund and the inbound tour operators fund. These adjustments should give businesses more leeway on reporting and on activity. This change has been welcomed by the sector leads.
CC (VS), CC (SG) and KC will meet today to further discussions on STERGs communication approach to the conclusion of the Phase 1 Recovery projects.
G. Revised STERG remit
Following the STERG planning session last week the STERG remit and operating context was updated. A draft was circulated to STEG for review and comment. Action: STERG partners to feedback any comments on the updated Remit to KC by Friday 18th February. A revised version will be circulated prior to the next STERG meeting on the 24th.
H. High level transition timeline
A draft high level transition timeline was circulated to STERG for review and comment. It was noted that this was a first draft to prompt discussion and questions.
The following points were noted:
It is not yet possible to decide what a new leadership structure for Scotland Outlook 2030 will be as there are still too many unanswered questions, for example, the Scottish Government structure which will support the NSET is not known. In addition, further views on the leadership of Scotland Outlook 2030 must be sought from STERG partner organisations and other key stakeholders.
At the planning session last week, it was agreed that STERG’s operating context should be reviewed and expanded to reflect other groups which it should have line of sight of. For example, evolving Scottish Government structures which will support the NSET, Business Support Partnership (BSP), Enterprise & Skills Strategic Board, Industry Leadership Groups (ILG).
This will have a bearing on any new leadership group. An updated operating context diagram is included in the revised STERG Remit which was circulated to STERG. Action: STERG partners to feedback any comments on the updated operating context to KC by Friday 18 February. A revised version will be circulated prior to the next STERG meeting on the 24. (The operating context can be found in the STERG Remit document).
Any new leadership group for Scotland outlook 2030 must acknowledge the NSET and the ILG for tourism. It was noted that whatever structure is put in place from a tourism perspective it must work with the new Scottish Government structures.
It was suggested that it could be beneficial to put a structure in place as quickly as possible.
It was noted that Mr McKee leads on ILGs, and further information is required to understand the expectations of an ILG and if there are specific guidelines or best practice that must be followed. It was noted that a tourism ILG may be no different to the leadership group that is planned for Scotland outlook 2030.
It was noted that the timeline for the next 6-12 months will be dependent on whether funding is made available for phase 2 of the recovery programme.
STERG agreed that planning for 2022 should continue on the basis that some funding will be received for Phase 2, although the scale and timing of that funding is unknown.
The Scottish Government budget timetable for next year is not yet known. However, work has now started on a three-year full resource spending review. VS and agencies are being involved in the process to ensure that their input is captured. The SG team are required to make their first submission by 4th March. SG team will keep STERG informed.
It was highlighted that 2022-2023 is a transitional year, with the three-year sustainable budget rounds starting from 2023-2024. It was noted that the capital spending review has already been completed and locked down. It was acknowledged that this is not helpful for tourism where both capital and resource is required. It was commented that moving to a three-year full resource spending review is a positive step forward and is welcomed.
However, doing the resource without the capital is extremely problematic and is a missed opportunity. Resource and capital are inextricably linked within tourism and there is a need to work out how these two can be linked in order to use the resource most effectively as well as securing essential capital investment.
It was noted at the planning session that STERG wanted to signal a change in priorities from 1 April. This timeline would not suggest any noticeable change from 1 April. It was suggested that the timelines should be brought forward.
It is estimated that by late May progress on recovery will be clearer. It is recognised that recovery will happen at different rates across different geographies and sectors, and it is important to be mindful of that when planning. If an optimistic view of recovery is taken then the timelines highlighted in the transition plan could be brought forward. It was highlighted that 2022 planning should consider the possible threat of another Omicron type variant. This could present challenges for the tourism & hospitality sector in the winter of 2022-23.
It is important that the recovery programme and Scotland Outlook 2030 are positioned as part of the same process and not two independent pieces of work. Considering use of the right language may help with this.
Overall, the milestones outlined seem broadly OK, with a few changes to reflect discussions. However, the timescales are difficult to pin down. It was noted that the timescales must fit with the wider picture. Further discussions are required on this.
Action: Follow up discussion on NSET, ILGs, Leadership Groups etc to be included as an agenda item at the next STERG meeting on 24 February.
I. Refreshing the phase 2 recovery recommendations
It was agreed that a more detailed review of the Phase 2 Recommendations would be carried out by STERG. Specifically, the review should:
Consider whether the recommendation is core agency activity or whether it is above and beyond core agency activity.
- Review the outcomes
- Review the budget allocation
- Re-prioritise to respond to the scale of funding which could be made available for 2022-23
- Identify if there is anything missing
The importance of understanding whether a recommendation is a core agency activity or not was highlighted as critical. It was noted that all STERG partners should feedback on all recommendations, regardless of who was identified as the lead agency.
It was agreed that each organisation would review the recommendations independently and feedback their comments on a template. The templates will the be consolidated for discussion at the next STERG meeting on Thursday 24 February.
Action: A review template is to be created and circulated to STERG by Friday 11 February.
Action: STERG partners to return completed templates by Tuesday 22 February.
Action: Follow up discussion on Phase 2 Recommendations to be included as an agenda item at the next STERG meeting on 24 February.
J. Any other business
No other business was noted.
K. Next meeting dates
- Thursday 24 February, 11.00am-12.00pm, STERG
- Wednesday 1 March, 9.00am-10.30am, Destination Net Zero Consultation
1. January 2022
Key notes & actions - Thursday 27 January 2022
A. VisitScotland - business support and continuity fund
Four of the six VisitScotland tourism funds are currently open, (Coach Operators, Day Tour Operators, Hostels and Inbound Tour Operators).
Grant payments are moving quickly, (more than 50% have been paid out) and it is expected that the funds will close early / mid next week. Advance notice of closure will be given.
Due to back office system issues, the launch of the remaining two VisitScotland funds, Visitor Attractions and Outdoor & Marine has been delayed. These funds are expected to open early next week w/c 31st January. ASVA and Wild Scotland have been notified.
The STGA have raised concern that no Omicron support is being made available for tour guides. VisitScotland met with the STGA to discuss this issue and it was noted that while there may not be funding available for the current round of top up grants, further discussions were required to look at options of how this sector could be supported with 2022 recovery.
The SGHBBA and ASSC have raised concern that there is no Omicron support available for guest houses, B&B’s and larger self-catering properties. It was noted that a response from the Scottish Government team is expected.
SITOA have highlighted eligibility issues for some of their members which has prevented them from accessing the Business Support and Continuity Fund for their sector.
B. Local authority - business support top up
Local authorities are working at pace to get business support out to businesses. £32 million has already been paid out. All applications must be submitted by 31 January 2022 and local authorities will, as quickly as possible, pay those within the first two weeks of February.
Claims have been made that hospitality businesses who were closed over Christmas, have automatically received top up payments from Local Authorities. It was noted that Scottish Government guidance would need to be checked.
Businesses may apply for more than one business support fund, (if they are eligible), however they may only accept funding from one fund.
C. Industry issues
MSPs have voted in favour of the short-term lets licensing scheme. It is now important to ensure that the implementation, administration etc is done in the best possible way, with a consistent approach being adopted across the 32 local authorities and no last-minute surprises.
It was noted that while the STA was unable to take an outright position on short-term lets licensing itself due to the make-up of its membership, the STA does have a strong view on proportionality, fairness, and the ability to allow businesses to trade competitively.
This is an opportunity for industry to work in partnership with local authorities and others to get it right. It was noted that there is an extremely tight timeline to deliver this scheme. The next meeting of the short-term lets working group will take place next week.
Initial evidence gathered by VisitScotland is suggesting a more positive outlook for 2022. A 2022 market forecast is being prepared. The forecast is intended to recognise the challenges of the moment but also highlight the opportunities ahead.
Specific concerns about the shortage of international visitors has been raised by businesses who are more reliant on international travel. In addition, concern about the resilience of the supply chain has been expressed. It is critical that looking forward, the supply chain can meet the demand.
It was noted that there should be two areas of focus, the first which looks at recovery support, the second which looks at driving recovery. Clarity was sought on whether the right business support mechanisms could help mitigate the risks in the supply chain or whether the issues were down to cash flow. It was noted that both were important to address.
There is continued concern about labour shortages in 2022. Currently it does not appear that the number of employees available for 2022 will be different to 2021, therefore if demand is greater in 2022 than 2021, the shortfall will be even greater.
There is a need to understand what will be the knock-on implications of this scenario on the sector and the supply chain etc.
A recent Skills Development Scotland presentation on labour market challenges highlighted that this issue is not going to go away. The pool of labour is now much smaller and the impact of Brexit on migrant labour is known.
Action: Skills Development Scotland to share the presentation slides with STERG.
It was noted that the recent NRS population projection which was recently released highlighted that the working age population is diminishing – this will present a huge challenge for tourism & hospitality on top of the challenges currently being faced.
Phase two of the Tourism & Hospitality Talent Development programme which recently launched, has received 1,450 applications. The spread of applicants is broad spanning both tourism and hospitality.
In 2021, c.6,000 people started a business, this year by the end of Q3 c.6,000 people had started their own business which is an increase on the previous year. 8% of start-ups are accommodation and food service, so there are 480 business start-ups in the ‘tourism’ sector in the last nine months. Whilst there are issues there are businesses who are seeing opportunities and starting a new business.
D. Coronavirus (COVID-19) strategic framework
The Scottish Government has recently sought feedback on the strategic framework from sector representatives. It was noted that the timescale given to respond to this ask was unrealistic, however a number of sectors did respond, and it was found that there was much commonality.
The STA met with government officials earlier in the week to feedback views on the Strategic Framework. Some of the key points highlighted during the call included: the need for positive messaging from Scottish Government to restore consumer confidence, the need to allow businesses to trade unencumbered, adopting a four nations approach, understanding the seasonality of the sector.
It is understood that the aim is to have the document (not final) visible pre-recess. It was recommended that industry is invited to comment once a draft is available.
E. Tourism recovery planning phase one priority projects
The monthly status update for the recovery projects was circulated in advance of the meeting. Four projects are showing an amber status. No request for STERG intervention has been made.
Once again it was highlighted by STERG partners that the hard deadline to spend recovery funding effectively by 31 March 2022 is challenging due to the disruption which the omicron variant has caused, (in addition to other sector challenges).
Marketing activity funded by the Destination & Sector marketing fund, projects which are funded through the Tourism Leadership & Recovery Fund and Destination Net Zero projects are particularly affected and successful project delivery is now at risk due to the lack of flexibility to roll activity into the next financial year.
It was accepted once again that this is serious problem and that it is very frustrating to be bound by financial accountability rules. Scottish Government reiterated that it cannot offer any flexibility on this.
It was once again emphasised that in order to ‘live’ with COVID moving forward there is a need to be able to flex public sector investment rules to take into account and respond to the reality and the impacts of the national pandemic. The ability to adjust the rules (e.g., 31 March cut off), would ensure that public money is spent in the right way and delivers the right outcomes. It was noted that this issue will continue to be raised.
Due to the impact of the omicron variant, VisitScotland will be adjusting the Terms and Conditions on payments made to businesses in the Days Out Campaign, DMO marketing fund and the inbound tour operators fund. These adjustments should give businesses more leeway on reporting and on activity, however, everything still must be wrapped up by 31 March.
It was noted that these adjustments will not impact the money they have received or the activity that they have committed to do.
Phase two, two-year recovery recommendations
Next steps on the two-year Recovery Recommendations are to be discussed as part of the STERG 2022 Planning session on 3 February.
A Scottish Government statement on the position of funding for the Phase two recommendations is to be shared.
Action: Scottish Government to circulate statement to STERG.
F. STERG 2022 planning session
Draft agenda items for the STERG planning session on 3 February were proposed and agreed.
Additional points noted for consideration included:
- The impact of the National Strategy for Economic Transformation on STERG’s future direction
- Supply chain
G. Partner updates
Enterprise agencies
As a result of the current restructure, which is taking place at SOSE, a new Tourism Strategy Manager will be joining the Strategy Directorate shortly. Jayne Ashley (Head of Natural Capital) will manage the new post and will join STERG in the interim.
VisitScotland
Details of some activity done today with information on marketing activity as the focus on driving demand etc for 2022 continues.
STA
The STA is undertaking a strategic review of the organisation. The Board met last week to start the process and further consultations will take place over the coming weeks.
H. Any other business
The Economy & Fair Work committee will meet next week to discuss Scottish Tourism & Hospitality. The committee will take evidence from:
Session one: Marc Crothall, Chief Executive Officer, Scottish Tourism Alliance, Stephen Montgomery, Spokesperson, Scottish Hospitality Group and Leon Thompson, Executive Director, UKHospitality Scotland
Session two: Rob Dickson, Director of Industry and Destination Development, VisitScotland and Vicki Miller, Director of Marketing & Digital, VisitScotland
J. Next meeting dates
Monday 31 January, 11.00am-12.00pm, STERG - Tourism Funding Models - Follow Up Meeting
Thursday 3 February, 12.00pm-1.00pm, STERG 2022 Planning Session
Thursday 10 February, 11.00am-12.00pm - STERG
Key notes & actions Thursday 13 January 2022
A. Business support funds
A press release by the Scottish Government, announcing the £9 million business support fund, was issued. This fund will be administered by VisitScotland and is made up of £3 million from the original Scottish Government £100 million announced for business support, £3 million from the second £275 million for business support announced by Scottish Government and £3 million that has been repurposed from phase one STERG recovery funds held by VisitScotland.
It was noted that there was widespread media coverage across for example Daily Record, the Herald, Business Insider.
In terms of next steps, VisitScotland will be contacting eligible businesses directly (i.e., businesses which were previously supported by VisitScotland under these funds) to advise that the funds are open. Information on the funds process will also be published on VisitScotland.org, the e-newsletter, find business support website and social media.
Sector leads attending the STERG Sector call yesterday seriously challenged why guest houses, B&Bs and self-catering businesses had been excluded from all funding when these businesses were also impacted by the guidance and restrictions put in place by Scottish Government in December and January.
Rob Dickson will meet with representatives of these sectors on 14 January to better understand the issues and the impact on businesses in these sectors. Judith Young advised that following this meeting with the Sector leads the Scottish Government tourism team will inform ministers of the situation.
It was noted that the Tour Guide fund (previously administered by VisitScotland) has not been reopened. It was recommended that this decision should be reconsidered by STERG and the Scottish Government.
Sectors leads also highlighted yesterday that the proposed £6,800 one off payment through the VisitScotland administered funds, while welcome, is likely to be felt by businesses as not very much. It was noted however that £6,800 is comparable to payments in other sectors and other funds.
The Scottish Wedding Industry Fund is to run once again. The eligibility criteria for this fund will be agreed this week. Applicants will be notified directly.
It was noted that there are businesses in some local authority areas, for example Moray who have not yet received top up funding from Local Authorities despite the announcements being made circa five weeks ago.
Action: Further conversation to take place offline after the STERG meeting.
B. Looking forward
Despite bookings coming to a near halt in early December and over Christmas and New Year, recent data gathered by VisitScotland suggests that the market position for 2022 is looking strong.
Recent discussions with DMOs suggest that bookings are looking strong for February through to Easter, May seems quiet but then bookings pick up and are strong for the summer.
Based on recent evidence it is not clear how significant a problem we will have in 2022. If the trajectory of forward bookings does not restart and pick up again strongly then that will be a problem. It was suggested that driving international bookings could be challenging in the current environment. It was noted that there should continue to be a strong focus on the domestic market.
VisitScotland recommend that if there is any residual funding from the £9 million business support then it should be focused on domestic marketing (either at a national level or at DMO level) and visitor management to build on the work done in 2020 and 2021.
It was noted that for Scotland to be competitive, international marketing activity should not be paused. Concern about an outbound spike, as international travel restrictions ease, strengthens the case for marketing activity that will persuade international visitors to return to Scotland.
C. STERG activity and responsibilities for 2022
In the short term it was proposed that STERG prioritises activity which will enable a successful 2022. This activity should be in alignment with the principles and commitments of Scotland Outlook 2030.
It was noted that a focus on having the right measures in place for 2022 will also help address the impact of omicron through December and January.
Action: A STERG 2022 planning session is to be scheduled at the beginning of February.
D. The National Strategy for Economic Transformation
The 10 year National Strategy for Economic Transformation is due to be published soon. It is not clear how tourism will be referenced in the document however it was noted that tourism has fed into the process through feedback from the STA, VisitScotland and others.
E. STA Financial Impact Survey
Findings of the survey will be shared at the Tourism CPG on Monday 17 January.
STERG to consider the most efficient and effective way to collect consistent industry data on an ongoing basis to inform discussions with the Scottish Government and to help shape policy
Action: A discussion on industry surveys in 2022 is to be added to the agenda for the STERG 2022 planning session.
F. Tourism Recovery Pan
The £3 million which has been repurposed from the phase one priority projects, to boost the business support fund, was drawn from small underspends in the following projects, the Days Out Incentive Scheme, and the International Demand Building.
Due to the impact of the omicron variant, VisitScotland need to adjust the Terms & Conditions on payments made to businesses in the Days Out Campaign, DMO marketing fund and the inbound tour operators fund. These adjustments should give businesses more leeway on reporting and on activity, however, everything still must be wrapped up by 31 March. It was noted that these adjustments will not impact the money they have received or the activity that they have committed to do.
It was highlighted that the hard deadline to spend recovery funding effectively by the end of March 2022 is challenging due to the disruption which the omicron variant has caused. Marketing activity funded by the Destination & Sector marketing fund and the promotion and recruitment for the Tourism & Hospitality Talent Development programme have been interrupted and there is a risk that the success of these initiatives will be significantly impacted if there is no flexibility to roll activity into the next financial year.
It was accepted that this is serious problem and that it is very frustrating to be bound by financial accountability rules, however the Scottish Government cannot offer any flexibility on this. It was suggested that in order to ‘live’ with COVID moving forward there is a need to be able to flex public sector investment rules to take into account and respond to the reality and the impacts of the national pandemic. The ability to adjust the rules (e.g., 31 March cut off), would ensure that public money is spent in the right way and delivers the right outcomes. It was noted that this would be raised today on the fortnightly business organisations call with Scottish Government.
The monthly Phase one status report will be available at the end of January.
The monthly Phase one budget update (to 31 December) is due to be submitted to Scottish Government on Friday 14 January.
G. Skills Development Scotland continues to progress the leadership and skills development programmes.
Phase two of the Tourism & Hospitality Talent Development programme is now open for applications. Currently there is a push to drive the number of applicants - target is 1,600 delegates.
The new skills development programme is progressing well. All programmes will be rolled out and promoted over the next few weeks.
- Springboard have been commissioned to deliver a talent attraction programme
- Keep Scotland Beautiful have been commissioned to deliver a climate literacy training programme
- Hospitality Health have been commissioned to deliver a mental health and wellbeing programme
- ASVA have been commissioned to deliver a complete story telling programme
- People First have been commissioned to deliver a management and leadership training programme for chefs
- Inclusion Scotland have been commissioned to deliver a disability and inclusion training programme for the tourism sector
H. Phase two, two-year recovery recommendations
The follow up meeting to discuss Tourism Funding Models has been scheduled for Monday 31 January.
Next steps on the two-year recovery recommendations are to be discussed as part of the STERG 2022 Planning session.
Action: A discussion on next steps for the two-year recovery recommendations is to be added to the agenda for the STERG 2022 planning session.
I. Partner updates
The STA Board will meet next week to undertake a strategic review of the organisation and its priorities for the next two years. This review, which will also include research with key stakeholders, will ensure that the STA remains fit for purpose.
The STA parliamentary reception will take place on 1 March and will be sponsored by Murdo Fraser. On the same day, the deputy convener of the Tourism CPG, will look to instigate a tourism debate in parliament.
Dates for Scottish Tourism Month (STM) industry events are being collated by the STA. Sector organisations and DMOs already have events planned. The STA does not yet have a signature event in the diary.
Action: Opportunities for Scottish Government Ministers during STM to be discussed and agreed.
STERG should consider the strategic updates or key messages that are to be communicated to industry during STM.
Action: A discussion on STERG communications is to be added to the agenda for the STERG 2022 planning session.
J. Enterprise agencies
Scottish Enterprise are focused on delivering the Phase 1 recovery projects to meet the deadlines of 31 March.
Stuart Black is now in post as the new HIE CEO.
HIE is trialling activity focused on Sustainable Tourism Supply Chains and has commissioned Dave Gass to develop new content and material for three webinars and at least one physical workshop (tied to a destination). The aim is to engage tourism businesses and community organisations on the subject of sustainable / local supply chains and raise awareness of the benefits (cost efficiencies, new business opportunities, local community engagement, carbon reduction and sustainable use of resources etc.) Dates for online webinars are 8, 10, 16 February. The physical face to face workshop is yet to be confirmed but will take place in March. Marketing and sign-up will launch next week. This is a new approach and HIE is testing the demand. If all goes well HIE anticipates doing more activity later in the year.
HIE has developed new content to raise awareness of the benefits of embedding fair work principles. There is also a short promo film. Case studies are being developed and there will be additional content added to HIE’s website in the coming months.
The slightly clunky requirement to download the booklet is due to the need to capture business details in order to be eligible to receive two-hours of HR consultancy from HIE’s existing framework with Purpose HR. This element is restricted to Highlands and Islands businesses only. The work also links to the national Fair Work Tool.
Local authorities are focused on disbursing business support to businesses.
K. Any other business
The next edition of the STERG Recovery Dashboard will be issued at the end of January.
A trends report covering the period April-December 2021 will be issued by the end of February.
The focus and content of the STERG Recovery Dashboard should be considered at the STERG 2022 Planning Session.
Action: A discussion on the Recovery Dashboard is to be added to the agenda for the STERG 2022 planning session.
The STERG Action Plan will be reviewed by the working group on 18 January. Recommendations on how the plan should move forward in 2022 will be shared with STERG at the Planning Session.
L. Next Meeting Date
The next meeting will convene on Thursday 27 January, at the later time of 3.00pm-4.00pm.
12. December 2021
12.2 - Thursday 16 December 2021
A. Current Coronavirus (COVID-19) situation
Rob Dickson noted that the current Coronavirus (COVID-19) situation is a challenge and is impacting businesses in the sector quite significantly. It was acknowledged that some businesses are impacted more than others.
Those businesses who are not as exposed at this time of year will still be concerned about the future and the implications for bookings early next year. For other businesses, this is a challenge today.
B. STERG sector call
Frustration was noted about the quality and clarity of the recent communications from Scottish Government. Clarity is required on support for businesses beyond the £100 million that was allocated by Scottish Government.
Helpful evidence was provided by sector leads on the actual impact on businesses. It was noted that this was important in creating an understanding of the sector and business landscape and would help to shape STERG’s collective response. It was noted that the collective effort of agencies may be challenged in the weeks and months ahead.
All sector groups are feeling challenged by the current situation, this is a direct consequence of:
- the repetition of what is being faced right now and;
- the immediate impact of the guidance given by the Scottish Government;
There was a strong sense from the group that hospitality had been unfairly prioritised over tourism. It was emphasised that we should be seen as one tourism and hospitality sector.
The STERG sector call meeting notes will be circulated to STERG for reference.
C. Business support
Scottish Government team assured STERG that there is no one in Scottish Government who doesn’t know that this is a crisis affecting the whole of the tourism and hospitality sector and in fact the whole economy.
Market intelligence continues to be important, any intelligence gathered is fed into the Scottish Government log which is recording the economic difficulties being experienced by business.
It was noted that information about visitor attractions impacted by the cancellation of Christmas parties or events has been submitted by the Scottish Government tourism team.
It was reiterated that the Scottish Government has no additional money for business support beyond the £100 million which has already been announced, (unless the UK Government provides further funds). It was recommended that all agencies scrutinise their own budgets (core and Phase one recovery) to identify whether any money could be made available to support businesses. It was noted that conversations have already started with VisitScotland.
It was noted that underspends identified from the Phase one Recovery projects have already been accounted for by Scottish Government central finance. Agencies should look for new underspends.
Discussions are progressing to finalise the £100 million split. As soon as this is confirmed an announcement will be made by Scottish Government. It was noted that VisitScotland.org will be updated to reflect the final position.
A call with the STERG Sector groups is to be set up to share the business support information. It was suggested that this should happen on Friday afternoon (17 December) or Monday (20 December) depending on the availability of information. It was noted that it is important to highlight to sector groups that STERG will continue to push for additional support and that their members should be made aware of this.
In terms of leveraging more funding, a UK wide tourism and hospitality financial impact survey is about to be conducted on behalf of the Department for Digital, Culture, Media & Sport. This survey will be the key source of evidence for the UK Government on the impacts that the Omicron variant is having on businesses in all sectors of the tourism and hospitality industry.
It is proposed that a Scotland specific survey template (with the same questions as rest of UK) is issued in Scotland. The Scotland results will provide direct evidence to the Scottish Government and will also feed into the UK master survey that will revert to the Department for Digital, Culture, Media & Sport.
The findings will also inform STERG on how it can best respond to and offer better support to business on the ground. It was agreed that STERG use the Department for Digital, Culture, Media & Sport survey rather than create a separate survey now. The importance of all STERG partners supporting the survey and pushing it out through their own communication channels was reiterated as it will be critical to drive a significant response. The need for any further research will be discussed by STERG in early 2022.
D. Tourism recovery plan
Phase one priority projects:
The monthly phase one status report was updated on 7 December and is now available on VisitScotland.org.
The monthly Phase one budget update (to 30 November) was submitted to Scottish Government on Wednesday 15 December.
Phase two, two-year recovery recommendations:
The follow up meeting to discuss tourism funding models did not go ahead on the 14 December. The meeting will be rescheduled to early January.
It was noted that there was no allocation of funding in the Scottish Budget (announced on 9 December), to support any of the STERG phase two recovery recommendations. There is an expectation from the Scottish Government that all STERG public agency partners will utilise core budgets to support recovery.
Scottish Government tourism team will continue to explore alternative funding channels within Scottish Government. It was noted that capital money may be an option however this would need to be spent by end of March 2022.
E. STERG communications
STERG communications will focus on the current business support funding. It was suggested that references to STERGs longer term approach could be included within the communications which will go out over the next 24 to 48 hours.
F. STERG activity
STERG recovery dashboard:
The last edition of the STERG Recovery Dashboard was issued on 1 December. No December edition will be produced.
The working group will meet on 12 January to discuss and agree the content for the next edition.
The STERG dashboard will be a key deliverable of the Scottish Tourism Observatory MVP (Minimal Viable Product) by 31 March 2022.
STERG Action Plan:
The STERG Action Plan was updated on 7 December and is available on VisitScotland.org.
The working group will meet on 18 January to review the plan and to discuss and agree how it will move forward in 2022.
G. Any other business
Action: Annual leave for all STERG partners is to be shared for information.
H. Next Meeting Date
The next meeting will convene on Thursday 13 January, 11am - 12pm.
12.1 - Thursday 2 December 2021
A. Introductions
Rob Dickson welcomed guests from Scottish Government, Scottish Enterprise, Highlands & Islands Enterprise and VisitScotland to the call and thanked them for joining.
STERG’s continued focus on recovery was highlighted to the group and in particular the importance of understanding what businesses and sectors need to achieve this.
STERG is currently waiting on funding decisions being made by the Scottish Government on the phase 2 recovery recommendations. An update is expected after the Scottish budget on 9 December.
Cook advised the group that ministers continue to see the tourism and hospitality sector as a key part of the Scottish economy, and this is evidenced by the level of engagement ministers and officials have had and continue to have with the sector.
It was also noted that ministers recognise the significant hit that the sector has taken and that all are very keen to support the sector to recover as quickly and sustainably as possible. STERG’s ongoing cooperation and collaboration with Scottish Government was highlighted as critically important as this ensures government discussions are informed with the latest sector information.
Dickson noted that STERG is an effective coordination point for agencies, industry and Scottish Government and it will continue to play an important role in how we continue to respond to the COVID situation and in addition, lead the sector to recovery.
B. Tourism Funding Market Study – Michelle Kinnaird, Head of Investment Management, Scottish Enterprise and Donal Church, Specialist, Growth Investments, Scottish Enterprise.
Investment models to support Scottish tourism recovery – this is one of ten projects currently underway in phase 1 of the tourism recovery programme. The project aims to identify options for viable new future investment models which will support both recovery and Scotland outlook 2030 ambitions. Scottish Enterprise’s growth investments team, led by Michelle Kinnaird, were tasked with supporting this recovery project on behalf of STERG.
Significant work on the project has been undertaken and Karen Christie thanked STERG partners, and the tourism sector more broadly, for their cooperation and input into the project so far.
The presentation by Karen Christie outlined the journey that the growth investments team had been on. This included:
Observations from the initial information gathering which was done to understand the investment requirements of the Scottish tourism sector, an analysis of the independent Grant Thornton report which was commissioned and an overview of potential funding options and the associated risk.
The presentation concluded that the work done so far indicates that there are no easy investment solutions for the sector and that further discussion was required to determine the next steps for the project.
Action: Kinnaird to share the presentation and Grant Thornton report with STERG.
Dickson thanked Karen Christie for sharing progress on the project. It was agreed that STERG should schedule a follow up meeting to further discuss the issues raised in the presentation and the output of the Grant Thornton report and to agree the next steps for the project.
Action: Karen Christie to schedule a follow up meeting before the next STERG meeting on 16 December.
C. Tourism Recovery Plan
Phase 1 priority projects:
Days out incentive scheme - There is concern that recent media and Scottish Government messaging surrounding the new omicron variant will hit consumer confidence hard and could result in a significant drop in the uptake of this scheme from consumers.
Promotion of the days out incentive scheme by Scottish Government, highlighting what is open, would be very helpful and would encourage consumers to visit attractions or activity providers over the Christmas break.
Reinforcing that the outdoors world remains open would also be beneficial.
Action: Young to connect the Scottish Government communications team and the VisitScotland communications team to discuss the promotion of the days out scheme and the outdoor sector more broadly.
The monthly phase 1 status report is currently being updated. This will be available to STERG in the week commencing on 6 December.
A template for the next phase 1 budget update will be issued to STERG partners on Tuesday 7 December for return by Tuesday 14 December.
Phase 2 two year recovery recommendations:
A report by STERG, based on the Phase 2 recovery recommendations which were submitted to the Scottish Government in August, is now available to download from visitscotland.org.
An update on recovery funding is expected from Scottish Government at the end of next week, after the Scottish budget statement on 9 December.
D. Any other business
VisitScotland colleagues have updated the information and resources which are available on wellbeing and mental health.
A paper was circulated to STERG for approval in advance of the meeting. It was noted that all STERG partners approved the paper. The updated details will be made available on visitscotland.org in the week commencing on 6 December.
The latest STERG tourism recovery dashboard was issued on 1 December covering October / November data.
Action: All STERG members are to feedback their comments on the dashboard to Karen Christie by Tuesday 7 December.
E. Next Meeting Date
The next meeting will convene on Thursday 16th December, 11am - 12pm.
11. November 2021
11.2 - Thursday 18 November 2021
A. Issues
The STERG sector call was held yesterday (17 November). Minutes from the call will be circulated to STERG for reference. Key points are highlighted on this page.
COVID Certification UKH (Scotland) and ASVA expressed a deep sense of frustration that the COVID certification scheme may be expanded without a robust evidence base to support it. The visitor attraction sector and hospitality sector are angry and disappointed that they may be included in the expansion plans given that there is no evidence that the virus is spreading in these sectors.
In addition, the visitor attraction sector has gone above and beyond baseline requirements for Coronavirus (COVID-19) mitigations with many businesses still operating with physical distancing, one-way systems, and timed entries. It was noted that a recent survey published by Scotland’s hospitality trade bodies found that a COVID certification extension could see over 75% of hospitality business close (Note – a copy of the press release outlining the findings of the survey was circulated to STERG for information, in advance of the meeting).
Business ventilation scheme:
ASVA and Sail Scotland highlighted that visitor attractions and the marine sector appear to be excluded from the business ventilation scheme. It is hoped that this is an error as many businesses within both sectors are keen to improve ventilation where possible.
ASVA and Sail Scotland are to keep STERG updated on their follow up discussions with Scottish Government officials. It was noted that following the First Minister's statement next Tuesday, STERG needs to be clear on the support available for sectors and the potential impacts on visitors / customers.
Ongoing labour & skills challenges:
It is acknowledged that the current labour and skills challenges are not new, however brexit and the pandemic has accelerated the scale of the challenge. While it is recognised that there is a lot of excellent work being undertaken to address the urgency of the situation, it was noted that there are no quick fixes and that a strategic, medium to long term approach is required.
It was noted that workforce availability, (across all sectors – not just tourism), is a complex challenge within the Highlands and Islands Enterprise region and is a key area of discussion within Highlands and Islands Enterprise. Highlands and Islands Enterprise are keen to establish the role of the:
- enterprise agency in addressing this challenge to complement the role of other public agencies;
- local authorities and other organisations involved in this space
Staff accommodation was emphasised once again as a significant barrier to addressing the workforce challenge.
It was suggested that a national approach to this is adopted. However, it was highlighted that staff accommodation is part of a much broader housing issue and should therefore be part of a much wider discussion on housing needs and how this links to employment, community development and economic development.
Overall it was agreed that a clearer narrative outlining the overarching approach that the tourism and hospitality sector is taking to address the labour challenges would be helpful.
Action: Rob Dickson to pick up with relevant people to discuss the activities being undertaken by the tourism skills group to address sector recruitment.
Note - a recent meeting of the tourism skills group reviewed a paper "tourism labour market and recruitment challenge" and discussed the issues and possible mitigations. It was noted that one of the thirteen, phase 2 recovery recommendations, specifically sets out a proposal to tackle labour supply and recruitment in the tourism sector.
It was noted that it was agreed to explore opportunities within the Scottish Government for a cross sectoral task force to look at the recruitment challenge on a national scale.
Action: Scottish Government to update STERG.
B. Future role of STERG
Currently, the role of STERG is to focus on the Coronavirus (COVID-19) response and recovery. However, it is now recognised that there is also a need to address some of the medium to long term challenges being faced by the sector, such as those identified in Scotland outlook 2030, for example skills & labour and housing.
To deal effectively with the longer-term strategic issues requires a different approach, STERG was not set up to do that. It was suggested that there needs to be a discussion about how STERG could evolve into an entity which is designed to deliver Scotland outlook 2030.
It was noted that before Scotland outlook 2030 was launched in March 2020 work was in progress to address the future governance of the strategy.
Action: Karen Christie to source the previous work done on the governance of Scotland outlook 2030 and share with STERG.
Note - the future role of STERG was last reviewed in August 2021. The review concluded that the purpose of STERG meetings should shift more towards recovery, while still retaining the ability to respond to crisis situations should they arise. STERG agreed that there was great value in public agencies and industry meeting collectively on a regular basis and that frequent engagement and communication had facilitated a closer and more collaborative working relationship. In addition, the ability to collectively address sector issues was highly valuable and far more efficient. It was noted that this had never been done pre-COVID.
C. Tourism recovery plan
Phase 1 priority projects:
Monthly project updates are complete. Eight projects retain a "green" (on track) status, two projects move to "amber" (risks identified) status.
Destination net zero (amber) - there is concern that there will not be sufficient industry capacity to utilise all carbon reduction funding opportunities by 31 March 2022.
Scottish tourism observatory (amber) - resource constraints on the project remain challenging. Risk to achieving all deliverables by 31 March 2022.
Days out incentive scheme (green) - discussions ongoing to ensure funding is utilised most effectively by 31 March 2022.
Phase 1 budget updates are required to be submitted to the Scottish Government on Monday 22 November. It was noted that there is confusion over the process for reporting on the £25 million phase 1 project budget VisitScotland core funding.
Action: Scottish Government to confirm how the phase 1 budget reporting is to operate moving forward. It was suggested that the phase 1 reporting should come from STERG to Scottish Government.
Phase 2 two year recovery recommendations:
Scottish Government have asked for the two year recovery recommendations to be prioritised. STERG recommend that this is done in stages with a preliminary position submitted to the Scottish Government by the deadline of Wednesday 24 November.
Following this initial prioritisation, STERG will undertake to review the phase 2 recommendations in more detail to ensure that they remain valid and that the financial ask to support the recommendations remains appropriate.
Action: Karen Christie to coordinate a first cut prioritisation which will be submitted to the Scottish Government on Wednesday 24 November.
A public document outlining the phase 2 recovery recommendations is almost complete, the final document is expected by the end of the week (19 November).
Action: STERG to agree next steps for the document in the week commencing on 22 November.
It was noted that the core narrative could now be updated to reflect the current position of the phase 2 recovery recommendations.
Action: VisitScotland to update the core STERG narrative with Karen Christie and circulate to STERG partners by Tuesday 23 November.
D. Tourism Recovery Dashboard
The latest STERG tourism recovery dashboard was issued on 11 November covering September / October data. STERG requested that a simple one-page headline summary is added to the start of the document to make it easier to use.
Action: All STERG members are asked to feedback their comments to Karen Christie by Friday 26 November.
The five questions posed were:
- Is the dashboard providing you with the information you require?
- Are the indicators included still the right ones?
- Are there any indicators that are no longer relevant and therefore can be removed?
- Are there any indicators missing?
- Do you foresee an endpoint for this dashboard?
E. Any other business
The STERG action plan has been updated and is ready to be shared on visitscotland.org in the week commencing on 22 November. A review of the STERG Action plan will take place in mid-January 2022 to agree how the plan moves forward in the new year.
It was suggested that the "Glasgow declaration for climate action in tourism" (and what it means for the tourism sector in Scotland), should be a future STERG agenda item. It was agreed that a discussion on the Glasgow declaration at a national level is essential, however it was noted that this is not a STERG issue, this is more aligned to Scotland outlook 2030. A separate conversation is required.
F. Next meeting date
The next meeting will convene on Thursday 2 December, 11am - 12pm.
11.1 - Wednesday 3 November 2021
A. Issues
The STERG sector call was held immediately before the STERG meeting today. Minutes from the call will be circulated to STERG for reference. Key points are highlighted on this page.
Serious concern was expressed across many sectors about a long and hard winter ahead. Businesses have limited or no cash reserves to rely on and there is no further support from Scottish Government.
Mental health issues across many sectors continues to be a significant concern. Hospitality health is the key resource which the Scottish Tourism Alliance has been signposting and promoting.
Business Gateway has partnered with Public Health Scotland to provide a number of resources to help address mental health and well-being issues. These resources can be found on the Business Gateway website.
Action: Rob Dickson to discuss off line how the communication of mental health support services to industry could be improved and whether any additional support was required.
Further industry survey data is expected shortly from Historic Houses, the Scottish Tour Guides Association and the Scottish Country Sports Tourism Group. The data will be circulated to STERG as it becomes available.
The STERG sector group are keen to understand the role that sectors can continue to play and the value that they can add moving forward into 2022. Rob Dickson advised that VisitScotland is looking at their relationships with sector groups, including the role that VisitScotland should play with sector groups.
Engagement with Scottish Government officials and ministers is proving difficult for some sector groups. Some groups such as golf tourism and the marine sector have not received responses to various requests.
Action: Follow up with Scottish Government.
Sector Recruitment Challenge:
The UK Tourism Skills Board met yesterday. It was noted that the five areas of focus that have been identified by UK colleagues align very well to Scotland’s priorities. Hospitality rising presented an update on their initiative to the Tourism Skills Board. It was noted that the Tourism Skills Board were supportive.
The hospitality rising initiative has ambition, however, challenges still remain around how the initiative can be scaled, how the capital will be raised to fund it and what will Scotland get out of it.
Springboard have noted their desire to build on what we currently have, (for example the CareerScope website), rather than open a number of different channels. Rob Dickson reinforced the point that, one good, robust solution will have far more impact and be more effective than having multiple solutions. It was noted however that the challenge of achieving this should not be underestimated.
Recruitment is still slow. Additional staff have been parachuted in from businesses elsewhere in the UK to support their businesses in Glasgow during COP26 and local restaurants are being closed and the staff redeployed into Glasgow city centre businesses. It was noted that international demand is coming, and it would be disappointing if Scotland was unable to service this demand to the standards expected as we do not have the workforce in place.
The Economy and Fair Work Committee have launched an inquiry to consider the challenges facing Scotland’s supply chain. The committee will look at the challenges under three themes, people, places and product.
It was noted that Highlands and Islands Enterprise will be submitting a cross sectoral response. It was highlighted that this would be an opportunity to raise the challenges around people in the supply chain within the tourism sector. The inquiry will close on 9 November.
Ferries:
Industry have raised concern over the new CalMac timetables which have been released for 2022. The proposed new timetables, which suggest a reduced service on some routes, will result in a drop in capacity which will significantly undermine the recovery of tourism on the islands (the Outer Hebrides specifically are noted to be affected).
Outer Hebrides Tourism have written to Graeme Dey MSP, and Ivan McKee MSP to express their concern. The lack of consultation with industry was highlighted as an important underlying issue. It was noted that CalMac ferry services remain high on the Highlands and Islands Enterprise agenda – this is an area which is seen as crucial to recovery.
B. Tourism recovery plan
Phase 1 priority projects:
Days out incentive scheme - VisitScotland are to launch the days out scheme to consumers this week. Discussions are ongoing with industry partners and Scottish Government colleagues to work through the detail of a proposed phase 2 of this initiative in early 2022.
Destination net zero - a VisitScotland news release was issued last week (29 October) to raise the profile of the programme. A new dedicated section for destination net zero has been created on visitscotland.org. Further news outlining destination net zero funding opportunities will be issued over the coming weeks.
All Destination Net Zero enquiries for funding should be directed to [email protected].
The RAG status for all phase 1 projects is currently being updated. This will be reviewed at the phase 1 partner meeting next week.
Phase 1 budget updates will be submitted to the Scottish Government on a monthly basis moving forward. The next request is expected on 10 November.
Phase 2 two year recovery recommendations:
No further news on funding support for the phase 2 proposals is available. It is unlikely that any commitments will be made by the Scottish Government until after the Scottish Budget on 9 December.
The impact of the UK budget on tourism in Scotland is still unclear, however, at the very least it is hoped that budget support will not be cut. It has been proposed that the financial transactions route should be explored with the Enterprise Agencies as a possible source of investment which could be directed straight to businesses.
Action: organise a meeting with Scottish Enterprise, Highlands and Islands Enterprise and SOSE to discuss further.
C. Funding Updates
Inbound operator fundingsupport (round 2) - the Scottish Tourism Alliance are still waiting on a date for a follow up meeting with Ivan McKee MSP.
Action: follow up with Scottish Government to secure a meeting date.
D. COP26
VisitScotland will be holding an in-person "destination net zero" event tomorrow morning (4 November) at COP26.
Tomorrow (4 November) will see the signing and launch of the "Glasgow declaration on climate action in tourism" to which VisitScotland (along with 300+ others) is a signatory.
E. Future STERG work
Industry wide survey:
Before commissioning any further survey work, STERG agreed to pull together the data that is currently available, this will establish if there are any knowledge gaps to be filled. It was agreed to review the situation again in the new year.
It was noted that Highlands and Islands Enterprise issues a regular business monitoring report.
Action: Karen Christie to coordinate with relevant STERG partners.
F. Partner updates Scottish Tourism Alliance
The inception meeting for the new cross-party group for tourism was attended last week. Unfortunately, the meeting highlighted a distinct lack of sector awareness. It was noted once again that to be effective it was essential for MSPs to appreciate the current tourism landscape and support the tourism agenda. It was suggested that a SPICE briefing may be beneficial.
Action: Rob Dickson to follow up with VisitScotland’s government & parliamentary affairs manager for a debrief.
Action: also follow up with further discussions.
Attendance and participation in the recent VITUR Summit in Malaga, the European event for holiday rentals. Met and took part in many discussions with colleagues from Portugal, Spain, Denmark, Croatia and Italy and also presented the Scotland outlook 2030 headlines in a panel session alongside Fiona Campbell, ASSC.
Key takeaways included, how well the professional short term let sector had performed right across Europe over the past 18 months, significantly increasing its market share of traveller type, and that the future consumer demand for this type of holiday accommodation remains very strong. Many of the presentations showcased the level of innovation going on in the sector to help the property owners and managers overcome some of the operational and management challenges they face, but also how to improve the quality of the guest experience. It was noted that 3 Scottish Business came away with awards.
G. Any other business
It was noted that an alternative date for the director of economic development, Scottish Government, to join a STERG meeting had not yet been confirmed.
Action: arrange for the director of economic development, Scottish Government to join one of the forthcoming STERG meetings. 2 December is proposed as an option.
H. Next meeting date
The next meeting will convene on Thursday 18 November, 11am - 12pm.
10. October 2021
10.2 - Thursday 21 October 2021
A. STERG Sector Call
Minutes from the STERG sector call which was held yesterday (20 October), will be circulated to STERG for reference.
The CareerScope website remains the platform of choice for tourism and hospitality sector vacancies and Springboard are keen to develop the site further with feedback and support from industry and agency partners. It was noted that VisitScotland in particular were happy to provide support.
Industry are doing what they can to address the recruitment challenge, however, retention of staff is just as much of an issue as recruitment.
Although there are a number of good initiatives being put in place to improve the situation, to attract and to grow future talent, (such as the Young Person’s Guarantee), the main issue is that there aren’t enough people available to service the demand – this is a pan economy challenge.
Hospitality Rising is a UK wide initiative which started several months ago and is now beginning to gather momentum as the concept has been developed further. The aim is to raise £5m to create and run a hospitality recruitment campaign, supported by a recruitment platform and which will also link to skills training, fair work and technology. UKH have agreed to manage the funds which is reassuring. The target launch date is Q2 2022. Industry is not yet fully supportive however it is important for Scotland to engage although the degree of involvement and the benefits to Scotland still need to be confirmed.
Scottish Government are working on a cross-sectoral Labour and Skills Shortages Business Action Plan. Both SDS and the STA have fed into this process. It will be important to remain close to this initiative moving forward.
In a period of fierce competition for labour across multiple sectors, the positioning of the tourism & hospitality sector vs other sectors will be very important, as will recognising where the sector can get the best traction. Going it alone under these conditions is unlikely to be successful. Connecting into and ensuring that tourism & hospitality sits clearly within Scottish Government propositions and public agency propositions will be vitally important. It was noted that this must remain on the agenda.
B. Tourism recovery plan
Tourism & Hospitality Talent Development Programme (T&HTDP) - Phase 2 of the T&HTDP (a virtual Leadership, Management and Supervisory training programme) will run from January to March 2022 with a target of 1,600 delegates. - Phase 1 of the programme attracted c. 1,900 delegates. - It was noted that industry are very supportive of the programme, however it was highlighted that there may be issues with releasing staff to participate, (Phase 1 was delivered during furlough). The flexibility and online nature of the programme should however help with this. - Discussions are ongoing to utilise a proportion of the T&HTDP budget to also address the labour market shortages.
Days Out Incentive Scheme - The scheme has now closed to business applications. 154 applications were received.
It was noted that while this will utilise a significant part of the funding there is likely to be budget remaining. It is proposed that a second phase of the scheme is run in early 2022 to kick start next season. Discussions are ongoing with industry partners to work through the detail of this proposal.
ScotSpirit Holiday Voucher Scheme -Last week VisitScotland launched the ScotSpirit Holiday Voucher Scheme to consumers and it was picked up by a few regional titles. VS are working with STV on a potential feature with a family who will be able to take part in the scheme.
Net Zero Pathway - Destination Net Zero comms activity will launch on Wednesday next week (27th) with a media release providing an overview of the project and its aims and objectives. This is timed for the run-up to COP26. VS are working on this with comms colleagues from all of the partners involved.
Action: Karen Christie to liaise with CC(VS) to provide a progress update on all Phase 1 projects, including the latest position on the budget.
Further news on funding support for the Phase 2 proposals are not expected until after the UK Budget statement at the earliest.
The development of a public document which will outline the two year recovery recommendations continues to progress. The release date for this document is to be agreed by STERG.
Ireland announced it’s 2022 Budget on 12 October.
It has been noted that significant support has been identified in this Budget for the Irish tourism sector, including for example Tourism Business Continuity Support, international marketing, capital funding for tourism product development as well as a range of other industry initiatives.
It was highlighted that Ireland is a close competitor of Scotland and to remain competitive we need to be aware of their actions.
C. Funding updates
COVID-19 Marine and Outdoor Tourism Restart Fund: Round Two (Administered by Visit Scotland) - A narrative outlining the current position on this fund was shared with STERG in advance of the meeting. Any comments on the document should by fed back to RD and CC(VS). Action: Scottish Government colleagues are asked to feedback comments on the narrative to RD and CC(VS). Update: SG have provided feedback and updated narrative has since been circulated to STERG.
Inbound Operator Funding Support – Round 2 - The STA and a number of inbound operators met with Ivan McKee on 7 September to present the case for a second round of funding support. - It was noted that since the meeting there has been no feedback from Mr McKee despite prompting for a response. The SGov tourism team were able to confirm that a follow up meeting is to be scheduled. It was reiterated that many sectors across the economy are requesting additional support however currently there are no funds available.
D. COP26
MC will be taking part in a HES event on 11th November, ‘Policy to Practice - Responsible Heritage Tourism for Scotland’.
VisitScotland has a timetable of events which can be shared with STERG partners.
Action: STERG partners to share details of events / activities being run by their organisations during COP26.
E. Future STERG work
Industry Wide Survey The last industry wide survey carried out by the VS Insight team on behalf of STERG was in November 2020. STERG discussed whether this survey (or similar) should be repeated. It was agreed that there is a genuine need for data to support recovery plans moving forward, however there are concerns about survey fatigue. Careful consideration should be given to the format and timing of any survey. It was proposed that the Industry conference on 24th & 25th November could act as a platform for either launching a survey or for gathering data. Action: RD to discuss options with the VS Insight team. Action: STERG to discuss further and agree any necessary actions at the next meeting on 4th November. It was noted that the Fraser of Allander Institute is conducting its latest Scottish Business Monitor survey for the Third Quarter (July - September) of this year. The survey looks at inflationary pressures facing business and current labour market activity. This is a cross-sectoral survey; however it is hoped that it may be able to provide a robust view of the tourism & hospitality sector.
COVID-19 Scenario Plans It was recognised that the STERG Scenario Plans, that were completed in 2020, are now out of date. STERG discussed the need to refresh these Scenarios, however it was agreed that this was not a priority right now and that the industry survey should take precedence. It was suggested and agreed that this position be reviewed at a later date.
F. Partner Updates
SE continue to focus resource on delivery of the Phase 1 recovery projects.
SoSE are upweighting their internal Tourism resources. The position of ‘Head of Natural Capital, Tourism and Culture’ is currently being recruited. In addition, reporting into this position (and also to be recruited), will be a ‘Tourism strategy Lead’ under which there will be a team.
The Young Person’s Guarantee employer webinar for tourism & hospitality will take place tomorrow (22nd). The webinar is to be hosted by The Torridon and delivered by the Scottish Government and Skills Development Scotland. There are c. 60 businesses signed up to attend.
The STA AGM will take place on 9th November.
The STA and UKH met with VisitScotland yesterday (20th) to discuss proposals for the new Cross-Party Group for Tourism. It was highlighted that for this group to be effective it was essential for MSPs to actively engage with the sector and support the tourism agenda.
The final speaker programme for the industry conference on 24th & 25th November is confirmed. Bookings for both in person attendance and online are going very well. - Day 1 Programme is here / Day 2 Programme is here / View the speaker line up here - Click here to book tickets
VisitScotland
Last week VS launched Scotland’s UNESCO Trail. It was noted that the launch secured good media coverage and it was encouraging to see that the media had a real appetite to talk about something different.
G. Any other business
No other business was noted.
H. Next Meeting Date
The next meeting will convene on Thursday 4 November, 11am-12pm.
10.1 - Thursday 7 October 2021
1. Issues
STERG Sector Call
- • Minutes from the STERG sector call which was held yesterday (6th), will be circulated to STERG for reference.
Sector Recruitment Challenge
- • The CareerScope website remains a live portal for sector vacancies and continues to be reviewed and refreshed by Springboard. Industry feedback on the site is welcomed. It was noted that VisitScotland may be able to offer support to Springboard which would help to improve the sites effectiveness. The possibility of additional promotional activity to target the c.20k new users of the CareerScope website is being discussed by Springboard.
- • During discussions with Jamie Hepburn yesterday, MC took the opportunity to update Mr Hepburn on the STA’s activity in terms of representation as well as the wide range of activity which is taking place within the Tourism & Hospitality sector to address skills development and recruitment challenges. MC also highlighted the cost associated with recruiting staff from other parts of the world through Home office visas (c.£6k per person), and the time it takes (c. 6 months in some cases) this will be picked up further with Ministers and the Scottish office.
- • An action plan is currently being developed by SGov in collaboration with ILG’s and business organisations to address labour shortages in Scotland (across all sectors of the economy). A draft is currently being reviewed by the ILG’s and business organisations.
- • In response to a request from the Scottish Government Resilience Room (referred to as SGoRR), COSLA has surveyed a number of local areas with questions focused on energy, CO2, food & drink etc. It was noted that the feedback reinforced that recruitment, particularly in hospitality was a key issue. This has been formally raised on the COSLA issues log and will be fed back to the SGov. It was noted that although this is not new news it is important to continue to reinforce the issue.
- It was highlighted that hospitality is not the only sector to be facing recruitment challenges, the health and social care sector is under immense pressure for staff. Without the necessary staff this becomes a huge community problem. This is a significant issue which Local Authorities continue to deal with.
Business Survival
- • There is significant concern about what may happen to businesses over the winter, particularly those businesses who have not been able to build up sufficient reserves and or have had much shorter seasons, there is a risk that businesses will either have to stop operating or fall into a redundancy, bankruptcy situation. It is impossible to judge what the next six months will hold, however it is incumbent on STERG to consider the possible scenarios and shape what a potential response would look like. All STERG partners agreed that STERG should be the starting point for discussions in responding to businesses in need.
Short Term Lets
- • The ASSC recently met with Fergus Ewing and Shona Robinson, Cabinet Secretary for Social Justice, Housing and Local Government. The meeting was very positive and it was suggested that there could be signs that ‘the ship may be turning’. It was noted that the ASSC will meet with SGov officials this afternoon to discuss further.
- • The ASSC’s proposal for an exemption for registered accommodation was shared with STERG. In addition this has also been forwarded to relevant colleagues in COSLA.
Scottish Tourism Workers League
- • The Scottish Tourism Workers League is an organisation which has only recently appeared on the radar, it was noted that no STERG members (with the exception of the SGov) were aware of it.
- Action: JY to cross-check this organisation with the STUC. Action: KC to follow up with AM for further information given the Highland focus of the organisation
2. Tourism Recovery Plan
Phase 1 Priority Projects
- • All ten projects are at green status. The latest project update (4th October) will be published on VS.org imminently. The next update will be at the beginning of October. Click here to read the latest update
- • Project leads have identified potential risks to the green status of some projects. These have been highlighted as: - Industry capacity to fill places on skills development or leadership development programmes. If minimum thresholds are not met, programmes cannot run. - Procurement challenges currently being experienced, may delay progress on projects preventing them from being delivered within the specified timescale, March 2022. - Resource constraints may impact project mobilisation and delivery of key milestones by March 2022.
- Action: Project leads to consider whether any Phase 1 projects should turn to amber in the November status update.
- • Although raised previously at STERG, it was noted that some projects, which are strategic, long term initiatives would benefit from securing multiyear funding in order to plan deliverables across multiple years.
- ScotSpirit Holiday Voucher Scheme - Businesses (accommodation and visitor attractions) can still sign up to join the scheme. Click here to find out more and to register - Over 110 businesses have now signed up - Beneficiaries launch is planned for 13th October.
Scottish Tourism Observatory
- • It was highlighted at the previous STERG meeting that specialist resource was required to support the governance and initiation activities of the Scottish Tourism Observatory. A document outlining the specific roles, their responsibilities and the time commitment required was circulated to STERG for consideration. It was noted that the preference of the Observatory would be to secure expertise from the STERG partner organisations, however it is accepted that if this is not possible then external recruitment would be required. The recommendation of STERG partners was to buy in the external knowledge and expertise required.
Action: HL to consider the document and feedback suggestions or recommendations to KC post meeting.
Phase 2 Two Year Recovery Recommendations (Submitted to SGov August-21)
- • No further progress has been made on sourcing and securing funding from SGov to support the Phase 2 recommendations. It was highlighted that the UK Budget will be announced on 27th October and so no further progress can be made until after that - the Scottish Budget will be announced on 9th December. The SGov team advised that they would continue to do whatever they can to press for support across government.
- • A public document outlining the recovery recommendations is in development and the next draft will be available for review by the end of the week, (8th).
Action: : KC, CC (VS) & CC (SGov) to review.
- • It was noted that the industry conference on 24th and 25th November is a good platform to communicate key messages about recovery planning. It was highlighted that the Scottish Tourism Observatory and the Net Zero pathway projects already have speaker slots. Action: KC, CC (VS) & CC (SGov) are to recommend the key messages which should be communicated on Recovery Planning at the Industry conference
STERG Recovery Dashboard
- • The September STERG Recovery Dashboard was issued on 24th September.
Action: STERG members are asked to feedback any comments or recommendations for improvements to KC.
- • The October edition of the STERG Recovery Dashboard is to be amended to ensure it can be shared with an audience broader than STERG. A submission will be made to Ivan McKee’s office requesting his support for this publication.
3. Funding Updates - • COVID-19 Marine and Outdoor Tourism Restart Fund: Round Two (Administered by Visit Scotland) - Fund is now closed - The number of successful applicants is low, due to a large proportion of applicants being ineligible and the timing of the fund vs the preferred launch of the funds. - A narrative is to be agreed with Wild Scotland and Sail Scotland which summarise the position of the fund. This will be circulated to STERG for reference.
- • It was noted that all underspends from VisitScotland administered funds are to be returned to Scottish Government. The SGov tourism team will push to repurpose this underspend to meet alternative Tourism needs.
- • It was noted on the STERG Sector call yesterday that businesses have faced significant challenges when applying for grant funding due to the complexity of the application process, this was particularly highlighted for the Inbound Operator Collaborative Marketing Fund which is currently being administered by VisitScotland. This has exposed the need to upskill businesses in this area, to improve understandings and capabilities (particularly digital capability). VisitScotland will look at how this can be addressed through business support and business development.
- • It was suggested that SGov are due to publish fund awards on 12th October, the scope of this is not clear and needs clarification.
Action: CC(SGov) to check and confirm what this publication is to CC(VS).
-
4. Partner Updates
VisitScotland
- • In response to comments made on the STERG sector call yesterday, VisitScotland are looking at how business support / business development opportunities could be offered to businesses who are already closed or about to close for the winter. It has been suggested that VS colleagues liaise with Business Gateway to ensure any available funding or other options are pursued over the winter months.
-
STA
- • The final speaker programme for the industry conference on 24th & 25th November has just been released. - Day 1 Programme is here / Day 2 Programme is here / View the speaker line up here - Click here to book tickets.
-
5. AOB
- • The STERG Action Plan has been updated and will be available on vs.org w/c 11th October. View the STERG Action Plan here
- • The last industry wide survey carried out by STERG was in November 2020. STERG are asked to consider whether there is a requirement for a further industry survey.
Action: KC to circulate details of the previous industry survey to STERG. Consideration to be given to this on the next call.
- • STERG completed a set of Covid-19 scenario plans which were converted into an industry toolkit in November 2020. STERG are asked to consider whether it is necessary to revisit and update the scenarios and the supporting industry toolkit.
- Action: KC to circulate details of the STERG scenario plans to STERG. Consideration to be given to this on the next call.
Next Meeting Date
The next meeting will convene on Thursday 21st October, 11.00am-12.00pm.
9. September 2021
9.3 - Thursday 23 September 2021
9.2 - Thursday 9 September 2021
9.1 - Thursday 2 September 2021
8. August 2021
8.3 - Thursday 23 August 2021
8.2 - Thursday 9 August 2021
8.1 - Thursday 2 August 2021
7. July 2021
7.4 - Thursday 29 July 2021
7.3 - Thursday 22 July 2021
7.2 - Thursday 15 July 2021
7.1 - Thursday 1 July 2021
6. June 2021
6.4 - Thursday 24 June 2021
6.3 - Thursday 17 June 2021
6.2 - Thursday 10 June 2021
6.1 - Thursday 3 June 2021
5. May 2021
5.4 - Thursday 27 May 2021
5.3 - Thursday 20 May 2021
5.2 - Thursday 13 May 2021
5.1 - Thursday 6 May 2021
4. April 2021
4.5 - Thursday 29 April 2021
4.4 - Thursday 22 April 2021
4.3 - Thursday 15 April 2021
4.2 - Thursday 8 April 2021
4.1 - Thursday 1 April 2021
3. March 2021
3.3 - Thursday 25 March 2021
3.2 - Thursday 11 March 2021
3.1 - Thursday 4 March 2021
2. February 2021
2.4 - Thursday 25 February 2021
2.3 - Thursday 18 February 2021
2.2 - Thursday 11 February 2021
2.1 - Thursday 4 February 2021
1. January 2021
1.4 - Thursday 28 January 2021
1.3 - Thursday 22 January 2021
1.2 - Thursday 14 January 2021
1.1 - Thursday 7 January 2021
1. Funding Support Update
VisitScotland Funds:
- The two Events funds are well advanced.
- The Pivotal fund started accepting Expressions of Interest before Christmas, this fund will continue to progress.
- An additional event industry support fund for smaller events will be launched later in January.
- It was noted that these funds are not included in the list of new funds announced on 21st December.
Outdoor Tourism fund (Marine & Land)
- Criteria are being prepared by sector organisations Sail Scotland and Wild Scotland and are now at final draft stage.
- An application form for each element of the fund is in development.
Sector / Destination fund
- This is an operational and market readiness fund, not a marketing fund. It is to ensure organisations are in the best possible place when ready to market.
- It is important that this funding does not cut across funding already awarded by HIE or SoSE. A final draft will be shared with HIE and SoSE for comment.
- This fund is likely to be launched ahead of the other funds.
Visitor Attraction fund
- Final draft of the criteria is almost complete
Hostels fund
- Final criteria proposals received from hostels sector this morning (7th January)
- International Inbound, coach tourism and domestic tour operators fund
- Final proposals for international fund received this morning (7th January). Ongoing work with CPT recoach operators fund and domestic operators fund being drafted
Next steps:
- Teams (with an agreed lead) have been set up within VS for each of the different funds.
- The aim is to have consistency across all funds and to simplify the application process significantly to minimise the evidence required - this should help to speed up the process.
- It has been emphasised to industry group representatives that if the application process does not specify ‘first come first served’ then it must be ensured that it is specified that the money awarded will be ‘up to’ a certain value. This will help to manage expectations where the anticipated number of applicants is difficult to forecast.
- Once all of the criteria and the application forms are signed off by the industry groups they will loaded onto the digital, online process and launched. This is likely to take several weeks.
Enterprise Agency Funds:
Hotel Support Programme
- The new lockdown restrictions, (travel restrictions etc.) are impacting the ability of contractors to complete agreed work with some hoteliers, this could impact the flow of funds to some businesses, potentially risking the ability of monies to be paid out by the end of the Financial Year. These challenges are being discussed urgently with the Scottish Government to find a resolution.
- All money has now been paid to the successful businesses in the SoSE region.
Wedding Sector fund
- Daily meetings are taking place to progress the development of the fund
- Criteria agreed pre-Christmas has been forwarded to Scottish Government for sign off
- Fund expected to be open to applications by the end of January
- A further update will be provided to STERG next week including the approved criteria
Ski Snow Sport fund
- HIE to provide an update to STERG next week
Other support:
- Skills Development Scotland has secured £500k in the current Financial Year for the development and implementation of a new ‘Tourism & Hospitality Talent Development Programme’. SDS in partnership with the STA, HIT Scotland and a number of others have formed a management group to ensure the online programme is up and running by the beginning of February at the latest. The programme will initially focus on Management & Leadership training and aims to secure c.1,000 people on the programme from February to May / June 2021. A further £1.5m has been secured for the next Financial Year to continue the programme.
HIT Scotland will coordinate the activity and David Cochrane, CEO, will attend the STA Member Forums
next week to share details of the programme.
2. Funding Support Issues
A number of concerns were raised regarding the funding support.
- Consistency across funds is the main concern:
- Ensuring consistency of the eligibility criteria and exclusions across all new funds is key. It was noted that this could be challenging given that there are a number of organisations involved in administering the funds, e.g. VisitScotland, Enterprise Agencies and 32 Local Authorities.
- Exclusions need to be clear, consistent and need to be kept to a minimum to ensure the funds can be administered at pace. The more exclusions there are, the more cross checking is required which can delay the funds paying out to the businesses that need it.
- Specifically, clarity is still required on whether businesses in receipt of previous funding are to be excluded or not from these new funds, for example those in receipt of PERF or other funds.
VisitScotland has recommended to SG colleagues that barriers to the application process for the new
funds be minimised and that funding received previously should not prevent a business applying to the
new funds. It is recognised however that controls need to be in place to ensure that a business cannot
apply for more than one of the new funds.
It was noted that in a meeting on Monday afternoon (5th January), MS Hyslop advised that any exclusions
to funding were based on the fact that there is a limited pot of money and the risk therefore that there is
not enough to go around, there is however recognition that businesses need access to support.
The Scottish Government acknowledged that consistency was important and advised that there are still a
number of issues to be resolved.
Action: Scottish Government to advise on any noticeable inconsistencies across the funds once they
have visibility of the final criteria for all funds.
The Scottish Government confirmed that the exclusion linked to PERF has now been removed from the
Hospitality top up fund which is being administered by local authorities. To remove this exclusion from
other funds will require Minister approval.
Action: Scottish Government to confirm whether this exclusion could be removed from other funds.
- The timing of the Hospitality top up fund and the wedding sector fund is a concern. Businesses need to be made aware of the criteria for both funds to allow them to make the decision about which fund to apply for particularly if the funds are running at different times.
Action: SoSE to raise this issue today on the wedding sector call.
It was noted that Business Support colleagues in the Scottish Government are preparing a table which
outlines all of the new funds that are available. This will be available in the public domain.
- Criticism has been received from politicians and industry that access to the new funds is not being delivered quickly enough. It was noted that once again the Scottish Government has announced the money (21st December) without the funds being in place. It was stressed that this must be avoided in the future, the funding criteria and application process must be in place before the money is announced.
- VisitScotland will be clearer on when the funds will be available for application by the end of this week. The aim is to open all funds for applications as early as possible, it is estimated this will be end of January beginning of February. A VisitScotland funding table will be prepared and shared with STERG as soon as it is complete.
- It was recommended that STERG provide an update on the target dates when the funds will be open to applications as soon as possible.
- It was noted that where available an update on the timing of funds will be provided to the STA Member
Forums on 11th & 12th January.
- Strategic Framework Business Fund
- Clarification is required on whether a business must have a business bank account in order to be eligible for this fund, this is causing major delays and requires confirmation from the Scottish Government.
- It was noted that some new funds will not require a business bank account, e.g. Wedding sector fund,VisitScotland funds, this illustrates a clear need for consistency across funds.
Action: Scottish Government / COSLA to confirm their position on this.
- Businesses e.g. accommodation providers in level 3, (currently Island communities), cannot access this fund despite travel restrictions preventing their customer base from mainland Scotland level 4 / rest of UK travelling to them which is causing business disruption. This approach needs to be amended.
- Although discretionary funds have been mentioned as a possible source of funding it is recommended that a blanket fund is made available to all island accommodation providers given the travel restrictions in place.
Action: Scottish Government / COSLA to advise whether exemptions could be made for these
businesses.
- Scottish Agritourism has raised the concern of discrepancies between how rates assessors have rated different businesses as this impacts the grants that can be claimed from the Strategic Business Fund, for example, one large business may be rated as one whereas a smaller business may be rated separately. In addition there is discrepancies between local authorities on how these issues are dealt with.
Action: Scottish Government / COSLA to advise if this can be covered by the discretionary fund?
- It was noted that Boris Johnstone implied yesterday (6th January) that the £375m of new money would be forthcoming to Scottish Government. Clarification is required from Scottish Government as to where this money will be channelled.
Action: Scottish Government to clarify the position
3. Impact of Lockdown on Businesses
- The new lockdown restrictions have forced some businesses to extend their periods of closure, Gleneagles for example will not reopen until 15th March, it is expected that others will follow.
- It was noted (and highlighted to Ms Hyslop at a meeting on Monday 5th January) that the fixed costs for many businesses are much greater now, i.e. in the winter, than they were in the spring of last year, for example utility bills are higher and there are now additional furlough costs.
- Managing overhead costs is a huge concern as grant support is limited. Conversations need to happen with Banks about possible support, for example extending mortgage holidays.
- It was highlighted that there are now no forward bookings for conferences or events and it is unlikely that any February mid-term holiday bookings will be realised.
- It was noted that Scottish Agritourism had submitted a list of issues, gathered directly from the
- Agritourism sector, to be addressed at STERG, these issues have been forwarded to the Scottish
Government team for a response.
- The mood is incredibly sombre, genuine business failure is imminent. It is critical that there is a marker in the sand for businesses to aim for in terms of when they could realistically begin to take bookings again.
4. Tourism Recovery Planning
It was noted at the previous STERG meeting on 17th December that a round table discussion with senior
agency stakeholders would be proposed for January in order to conclude discussions on agency support
for the Tourism Recovery Plan.
It was confirmed that the Director of Economic Development, Scottish Government, will meet with
senior Enterprise Agency stakeholders on 20th January where tourism recovery will be a key point for
discussion.
5. STERG Industry Survey
- VisitScotland are preparing a presentation to share the results of the survey. The presentation is expected to be available w/c 11th January and will be shared with STERG.
- VisitScotland will hold an industry webinar to share the results of the survey and host a Q&A at the end of January, exact date TBC, (provisional date 27th January).
Additional work is underway to split the survey data by geography and by sector.
6. STERG Action Plan
- The most recently updated STERG Action Plan was published on VS.org on 18th December.
- The next update is expected to be published w/c 18th January.
- It was recommended that next update of the STERG Plan provides a status update on the new support funds and progress with the Tourism Task Force recommendations in particular the Recovery Plan.
7. Partner Updates
Skills Development Scotland
- A research project on Fair Work has been commissioned by SDS. The research will seek to understand the issues and challenges faced by businesses across a number of key sectors (including Tourism) in implementing fair work. EKOSGEN have been awarded the contract and will begin work next week. The project will run until March 2021. It was noted that some of the STERG partners may be called to be involved.
Enterprise Agencies
- Delivering funding support is the current focus of activities.
VisitScotland
- All VisitScotland Marketing activity is on hold, however VS is ready to go when allowed to so.
- VS comms team continues to support Scottish Government funding update announcements
- The STERG review document is ready and will be published w/c 11th January.
STA
- It has recently transpired that the Short-Term let legislation will also impact on B&Bs. This has come as a surprise to the sector who have not been involved in the consultation process. The Scottish B&B Association has been notified. VisitScotland plan to mail the details of this to all B&B’s on its dadatbse.
- An Extraordinary UK Industry Council meeting has been convened for this afternoon to discuss lockdown support and Brexit.
STA Member Forums will take place w/c 11 January.
8. AOB
No AOB was noted.
Next Meeting Date
The next meeting will convene on Thursday 14 January, 11:00 - 12:00.
12. December 2020
12.3 - Thursday 17 December 2020
A. New funding support
Ongoing discussions are taking place between the Scottish Government, STERG partners, trade associations and sector organisations to agree the criteria for some of the new sector specific rescue funding packages. It was noted that much progress had been made in the last few days and a revised proposal will be presented to Mr Ewing later today for approval.
It was agreed that details of the final funding packages would be circulated to STERG once approved.
It was noted that if businesses are to be excluded from the new funding packages (as they have received money from previous funds) then there should be a common exclusion list which can be applied across all of the new funds.
A funding announcement is expected from Kate Forbes on 18 December. Details of the application process for the different funds are expected in January.
It was highlighted that signposting businesses to the right funds will be challenging, ensuring that businesses apply for the funds that best suit them is important and will avoid frustration and wasted time.
It was noted that it was important to recognise that these funds are being designed to address business survival and not recovery.
It was acknowledged that clear communication of the funds, including eligibility, application process and timing is essential to avoid confusion.
It was suggested that findbusinesssupport would be the best platform to host the funding packages.
B. Tourism recovery planning
To deliver the tourism recovery plan will require a commitment of support from the public sector agencies. This commitment to support tourism must go beyond operating plans and business as usual, it requires a distinctive uplift in support, warranted by the need to help one of Scotland’s most important sectors of the economy to recover.
It was noted that discussions are ongoing to secure this support from the agencies.
It was proposed that a round table discussion with senior agency stakeholders is convened in January to progress these discussion to a conclusion.
The draft terms of reference and the project initiation document for the tourism recovery plan were circulated to STERG for comment. In the draft it is proposed that a steering group and a stakeholder group are created to support STERG, it was agreed that further discussion was needed on this and that this should be the focus of STERG when the group reconvenes in January.
It was also noted that project support needed to be discussed further as did the support and resource that could be offered by the Scottish Government.
Action: STERG to feedback comments on the ToR and PID before the next STERG meeting on 7 January.
C. Scottish Government guidelines
Visibility and clarity on what businesses can expect from 28 December is critical to enable future planning. It was noted that Wales has already announced that it will enter a full level 4 lockdown from 28 December. It is essential that businesses in Scotland are given as much notice as possible of what is likely to happen after Christmas.
D. STERG industry survey
A draft of the top-line results were circulated to STERG for information.
It was noted that the initial results highlight the devastating impact of the Coronavirus (COVID-19) pandemic on the tourism sector but what can also be seen is that there is a lot of innovation and inspiration coming from industry indicating that there is a sense of optimism for the future.
The results will be published on Friday 18 December accompanied by a press release and a blog post.
A webinar will be held in January for anyone who is interested in understanding the detail. Further details will follow.
It was confirmed that different cuts of the data could be provided as required.
The verbatim comments have still to be analysed, this should provide an understanding of the sentiment behind the quantitative responses. This will be available in January.
It was noted that it would be of value to share the findings of this survey with the CET committee which is taking evidence today and on 14 January on the impact of Coronavirus (COVID-19).
It was noted that the responses to the questions around access to long term financial support were polarising and would be investigated further.
Action: STERG to forward any questions on the survey to Riddell Graham.
E. STERG action plan
The most recently updated STERG action plan will be published on VisitScotland.org by 18 December. This will be the last update of 2020.
The next update is expected to be published in the week commencing on 18 January.
It was noted that visibility of the progress being made on the task force recommendations agreed by the Scottish cabinet is important and therefore it is recommended that next update of the STERG plan provides a status update.
F. VisitScotland
The STERG review document is almost complete. The latest draft will be forwarded to Duncan Mackay in the Scottish Government team to cross check the information included. The review will be available for circulation next week or alternatively in the new year. It was noted that if possible an Enterprise Agency split on funding awarded would be helpful.
G. Skill Development Scotland
The new talent retention training programme is likely to be up and running in the new year. It was noted that there is a significant amount of work and creative thinking underway to make this happen.
Additional Sector funding has been secured this week for Springboard, Hospitality Industry Trust Scotland and Association of Scottish Visitor Attractions to specifically address training requirements related to Coronavirus (COVID-19).
H. Enterprise agencies
Money has now started to flow through to the businesses who were successful in securing funding from the hotel support programme. It was noted that all money has now been paid to the successful businesses in the South of Scotland Enterprise region.
Scottish Enterprise and Skills Development Scotland are progressing talks on skills funding and where rural leadership and destination leadership might fit within that.
Highlands & Islands Enterprise Strengthening Communities Directorate has approved circa £1.5 million investment in capital projects across the Highlands & Islands for tourism infrastructure. These funds will be released before 31 March 2021.
The list of approved projects will be shared with STERG if possible to do so.
It was noted that there are a number of other funds operating in this space:
- NatureScot green places recovery fund
- Local level funds are also available to support communities, tourism and place initiatives
I. Scottish Government
The Scottish Government team thanked the STERG partners for the huge effort that they had made this year in what has been an incredibly difficult year for all. The commitment to responding to the pandemic has been appreciated and the team looks forward to continuing to work together in the new year.
J. Scottish Tourism Alliance
The Scottish Tourism Alliance echoed the thanks of the Scottish Government and acknowledged that the hours of work which they had put in were sometimes not recognised. It was highlighted however that unfortunately the worst is still to come for the industry in the next couple of months and that shouldn’t be forgotten. It therefore remains the responsibility of this group to collectively move forward into the next phase.
K.Any other business
No any other business was noted.
L. Next meeting date
The next meeting will convene on Thursday 7 January, 11am - 12pm.
12.2 - Thursday 10 December 2020
A. Tourism task force cabinet paper
An update was provided by the Scottish Government team on the next steps following the task force paper discussion at cabinet on 1 December.
Feedback from Cabinet has been documented and circulated to STERG for information. It was noted that this document was confidential and not for onward circulation. The feedback indicates a particular interest in aiming towards a future which is low carbon, supports fair work and supports communities. Cabinet was clear that we shouldn’t be looking to return tourism to what it was pre-coronavirus (COVID-19). Cabinet wants the sector to be stronger and more resilient, but they don’t want to see the same issues that we have had in the past.
Since the cabinet meeting, further work has continued on the financial requests to support the sector. An updated paper was provided to STERG during the meeting. It was noted that this paper was confidential and not for onward circulation. The paper details the latest breakdown of the budget. It was noted that the task force recommendations had been the starting point, however further additions have now been added to try and support as many areas as possible, particularly businesses that haven’t been supported in the past.
The budget is set out sector by sector and includes related sectors which are not core tourism or hospitality. Importantly it was noted that the ministers focus for the consequentials in this financial year was on supporting business and in particular businesses that hadn’t received support before or needed extra support to survive. On that basis it was agreed to defer any decisions on marketing support for VisitScotland.
A number of initial observations were noted.
Given the number of funds that are likely to be available at the same time, some form of overarching coordination will be essential to ensure that the funds are all joined up and that the eligibility criteria for the different funds are not developed independently of each other.
Clarity on the number of funds that a business can apply for will be key.
The timescales for designing the funds and eligibility criteria and then distributing the funds needs to be realistic given the current pressure on resource.
There is an expectation that funds will be delivered as quickly as possible acknowledging resource constraints.
As an example of the resource requirement to effectively manage a support fund, VisitScotland advised that the events fund that they have been administering over the last six weeks has involved 50 staff members.
The time involved in successfully developing the criteria for a fund should not be under estimated, it is noted that there is a requirement to deliver the funds at pace, however the complexity of eligibility criteria can be very challenging and can significantly impact timelines.
It was acknowledged that STERG required time to review the updated budget proposal and it was agreed that a follow up session be scheduled for 11 December to provide feedback directly to Scottish Government.
Action: STERG to review the budget proposals and provide feedback at a separate session to be scheduled for Friday 11 December. (Karen Christie to schedule)
It was noted that the task force recommendations and the cabinet paper has successfully secured cabinet ministers support for tourism, (both response and recovery) and has helped them to understand the current status of tourism in Scotland.
A formal response to the task force recommendations is expected to be issued by the Scottish Government imminently, this will include a request for the public agencies to provide a detailed plan outlining resource and financial commitment to sector recovery over the next five years.
It was noted that STERG will coordinate the recovery plan addressing the task force recommendations and that there will continue to be an inclusive and collaborative approach between industry, the public agencies and the Scottish Government to shaping and delivering tourism across Scotland.
It is now critical for STERG to work together to get the business support out as effectively and efficiently as possible.
B. STERG communication and engagement
The STERG report card is nearly complete, further information is required from the Scottish Government and from convention of Scottish Local Authorities. Communication activity will be planned for the new year.
Last week VisitScotland published a list of the most frequently asked questions on both the current guidance and Christmas guidance to try and provide much needed clarity to businesses. VisitScotland will meet with the Scottish Government at the end of this week to talk about any further actions that could be taken to ensure the guidance is clear particularly given the ongoing changes which are happening.
A number of additional points related to restrictions were highlighted as needing further clarity or visibility or stronger messaging:
What you can do in Scotland over the Christmas period, for example permission to travel from a level 2 area to another Level 2 area to stay in a hotel.
Visitors travelling from south of the border are not aware of the restrictions that apply in Scotland. Similarly, inbound visitors are not aware of the restrictions that apply.
Although it is appreciated that bookings from visitors south of the border cannot be taken at the moment, it is important to understand when businesses could begin to take bookings for example Easter. Businesses want to forward plan.
Current uncertainty is making it difficult for inbound tour operators to secure future bookings for clients as businesses are hesitant about taking bookings.
Could a new year bubble be considered for Scotland? It was acknowledged that the Scottish Government team had been very helpful last week in responding to the specific questions that had been asked, it was also noted that the answers had been very good and provided the necessary clarity. It was recommended that the same approach is adopted for these additional questions that have been raised.
C. STERG industry survey
The STERG industry survey closed on 6 December.
2,972 responses were received.
Top line results will be shared with STERG on 17 December and then published on visitscotland.org on 18 December. Insights from the survey will also be shared through a wider programme of communication.
D. Funding updates
Hotel Support Programme - Almost all contracts have now been issued to the successful applicants. - Once the final list of supported companies is clear then this will be communicated. It is expected that this final list will be available within the next couple of weeks.
VisitScotland is to launch a new events fund. The fund will be open to Expressions of Interest from 18 December with funds being delivered in the new year.
The new £15 million support fund for the wedding sector and its supply chain, which was announced by finance secretary Kate Forbes on 9 December is to be administered through the enterprise agencies. The design and eligibility criteria for this fund is currently being developed.
E. Impact of government restrictions
It was highlighted at the Scottish Tourism Alliance Destination Forum that access to funds for businesses that have had to close is not consistent across local authority areas. These businesses have not been required to close or restrict their business by law and therefore they are not eligible for the strategic framework business fund, however, they have been forced to close as it is not viable to keep the business open. Local authorities should have a consistent approach to tourism in terms of discretionary payments to businesses that have had to close due to the impact of travel restrictions.
F. Business Gateway / Convention of Scottish Local Authorities
A number of new funds were announced by the finance secretary on 9 December, many of which will be administered by local authorities, this is in addition to funds which are already being managed, circa 90% of local authority resource on the ground is now focused on grant support work and circa 10% on the day job however the day job has not reduced, this is causing enormous pressure on local authority staff across Scotland.
G. Skills Development Scotland
The tourism skills group meeting was held on 9 December. The key focus of discussions was the funding for the emerging talent training and retention programme, which was proposed in the task force recommendations. £500,000 will be made available initially until end of March 2021 to provide a leadership and management programme. Further funding has been secured beyond March 2021 to develop the programme further to support future recovery.
H. Enterprise agencies
The tourism team within Scottish Enterprise is involved in a significant amount of activity which is not directly related to STERG work or sector recovery, for example, regional partnerships, business cases, city deals, growth deals etc, it was noted that this work is ongoing and has not decreased.
I. Scottish Tourism Alliance
Clarity is required on the vaccination roll out, specifically what is the ambition in terms of likely timeline. It is appreciated that there may be vaccine availability issues however we need to look at how we can optimise delivery to ensure this can be delivered as quickly as possible.
Ongoing discussions are taking place to look at alternatives to quarantine and testing at airports, this work is being led by transport and Mr Matheson. A dedicated STERG session will be required once the proposals become clearer.
J. Any other business
No any other business was noted.
K. Next meeting date
The next meeting will convene on Thursday 17 December, 11am - 12 pm.
12.1 - Thursday 3 December 2020
A. Outcome of tourism task force cabinet paper discussions
The tourism task force recommendations were discussed by the Scottish cabinet on 1 December. The following update was noted.
The cabinet paper was well received by cabinet.
Ministers were supportive of the proposals and the need to support the sector in the short, medium and long term.
It was recognised that the enterprise agencies would have a key role in developing a five-year recovery plan.
We will continue work with the sector to ensure that tourism recovery is consistent with our climate change ambitions.
The Scottish Government continues to explore the funding requests and will respond on these shortly.
The Scottish Government tourism team continue to work on the Scottish Government response to the task force. It is hoped that the publication of this document will align to the announcement of a financial support package.
Work is to start on the public agency recovery plans. Availability of resource is being looked at by Scottish Government.
Scottish Government are looking at the possibility of Nigel Huddleston meeting with a select group to discuss task force recommendations.
Vaccination roll out expected to start in December.
It was noted that Mr Ewing joined the final half hour of the Scottish Tourism Alliance EU Exit round table discussion which took place yesterday with the Scottish Tourism Alliance Board, Council and Scottish Government officials. Mr Ewing updated the group on the Tourism Task Force proposals that were discussed at the Scottish Cabinet. Mr Ewing advised that an announcement on a further support package should be expected within the next week.
The following points were noted on future funding packages:
- Clarity on the criteria for accessing the funding is critical and needs to be available upfront at the time of any announcement
- Clarity on the conduit for delivering the funding needs to be confirmed as soon as possible
The process of getting the money direct to businesses should be kept as simple as possible. An update on the progress of funding (both immediate business support packages and sector specific support as outlined in the task force recommendations) was requested urgently. Mr Ewing also commented on Tesco’s announcement to repay the rates relief they have received. Mr Ewing said that he would be making enquiries to find out if other supermarkets would be doing the same and if that money could be redirected. It was noted that similar comments were made on the UK’s tourism industry council to Nigel Huddleston.
B. STERG communication and engagement
STERG's Coronavirus (COVID-19) tourism industry survey reminder email will be issued today.
The STERG scenario planning toolkit was launched last week and so far has had good engagement.
Work continues to consolidate STERG activities for communication activity.
C. Funding update
Hotel Support Programme:
- All enterprise agencies have now issued the majority of contracts to all successful applicants
- Partner discussions on the broader business support package for successful applicants is being progressed
- Discussions will take place between Scottish Enterprise and VisitScotland on potential support that could be offered to applicants who were unsuccessful
D. Impact of government restrictions
Two areas of government restrictions were highlighted as urgently requiring greater clarity and visibility:
Can a festive bubble of three households stay in self-catering accommodation, given that the Scottish Government have classified self-catering as a private dwelling? It was noted that further clarity on this point was provided in the updated festive guidance, which was issued on 2 December, it was also noted that these changes were made based on equality issues whilst also aiming to minimise transmission. It was highlighted that industry would like to challenge the changes made.
Travel to Scotland from England, Wales and Northern Ireland between now and 23 December. Although the Scottish Government website advises against travel to Scotland from the rest of the UK, this message has not been made loud enough or clear enough. In addition, there is no clear, visible communication from the UK Government advising against travel to Scotland and therefore the travel restriction messaging is not reaching visitors who may come from south of the border. This has to be addressed and made clear.
It was noted that as yet there is no indication of what may happen after 27 December. It was stressed that industry needs to be given as much advance notice as possible so as to prepare for the restrictions that might be put in place.
It was highlighted that in general Scottish Government communications on guidance are not providing the necessary clarity for industry or for visitors and it was emphasised that this needs to change. It is vital that communications are clearly understood by businesses and are not left open to interpretation or misinterpretation. More needs to be done to sense check communications in advance of publication to ensure the messaging is clear and to ensure that the communication covers all the likely questions which will arise from industry. It was suggested that VisitScotland are more actively involved in sense checking communications.
It was acknowledged by Scottish Government that the communication process wasn’t working and that the complexity of guidance and the number of different parties involved in agreeing the guidance didn’t make the process easy. It was agreed that improvements could be made.
Action: It was noted that the issue on clarity of communications has not been resolved however in the first instance VisitScotland and Scottish Tourism Alliance will provide clear responses to the questions which have recently been received from industry on travel restrictions and the festive guidance.
E. EU exit round table discussion with industry
The Scottish Tourism Alliance hosted a round table EU exit discussion with the Scottish Tourism Alliance Board, council and Scottish Government officials on 2 December. The note of meeting will be circulated to STERG when available.
Issues raised included:
- Workforce / labour concerns
- The loss of expertise for example language skills
- State aid implications
- HM Revenue and customs lack of engagement
- The risk that additional costs could be incurred by those wanting to travel to the UK / Scotland will impact Scotland’s competitiveness
It was suggested that the challenges and concerns of Coronavirus (COVID-19) have over shadowed preparation for Brexit and businesses may therefore be ill prepared.
Action: Note of meeting to be circulated to STERG by Karen Christie
F. Skills Development Scotland
Funding has been granted for the emerging talent retention and training programme, work continues to scope out and agree the detail of the programme to ensure that it’s up and running as quickly as possible.
A new apprenticeship employer grant will be open for applications in January. This grant aims to encourage more employers to take on an apprentice or upskill an existing staff member through modern or graduate apprenticeships.
The funding includes:
- £5,000 for employers taking on or upskilling a 16 to 24-year through a modern of graduate apprenticeship, and for those aged up to 29 years who have a disability, are care experienced or are from a black, Asian or minority ethnic background
- £3,500 for employers taking on or upskilling an individual aged 25 and over through a modern or graduate apprenticeship. Discussions about which businesses will be eligible is ongoing however it is likely to apply to most employers
G. Business Gateway / Convention of Scottish Local Authorities
Local authorities are currently focused on delivering grant support.
Brexit is increasingly on the radar and there are likely to be implications for tourism. A recent survey completed by the department for digital, culture, media and sport has shown that data flows under Brexit is a key issue which businesses are not up to speed on. This could apply to a hotel for example who has a booking system running on a server in Holland which is easy to post data to but will be difficult to get data back post Brexit.
An additional £11.8 million has recently been announced to help businesses adopt digital technologies and improve their digital capabilities, £800,000 will be given to Highlands & Islands Enterprise to extend its Digital Enablement Grant scheme, £1 million will go to Data Lab to help businesses to invest in more advanced technologies such as data analytics and artificial intelligence and £10 million will be available to build on existing digital support programmes, discussions are ongoing to agree how this funding could best be deployed, it is likely that it will be in a grant format.
Three Brexit webinars will take place over the coming three weeks on leaving the EU.
A Brexit survey will be issued imminently on the subject of Brexit which follows a survey in September.
H. Scottish Tourism Alliance
Priority must be given to providing clarity to industry on the following:
- Christmas messaging for the sector, this is critical, particularly on self-catering. The conditions laid out in the guidance are not acceptable and there is a need to challenge this
- Travel guidance, particularly for those travelling to Scotland from the other three nations. It should be considered whether there is a need for the first minister to explicitly say Scotland isn’t open right now
Action: VisitScotland to work with Scottish Government team to put together a clearer communication for industry.
G. Any other business
No any other business was noted.
H. Next meeting date
The next meeting will convene on Thursday 10 December, 11am - 12pm.
11. November 2020
11.4 - Thursday 26 November 2020
A. Tourism task force recommendations and cabinet paper
An update was provided on the task force cabinet paper.
1 December remains the target date for the task force paper to be discussed by cabinet.
The paper has now been circulated to all cabinet ministers, the deputy first minister and the first minister for comment, this process has identified additional issues which will need to be addressed.
Concern has been raised that whatever we do regarding the aviation sector it must be in line with climate change targets and environmental expectations, this also applies to international connectivity and international marketing.
Regarding the financial asks that are outlined in the paper, progress is being made on funding support for parts of the sector that have not received as much support as others. Consideration is currently being given to the delivery mechanism for dispersing any such funding. Slower progress is being made on the top up funding proposals. Tourism unfortunately is competing with other sectors of the economy for a share of the consequentials, (consequentials cover health costs, social welfare costs as well as business support costs). The task force paper however has given tourism a head start, discussions on this are expected to conclude over the coming week.
Concern about the timing of any international marketing has been raised.
Phase 2 of the low carbon fund was reviewed yesterday. This included a review of the bids, Tourism has been included in the bids.
Confirmation of funding from the transition training fund has been received for the emerging talent retention and training programme. Detailed design of this programme can now proceed with stakeholders.
Discussions are ongoing with the enterprise agencies, VisitScotland, and Skills Development Scotland to ensure public sector agencies are able to plan the recovery work and then deliver it. This will be done with industry bodies, however it will be a different approach to that taken with Scotland outlook 2030 and the task force paper, as this is a public sector response to the recommendations that have been set out, it is the public sector that will take the lead.
It was noted from the spending review yesterday that the department for digital, culture, media and sport only secured an additional £5m. The next opportunity will be the budget review in March.
That should be the next target for support. It was acknowledged that lobbying activity directed at the department for digital, culture, media and sport may not be having the necessary effect. Longer term money is required to support the recovery plan and therefore we also need to look at possible public / private approaches. It was noted that there is a growing sense of frustration from industry with the UK Government. UK Hospitality press releases which have followed the UK Government’s recent announcements about the tier structures for example, have stated that they are savaging the sector. It is thought that with a vaccine in sight, support for the sector should be accelerated to ensure a strong position for the sector, it was also noted that the roll out of a vaccine should be as rapid as possible, (it was highlighted that there appears to be a stronger push behind vaccinations in England as opposed to Scotland.) The Scottish Tourism Alliance Board raised concern yesterday that Scotland is not seeing the potential opportunity that a rapid vaccine programme could have, this could help Scotland get up and running much more quickly, giving Scotland a real competitive edge and helping to get the international market moving again. It was noted that the importance of international markets cannot be underestimated and will be critical to recovery.
It was stressed that the main concern right now is the immediate support package and confirmation of when this is likely to be announced. The other concern is, will the scale of support offered be sufficient enough to meet the sector’s needs. It was highlighted that it is not just businesses in level 3 or level 4 that are impacted by current restrictions, businesses in level 1 or 2 are also impacted and in some cases have been forced to close as their business is not viable, currently these businesses are excluded from the funding currently being dispersed through the Coronavirus (COVID-19) strategic framework business fund.
It was noted that the language being used to describe business or sector performance should be checked, in particular any reference to a business or sector "having done well". There are some businesses or sectors that have done better than others, however it should be noted that these businesses will have lost a lot during the initial lockdown and will not have done well enough to fully recover - support therefore will still be required.
It was noted that a second letter from five of Scotland’s Hospitality Industry bodies was sent to the Scottish Government on 24 November pursuing a number of assurances and undertakings regarding restrictions on the hospitality sector. It is assumed that the Scottish Government are progressing discussions with these bodies independently.
Mr Ewing will be joining the end of an EU exit round table discussion which is to be hosted by the Scottish Tourism Alliance on 2 December, it is hoped that Mr Ewing will provide attendees with an update on discussions which will have taken place at cabinet on 1 December.
It is expected that the Christmas guidance published today should allow businesses to make the decision about whether they will trade or not over the coming weeks.
It was noted that, in France, president Macron has adopted the Irish approach to grant funding and has stated that “all businesses forced to remain closed during the restrictions, such as restaurants, bars and sports halls, would have the choice of receiving up to €10,000 (£8,900) from a "solidarity fund" or the payment of 20% of their turnover”. The question was asked if this was something that we could look to match in Scotland.
It was highlighted that there are currently many different voices lobbying the Scottish Government which is causing confusion amongst ministers and delaying the funding process. The sector now appears very fragmented and no longer speaks with one voice. This means that there is no longer any clarity about what the ask is. The task force paper was an attempt to get alignment on sector requirements but the lobbying has continued. It was noted that it would be very helpful to have just one representation of what is needed which is proportionate and evidenced and not just a long list of asks. It was questioned whether conflicting industry messages were also happening in England and that could be why progress is not being made there either.
It was acknowledged that the voice of the sector may have become disjointed, however this has probably happened because of the gap between the task force recommendations being concluded in August and the task force paper going to cabinet in December. This delay has created a sense of frustration as many of the task force recommendations were identified as immediate rescue needs.
The task force paper is a great document to focus on, however, it should be accepted that the goal posts have changed over the last eight weeks since the recommendations were put together. (It should be noted however that the VAT extension and the furlough extension have already been delivered).
To improve communication and engagement the Scottish Tourism Alliance will encourage one channel of communication rather than many different channels.
It was noted that the purpose of the STERG industry survey was to cut through the anecdotal evidence and get to the real detail of how different sectors have performed and how different geographical areas have performed, hence it is so important to get a robust and representative sample.
B. STERG industry survey
The STERG industry survey was issued on 19 November.
Over 2,000 responses have been received so far.
The largest sector response so far has been from self-catering businesses.
The largest regional response so far has been from the Highlands.
Concern was noted on the response rate from hotels. STERG partners were asked to encourage responses from hotels, particularly as this was part of the sector who faced some of the biggest challenges.
Action: Riddell Graham to circulate a sectoral and regional breakdown of the responses received so far to STERG partners.
Action: All STERG partners to encourage further survey responses from hotels.
C. Funding update
It is likely that all enterprise agencies will have issued contracts to all successful applicants of the hotel support programme within the next week, subject to the receipt of all supporting documentations from applicants.
Events industry support fund. All offer letters will be issued before the end of next week.
It was noted that one of the key learnings from administering the grant funds is the need to ensure that the eligibility criteria is crystal clear and is set out at the beginning of an application process. This learning will be carried forward to any future funds.
D. STERG scenario planning toolkit
The STERG Coronavirus (COVID-19) scenario planning toolkit for tourism was launched this week on visitscotland.org. Before launch the toolkit was tested with a number of sector organisations to ensure that it was fit for purpose.
The toolkit is intended to help businesses with their planning in times of great uncertainty.
E. Good To Go
There are 7,150 businesses now signed up to the Good To Go scheme.
VisitEngland have recently issued a survey to all accredited businesses to understand how the scheme has worked for them. Results are expected pre-Christmas.
The future of the Good To Go Scheme is currently being considered. It was noted, however, that it will continue into the new year.
Action: All STERG members to feedback their views to Riddell Graham. It was noted that the governance group, which is made up of representatives from VisitEngland, VisitWales, VisitScotland and the Northern Ireland Tourist Board meets regularly so all comments and suggestions can be fed into those discussions.
F. STERG communication and engagement
Information is being collated about the initiatives undertaken by each of the STERG organisations for planned comms activity. A summary of this activity will be circulated to STERG once complete.
Communications to encourage completion of the STERG industry survey will continue. Feedback captured in the survey will inform STERG’s priorities over the coming months.
A STERG update will take place at the Scottish Tourism Alliance's destination member forum on 12 January 2021.
A regular STERG update call with Sector organisations is to take place on a fortnightly basis from January 2021.
G. Business Gateway / Convention of Scottish Local Authorities
The priority is delivering the most recent grants on behalf of the Scottish Government. It was noted that one of the biggest issues that local authorities are having to deal with is questions about eligibility. It was noted that guidance on this is being sought from Scottish Government.
H. Skills Development Scotland
Now that funding has been agreed for the emerging talent retention and training programme, work is underway to finalise the mechanics of the programme. The timing of the programme is particularly important as this will have an influence on the content. A draft programme has already been put together by industry however it is essential that the programme is realistic and meets the needs of individuals and businesses within the agreed timeframe.
A new landing page for the Young Persons Guarantee has gone live on myworldofwork. This includes a section for employers on how they can engage with the young persons guarantee and the kickstart programme.
Approval has been given to proceed with a research project on fair work across some of the key sectors (which includes tourism). The research will seek to understand the issues and challenges faced by businesses, particularly small and rural businesses in implementing fair work. The aim is to commission the project in December for a January 2021 start.
I. Enterprise agencies
The destination managment organisation's support fund from Highlands & Islands Enterprise has its first projects are beginning to come through from the area teams and are starting to be scoped up and developed. No financial support has been awarded yet.
Highlands & Islands Enterprise were recently involved in the visitor management infrastructure sub group meeting with the national parks and are also involved in the rural tourism infrastructure fund process.
Highlands & Islands Enterprise has developed a short term intervention to support capital investment in community led tourism infrastructure. This is being delivered now through anchor organisations and anchor community groups across the Highlands and Islands. Where there is a known infrastructure need for visitors which is led by communities then there is money available for capital spend.
Highlands & Islands Enterprise's tune into tourism podcasts are continuing.
Highlands & Islands Enterprise's let’s grow adventure tourism programme's new cohort are now in week 3.
Highlands & Islands Enterprise will be joining VisitScotland on the cruise webinar which is coming up
J. Scottish Tourism Alliance
A number of businesses have highlighted that furlough is not available to new employees taken on after 31 October. There have been instances where new employees have been taken on and then the business has been forced to close and they have been unable to put the people on furlough. If further restrictions are put in place in January or February, then more businesses are likely to be in that position. This has been raised with Helena Bennett, head of Scotland stakeholder engagement at HM Treasury. UK Hospitality has also raised this as an issue.
Clarity is urgently required on how much notice the current level 4 local authority areas will get before they transition to new levels on 11 December. The current process, (cabinet agreement on the Tuesday for implementation on the Friday), is not believed to be sufficient. It is also not clear on whether the changes will apply from 6am or 6pm. Confirmation is required on whether a further review is to be expected between Tuesday 8 December and the Christmas period. Further changes within this period could make the difference between a business remaining open and being able to trade and having to close. Further clarification is required on whether any changes to level 3 hospitality restrictions, (trading hours or dinks service) can be expected over the Christmas period.
A number of issues have arisen from the Christmas guidance that was published today which has highlighted the need for even greater clarity.
Urgent clarity is sought on whether a festive bubble of three households can stay in self-catering accommodation. The Christmas guidance states that, "Your bubble can meet in a private home, in outdoor public places or in places of worship". Given the Scottish Government’s classification of self-catering as a private dwelling for the purposes of Household regulations it would suggest that this is acceptable. It was highlighted however that the Christmas guidance in relation to tourist accommodation states that, “…During the Christmas period those who are part of a bubble should not stay in tourist accommodation. Only those not part of a bubble should plan on staying in tourist accommodation and should follow the tourist accommodation, socialising and travel rules in the local authority area you are staying. For example: You should only stay with your own household (or extended household) in self-catering accommodation…” This would appear to be conflicting. It was noted that in England, Festive Bubbles can stay in self-catering accommodation.
Greater clarity is required on cross border travel guidance over the period pre, during and post-Christmas.
Strong messaging to visitors travelling from outside of Scotland is needed to ensure that restrictions, (especially around travel), are understood.
The channel for raising questions and managing the responses on the Christmas guidance needs to be made clear.
The next tourism cross-party group will take place on Tuesday 1 December. Marc Crothall will be providing an update.
K. Scottish Government
Scottish Government is having weekly meetings with the hospitality sector to discuss the framework restrictions and how they can be further refined. Latest discussions have been focused on trading hours and not on lifting the alcohol restrictions. The proposed changes in trading hours in level 3 would allow for a second dinner sitting and is more reflective of the time when people would want to eat at lunchtime and dinner time. Although any changes will be very difficult to get through this is where the focus currently lies.
It was noted that the rules around what you can and can’t do pre and post-Christmas can be confusing and that it would be helpful for all if this was clearer.
L. VisitScotland
The VisitScotland regional team met this week and reported that in each of their areas they are still seeing significant investment going on, not necessarily on the accommodation sector but on some other significant projects, some of which are a part of city deals for example in the south of Scotland borderlands.
There were also good future projects noted in the Highlands and the east of Scotland. The regional team will capture this going forward as this is very positive news for the future and will be good to share.
M. Any other business
It was noted that on a recent call to discuss the modern apprenticeship programmes, it was very encouraging to hear that a growing number of businesses have been putting their employees onto modern apprentice programmes, demonstrating a commitment by business to invest in their people in order to develop and grow their human resource and talent despite the difficulties being faced.
N. Next meeting date
The next meeting will convene on Thursday 3 December, 11am - 12pm.
11.3 - Thursday 19 November 2020
A. The role and remit of STERG
The future role and remit of STERG was agreed by all. It was also agreed that the STERG name would not change. The final version will be hosted on visitscotland.org.
It was noted that the two Scottish Government actions arising last week from discussions about STERG’s operating context to establish a reference group within Scottish Government to create a reference group with the CEOs of the public agencies were premature and that these actions should be reconsidered once the cabinet paper is finalised and the asks of the agencies are clearer.
It was noted that a meeting had recently taken place with the agencies and VisitScotland to discuss the roles and responsibilities of the agencies in supporting recovery. The same discussion will take place next week with Skills Development Scotland and Scottish Development International.
B. Tourism task force recommendations and cabinet paper
Bettina Sizeland expressed her thanks to all STERG members for their input into the cabinet paper. All changes have now been incorporated and a revised version, which now includes the financial asks, is currently with cabinet secretary Fergus Ewing. The revised version will be circulated to STERG following feedback from Mr Ewing.
It was noted that nothing further was required from STERG at this point, however, there may be a need to respond at pace to any asks from cabinet ministers once they have reviewed the paper.
Clarification was requested on the process and timing for decisions being made on additional business support for the sector. It was noted that there are two processes running in parallel. The first is the business support submission, this is being progressed separately and is part of a broader submission which is directly related to the consequentials. This will not have to wait to the 1 December when cabinet will review the task force recommendations.
The second is the cabinet paper itself, this will reflect the asks outlined in the business support submission but will not be reviewed until 1 December. It is not clear which of these processes will land first. Consideration is being given to grants for those businesses who have not received the same level of support as others, top ups for those businesses who have support but continue to be impacted or restricted and there are also businesses who will require longer term investment.
C. STERG communication and engagement
To improve STERG communications and engagement, activity is being planned to share the work that STERG has been doing with a wider audience. To support this activity STERG are asked to provide information about the initiatives being undertaken by each organisation.
Action: STERG to send Barbara Clark a summary of what each organisation has delivered through STERG to support businesses and organisations in the last six months, what’s happening now and what is planned to be delivered in the future. Contributions to be received by Friday 20 November.
B. Roadmap to Scotland outlook 2030
A proposal outlining the process, timescales and resources required to transition back to a long term strategic plan, focused on the ambition of Scotland outlook 2030, was considered by STERG. The proposal also included a recommendation to consolidate the three sets of industry Scenario Planning work into one set, which would then be used as a tool to challenge the Scotland outlook 2030 strategy.
It was noted that separate discussions had taken place recently to gain commitment to developing a recovery plan, based on the task force recommendations. It was highlighted that this recovery plan is to be developed at pace for presenting to the Scottish cabinet by December 2020 / January 2021.
Given the urgency of the recovery plan and the high levels of uncertainty that we continue to operate in, it was agreed that this was not the right time to look at a longer term plan. Simplicity, clarity and focus is what is required and it was agreed therefore that there should be one plan only.
It was highlighted that the demand to consolidate the scenario plans was unclear and therefore should not be progressed at this time. It was noted for information that there are some very good commercial scenario plans available.
In summary it was agreed that the long term roadmap to Scotland outlook 2030 would be put on hold and all efforts focused on the recovery plan which will be driven by the task force recommendations. It was noted that the recovery plan will be aligned to the outcomes in Scotland outlook 2030 and therefore should be the start of the roadmap back to the long term strategy vision. This position can be reviewed again once the recovery plan has been completed.
C. Business Gateway / Convention of Scottish Local Authorities
The focus remains on delivering the most recent grants on behalf of the Scottish Government. It was noted that better clarity is required up front on eligibility criteria as this continues to cause issues.
It was noted that it would be helpful if grant schemes were launched by the first minister once the detail of the schemes had been agreed and not before as local authorities do not currently have the capacity to respond to enquiries about new grants where the detail is not available.
D. Skills Development Scotland
Skills Development Scotland are continuing to promote the national transition training fund for individuals who have been made redundant.
The flexible workforce development fund has been expanded in terms of what businesses can apply for. The big change is that small or medium-sized enterprises can now access the fund when previously it was only for employers who were paying the apprenticeship levy.
As part of the hotel support programme skills development Scotland are preparing a skills masterclass promoting the support that is available for skills development. Timing for the delivery of this will be discussed with the enterprise agencies.
Information about what Skills Development Scotland is doing to support the national mission for jobs was forwarded to the Scottish Government team for reference.
E. Enterprise agencies
Highlands & Islands Enterprise's digital enablement grant update at 12 November. £277,000 awarded to 19 tourism applicants (out of a total of 106 applicants circa 18%). Further funding has still to be issued.
The hotel support programme is progressing. South of Scotland Enterprise has issued contracts to most applicants and Scottish Enterprise are expected to start issuing contracts this week. Discussions will take place within the next couple of weeks to look at the requirements of businesses for the wider support package.
F. Scottish Tourism Alliance
On 17 November, Marc was a panellist on the kickstart webinar hosted by Harri from Springboard and UK Hospitality. Over 100 businesses from across the UK took part.
Concern has been raised by some hoteliers about the time it’s taking for the hotel support programme to release funds. There was an expectation that this would happen quite quickly, but this doesn’t seem to be happening.
Continuing to hear that hotels are taking the decision to close their doors until a later period because of the implications of travel, uncertainty of customer confidence to book and not being able to commit to delivering the experience customers expect. This then presents the challenge of knowing what’s open and what’s not open. This also leads to a significant impact on the supply chain on whom we will need to rely on in the future to get back up and running again.
It was noted that the STERG business survey will pick up what is open and what is closed. It was also noted that VisitScotland iCentre staff will be picking this up too. A recent piece of work with the South of Scotland Destination Alliance has provided a comprehensive list of businesses that are open and closed in the Borders and Dumfries & Galloway and this will replicated in other parts of the country.
On 18 November, Marc joined the Peach 2020 conference, (renowned for insight into hospitality and food & drink sector globally). The conference showcased incredible innovation being delivered by hospitality businesses south of the border and demonstrated how businesses are adapting to the future Coronavirus (COVID-19) environment. It was noted that this best practice should be shared where possible.
One of the key challenges highlighted for businesses as they emerge from lockdown in England / level 4 restrictions in Scotland will be the ability of businesses to get their teams back up and running for the period prior to Christmas. It was noted that VisitScotland will be running activity around innovation in the industry either pre-Christmas or in the new year and would welcome any great examples which could be shared.
Scottish Tourism Alliance will convene an EU exit round table discussion on 2 December with the Scottish Tourism Alliance Board and council and Scottish Government officials. Cabinet secretary Fergus Ewing will join the call for the last 30 minutes to provide an update on the cabinet meeting which is to be held on 1 December.
Scottish Tourism Alliance will provide an update on the task force recommendations at the next cross party groups meeting on 1 December.
G. VisitScotland
The STERG business survey will be launched today. STERG are asked to share across all platforms. The survey will also be shared through the economy communications group.
The scenario planning toolkit will be launched on Wednesday 25 November.
#STERG to be used on Twitter
Today VisitScotland joins the tourism declares Initiative. VisitScotland will the first national tourism organisation to join the tourism declares initiative setting out its commitment to responsible tourism and addressing climate change.
H. Scottish Government
Scottish Government team to come back to STERG for further discussion on the UK summit.
Scottish Government team are considering different funding streams including the low carbon fund. A revised tourism proposal will be submitted to this fund for capital investment in the coming weeks.
It was noted that currently there is no fixed timescale for announcing further industry support.
An updated Cabinet paper will be issued to STERG tomorrow.
D. Redundancy update
No further updates were noted.
Action: Redundancy updates from all partners are to be forwarded to Karen Christie prior to the next meeting. Confidentiality of this information is assured.
E. Next meeting date
The next meeting will convene on Thursday 26 November, 11am - 12pm.
11.2 - Thursday 12 November 2020
A. The role & remit of STERG for the next six months
A revised draft of the role and remit of STERG was circulated in advance of the meeting. It was noted that STERG’s responsibility for delivering the task force recommendations was now reflected in that remit. The revised version was agreed by all. The final version will be hosted on visitscotland.org.
Further work is required on the diagram which illustrates the operating context of STERG. The following comments were noted:
Scottish Government officials on STERG will continue to be from the tourism team only
To progress the task force recommendations engagement is required with Scottish Government officials and ministers with portfolios beyond tourism and events, for example, economic development (who have offered a reference group for STERG to work with), skills, local government, health, transport, fair work and climate change. Currently there is no mechanism in place to bring these portfolios together, it was noted that this would need to be created.
Action: The Scottish Government team will look to establish a reference group in Scottish Government that STERG could engage with.
Currently there is no forum for the CEOs of the public agencies involved in STERF to come together to discuss tourism and its priorities. To progress the task force recommendations, it would be beneficial for STERG to be able to engage with a group like that. It was agreed that this would be proposed in the task force paper that will go to cabinet.
Action: the Scottish Government team will put forward a recommendation in the cabinet paper to create a group with the CEOs of the public agencies for STERG to engage with, (it was noted that this group should also include Transport Scotland).
Barbara Clark (VisitScotland) is part of the economic comms group which also has representatives from Scottish Government, Highlands & Islands Enterprise, Scottish Enterprise, South of Scotland Enterprise etc. Good relationships are being built here and a good understanding of tourism has developed.
B. Tourism task force recommendations
The lead organisation for each outcome identified in the task force report, was reviewed and further discussion took place on assigning the lead for outcome 4. The following is agreed:
- Outcome 1 – skills development Scotland lead
- Outcome 2 – VisitScotland lead on demand and sustainability / Business Gateway lead on digital
- Outcome 3 – Scottish Enterprise lead
- Outcome 4 – Scottish Government tourism team
It was agreed that outcome 4 should sit initially with the Scottish Government tourism team. In preparing the task force paper for cabinet, many of the recommendations in outcome 4 have already been discussed and responses are being drafted in collaboration with colleagues in other departments across government.
It was noted that the cabinet paper is work in progress and that further detail was required from STERG members. A draft of the cabinet paper will be circulated to STERG imminently for input.
Action: STERG to provide additional detail as appropriate to be included in the cabinet paper. STERG are asked to respond directly to Bettina Sizeland by Tuesday 17November – earlier if possible.
It was noted that a common template for each of the leads to complete would be helpful. This need will be re-assessed once STERG have had sight of the cabinet paper as this may already contain an appropriate format.
It was noted that it will be important to commission the public agencies to do a formal delivery plan and this will be part of the request that goes into cabinet.
It was advised that the Scottish Government’s budget will be published on 28 January 2021. It was noted therefore that any indication of what recommendations will or won’t be supported would be helpful to have as soon as possible.
It was noted that given the extreme fiscal constraints of the Scottish Government the funding required to deliver the task force recommendations will come from existing and new consequentials. It was noted that over the next couple of weeks it will become clear what can and can’t be covered by the Scottish Government and what we would need to press the UK Government for.
Following the four-way ministerial call that was held last week, Scottish Government officials have been working this week with UK Government officials on the proposed summit. The summit will not only cover the support and investment that is needed for the sector (which will require treasury to be at the table), but also the clinical aspects and the refinement of restrictions.
The target date for this event will be December and it is hoped that the outcome will an agreed set of actions which all four nations support. It was noted on the tourism industry council call earlier in the week that a four nations aligned approach would be appreciated. It was also noted that treasury have been in contact with the Scottish Tourism Alliance to set up an initial introductory call. This will take place next week with a public affairs representative.
C. STERG communication and engagement
Two activities are underway to improve STERG communications and engagement:
- A new, simple branding design is to be considered for the group
- A summary of activity completed STERG is to be collated and communicated
There are a number of initiatives that VisitScotland is currently leading on which will be ready to share in the coming weeks: the Scenario toolkit, the visitor management activity and the new business survey.
VisitScotland website statistics show 60,000 visits to STERG pages and 14,000 to the STERG action plan.
Partner communication channels will be audited to see how VisitScotland can help provide information for them.
Links with the economy communications group are to be strengthened.
D. STERG action plan
It was agreed that once the actions have been identified from the task force recommendations they will be integrated into the STERG action plan.
E. Roadmap to Scotland outlook 2030
A detailed proposal is currently being developed and will be presented to STERG for final sign off.
F. Enterprise agencies
The Hotel Support Programme is progressing and due diligence is continuing.
Highlands & Islands Enterprise are now receiving proposals for destination marketing organisation support funding. It was noted that this is not an open call for applications and normal funding conditions will apply. Highlands & Islands Enterprise is currently working with partners in the region on visitor management activities in preparation for next season.
- A recent survey carried out by the South of Scotland Destination Alliance has highlighted the incredibly challenging position of businesses in the south who are sandwiched between the tight restrictions of level 3 local authority areas in the central belt and the north of England which is currently in lockdown. It is expected that there will be further hotel closures. It was noted that the extension of furlough has lead to some hotels in the south closing over the winter and reopening in spring.
G. Business Gateway / Convention of Scottish Local Authorities
Work continues on delivering the most recent grants on behalf of the Scottish Government. It was noted that the eligibility criteria is causing a significant number of issues however local authorities are doing what they can to get the funds to businesses as soon as possible.
Additional resource for digital boost in the current financial year is still to be confirmed. STERG discussed whether a general digital boost programme meets the needs of the tourism sector or whether a different dedicated tourism programme was needed. All agreed that there should be one mainstream digital boost programme, however there are ways in which this could be tailored to meet the needs of tourism and work is ongoing on this between Business Gateway and VisitScotland.
Convention of Scottish Local Authorities requested that the timeframe for the allocation of the consequentials needs to be shared as soon as possible. It was noted that the Scottish Government is working on proposals for business support packages and the economic modelling to support these proposals is also underway. Packages being considered include business support top ups and support for businesses who have received no support or very limited support so far – further work is still to be done on this. It was highlighted by Scottish Government that there is also a need to consider longer term investment over and above short term business support, this work is also ongoing. Scottish Government advised that there was no confirmed date for agreeing this.
H. Skills Development Scotland
The working group who developed the emerging talent retention and training programme proposal, recently met to review the proposal in light of the fact that furlough has been extended and will be redrafting the proposal to reflect two issues:
- The £2.5 million which is potentially available is part of the national transition training fund, this is focused on those who have been made redundant or are facing redundancy and this needs to be highlighted in the proposal
- Staff who are on furlough, if they are directed by their employer to undertake training then they need to be remunerated for that. This needs to be looked at – should it be a voluntary training scheme? It was highlighted that the Scottish Government team would need the revised proposal as soon as possible, in particular the revised costings to be able to feed into the cabinet paper.
Action: Lawrence Durden to feedback any known changes to the Scottish Government team by the beginning of next week.
The flexible workforce development fund – for employers who are paying the apprenticeship levy, they can access funding up to £15,000 for training, this fund has been increased and will be opened up to small and medium-sized enterprises, non levy paying employers. The understanding is that small and medium-sized enterprises should be able to access funding up to £5,000 per business
Scottish Government asked about progress on the national mission for jobs and what was being done here.
Action: Lawrence Durden to discuss with colleagues at Skills Development Scotland and respond to Scottish Government
I. Scottish Tourism Alliance
Marc Crothall and Stephen Leckie had a private call with the first minister on 11 November. During the call the first minister referenced the fact that grants were being considered and recognised that the sector needed more support from the consequentials.
Regarding the emerging talent proposal, it was noted that businesses need to know as soon as possible what and when decisions will be made on this. Businesses are having to make decisions at pace, particularly around people, to manage cost.
Furlough implications have had an additional impact on business. Furlough is not being seen as a benefit to business, it’s seen as a cost.
It was highlighted that a number of hotels are now closing. Gleneagles will be closed until February, the Hilton on William Street in Glasgow is also closing, all IHG properties are closing and many other hotels. The outbreak in Arran is seeing a voluntary level 4 closure for businesses on the island.
It was noted that businesses on the hotel support programme would welcome a letter providing reassurance that funds will be forthcoming, this would allow for decisions to be taken and commitments made and allow businesses to plan for the future.
The first Scottish agritourism conference is in progress with 150 people attending.
J. VisitScotland
The Visitor Management strategic framework has been signed off and the individual workstreams are populating their parts. It is expected that a report will be presented to the cabinet secretary in December.
The business survey will be issued next week (19 November). STERG members are encouraged to promote the survey through their own channels to encourage responses from a broad range of businesses within the sector, in particular hotels.
Work will be undertaken by VisitScotland to identify the businesses that will or will not be open to ensure that up to date information is available for visitors who are able to travel.
K. Redundancy update
No further updates were noted.
Action: Redundancy updates from all partners are to be forwarded to Karen Christie prior to the next meeting. Confidentiality of this information is assured.
L. Any other business
No any other business was noted.
M. Next meeting date
Tthe next meeting will convene on Thursday 19 November, 11am - 12pm.
11.1 - Thursday 5 November 2020
A. Scottish Government Framework
STERG members discussed the current issues and concerns around the Scottish Government framework. The following points were raised:
The impact of travel restrictions is one of the biggest concerns. Despite restrictions being relaxed for businesses in level 1 and level 2, these businesses, in many cases rely on a customer base from level 3 areas (or other areas of the UK) and therefore are not seeing sufficient footfall to make their businesses viable. It was noted that some businesses in level 1 and level 2 have announced that for the first time they will be closing for the winter as it is not sustainable to keep the doors open. It was also noted that this is impacting not only hospitality but activity providers and visitor attractions. The travel restrictions are also having an impact on level 3 businesses where footfall is again severely limited. It was acknowledged that the first ministers recent clarity on travel restrictions has been helpful for consumers and businesses.
The timely flow of grant support to businesses is a concern.
It was noted that an extraordinary meeting of the Tourism Industry Council was held on Tuesday 3 November with Nigel Huddleston to discuss the national lockdown in England. Mr Huddleston accepted harsh criticism from industry on the lockdown measures and a letter that had been sent to the chancellor from a number of hospitality trade bodies was discussed. The letter proposes a six month package of meaningful support for hospitality businesses, breweries and supply chain.
It was highlighted that going forward, as we move between levels, the guidance on what businesses can and cannot do must be clear and issued in a timely way.
The Scottish Government team is continuing to engage with industry to define the detail of the guidance for tourism and hospitality. It was noted that further recommendations are expected from Industry about potential changes that could be made to meet the needs of business. It was highlighted however that government is still being guided by the medical professionals and therefore there are limits to what can be achieved.
It was noted that consumer confidence should not be underestimated, not just about whether they will or won’t catch the virus but also the ongoing uncertainty about what you can and can’t do.
B. The role and remit of STERG for the next six months
A recent survey issued to STERG members and a limited number of sector and destination organisations, captured feedback on the work of STERG over the last seven months. Findings from the surveys, as well as the original remit of STERG, were considered when discussing STERG’s future role.
Discussions considered a number of different questions, should STERG continue as a response group or should it become a recovery group? Should STERG continue its coordination and communication role or should it now all be about delivery?
The following points were noted during discussions:
- Coordination and communication has been a core role for STERG and there is a need for this to continue
- Many of the STERG partners highlighted that they are still in response mode and therefore there is still a need to continue with this role
- It was recognised that STERG also needs to look forward and there is an expectation in the Task Force report that STERG will deliver the task force recommendations. Delivery therefore must be considered a part of STERG’s role
- It was acknowledged that the work currently being done to support industry survival and recovery is vitally important however it is also important not to lose sight of the future. There is a need for an ‘entity’ to be taking the long term view also
- The current dynamic of STERG is working well, frequent meetings and the size of the group allows it to be fleet of foot and this is seen as a key strength
- It was highlighted that there are different levels of seniority within STERG and therefore it was important for senior leaders from partner organisations to be aware of STERG activity and the potential expectations placed on their organisations
An update was provided on the current status of the task force report.
A call with UK Ministers will take place 5 November. The task force report and recommendations have been circulated to them and a request has been made for a joint political and industry discussion with the treasury.
The cabinet paper will be presented on 1 December. This is to allow for financial modelling work to be completed and submitted alongside the cabinet paper. This timing meets the timeline for the spending review.
In terms of delivery the current STERG members are the right organisations, however, it is recognised that engagement with senior leaders is vital.
Going forward the focus needs to be on delivering the task force recommendations to get us back on track to delivering the 2030 strategy.
Overall it was agreed that STERG still had a role to play in continuing to respond to the immediate impacts of the pandemic and therefore those elements of the current remit should still stand.
It was also noted that it was important for the coordination and communication role to continue, although it was recognised that improvements could be made here.
Finally, it was agreed that the role of STERG did need to evolve to also focus on the delivery of the Task Force recovery recommendations.
Action: STERG remit to be refreshed to reflect the agreed evolution of the group. Updated version to be signed off by STERG on 12 November.
Action: STERG to review how it can improve engagement levels with more senior leaders in partner organisations, the task force representatives and the broader industry in general.
C. Tourism task force recommendation
STERG discussed the outcomes and recommendations outlined in the task force report and agreed that a lead organisation from STERG should be assigned to each outcome. The lead organisation, in collaboration with other STERG partners, will scope out the recommendations into actions.
Each lead should review the recommendations under each of the outcomes and clarify:
- Is it already being addressed in the STERG action plan?
- Do any of the STERG partners have activity going on in this space?
- If it’s not being addressed in the STERG Plan, or by a STERG partner then there is a need to identify what should the action be, who should lead on it and what other partners / organisations should be involved and what the approximate cost would be
It was highlighted that the enterprise agencies typically take a cross sectoral approach rather than a sector specific approach and therefore it may be challenging to have a specific focus on tourism. However, although support may be generic, it is often tourism businesses who are benefiting from this support it’s just that this is not immediately obvious. There is possibly a lot of cross sectoral activity underway which would support the recommendations from the task force.
It was highlighted that a meeting was required between the Scottish Government and senior leaders of the enterprise agencies to ensure that the expectation of the role of the agencies in supporting the delivery of the task force recommendations is clear. It was noted that progress in this area was underway.
It was noted that the recommendations targeted at the UK Government will be the responsibility of the Scottish Government tourism team and the Scottish Tourism Alliance with its lobbying role on behalf of industry.
Outcome 1: We will attract, develop and retain a skilled, committed, diverse and valued workforce.
Assigned lead, Skills Development Scotland
A lot of work is already in progress within Skills Development Scotland which will help to address this outcome – this needs to be identified.
The proposal for a Scottish tourism emerging talent employee retention and training programme, which was submitted by a task force working group, is still being considered by the Scottish Government. Funding has been identified for the training element of the programme however no progress has been made on identifying funding for the wage subsidy element.
The task force working group will reconvene on 9 November to review and develop the proposal particularly around access to funding.
It was noted that a lot of the work Skills Development Scotland undertakes is cross-sector and therefore the particular challenge within Skills Development Scotland will be ensuring a focus on tourism and addressing the areas that the task force report highlights.
It was agreed that a direct instruction from the Scottish Government to Skills Development Scotland detailing the need to support the tourism sector would be helpful. This would ensure that budgets are repurposed for the sectors that need it most, for example tourism.
Action: Scottish Government to set up a meeting with Skills Development Scotland to discuss the repurposing of budgets.
It was highlighted that the task force report outlines asks for industry as well as the Scottish and UK governments. For this particular outcome it was noted that the adoption of fair work principles was key. It was acknowledged that this is also at the heart of Scotland outlook 2030 and this is what the sector is working towards.
Outcome 2: We Will create and develop a sustainable destination together.
Boosts demand for tourism sectors: assigned lead, VisitScotland
Many of the recommendations outlined here are already underway with VisitScotland
Boosts investment in the tourism sectors for growth and environmental sustainability: assigned lead, Business Gateway.
Business Gateway will work in partnership with VisitScotland on the recommendations which relate to digital solutions to support tourism.
VisitScotland will liaise with the Scottish Government tourism team and contacts at Scottish Enterprise and Highlands & Islands Enterprise on reducing carbon emissions.
It was noted that there is no commitment to any kind of coordinating mechanism for developing sustainable destinations, for example a destination managment organisation, this seems like an obvious gap, there should be something included.
Outcome 3: We will provide the very best, authentic and memorable experiences.
Assigned lead, Scottish Enterprise
Scottish Enterprise is current lead for the destination leaders programme, however, it was noted that funding for this programme is due to come to an end.
Regarding support for innovation, it was noted that Scottish Enterprise have moved away from sector specific support.
Outcome 4: We will build business resilience, sustainability and profitability.
Due to the diversity of recommendations under outcome 4, it was agreed that further consideration should be given to who would be best placed to lead in these areas.
It was noted that some of the recommendations would sit with the Scottish Government for example non-domestic rates work, tax work. It was highlighted that some of the recommendations such as the re-evaluation of rates or non-domestic rates holiday will have a significant implication for local authorities and therefore local authorities will need to play a key role in these discussions.
In terms of enforcement it was suggested that it would be good to have a view from local authority / industry perspective and therefore a Local Authority representative would be better to lead. The only issue to flag here however is that there will be Brexit implications to deal with and therefore there could be resource issues.
Clarity was required on who would be the right contact to help further develop what a reasonable working capital package might look like. In particular, additional insight from the economic development teams at local authorities or finance colleagues.
It was noted that grants issued through local authorities were in effect working capital. Based on lessons learned it is important to recognise two points, firstly that grants get to the right business, i.e. the business that needs it and secondly that the eligibility criteria is kept simple to avoid mass confusion.
It was recommended that a longer time is spent planning what it is that is trying to be achieved, it was also recommended that more resources are made available to assist this and finally it was noted that support packages should not be announced until the support is actually available.
D. Investment prospectus
The task force recommendations and the subsequent delivery plan will support survival and recovery and includes asks for financial support from the Scottish and UK governments, however, in addition, the sector needs to move to a more sustainable footing in terms of long-term financing and investment.
The current approach to the development of inward investment could be seen as piecemeal and consideration should be given to a better more coherent investment strategy and a first step towards this would be putting together what the investable offer is.
Typically, it has been the enterprise agencies who have developed investment prospectuses. Historically Scottish Enterprise and Scottish Development International have developed an investment prospectus for each of the key sectors, this is no longer the approach being taken. The approach now being considered is a regional investment prospectus which brings together all of the partners from a place perspective, across all sectors and showcases the investment opportunities for that place.
Following the meeting a recent presentation on Scotland’s new Inward Investment strategy was shared with the group. It is noted that tourism is not one on the nine areas of opportunity identified for inward investment.
It was noted that in terms of sector recovery and survival there is a gap between what industry is asking for and what is affordable by the public sector and therefore there is a need to bring in other investors to help us achieve what we need to do.
E. Transition to a low carbon economy (see outcome 2)
There is a need to understand what the requirement is in this area.
It was highlighted that there is potential budget available from the low carbon fund to support low carbon initiatives in the tourism area.
It was noted that there is specific resource within the Scottish Government tourism team with expertise in this area. It was also noted that there is resource within Scottish Enterprise looking at how tourism can contribute to this agenda.
It was noted that VisitScotland is doing a lot of work in this space and therefore would take a coordinating role here with the Scottish Government team, Scottish Enterprise and Highlands & Islands Enterprise input.
F. Asks of cabinet
“Commission further work by the Enterprise agencies and VisitScotland to develop the priorities as a five year recovery programme for Scottish Government spending review consideration dependent on availability of additional funding from UK grants.”
It was recommended that this is progressed and that ideally a draft should be presented to cabinet alongside the cabinet paper on 1 December.
It was noted that the leads identified for each of the outcomes will first need to scope out the actions, including a lead organisation and an estimated cost for delivery. Following that all STERG partners around the table will work together to pull together a delivery plan outlining how the agencies and VisitScotland will support the sector.
G. STERG action plan
It was recognised that the STERG action plan contains a significant level of detail about the activities that are in progress across all of the STERG partners and that it was important for this detail not to be lost.
It was noted that a working group meets regularly to ensure the plan is kept up to date and as new information is received, new actions are added.
It was highlighted that the current plan already contains actions which respond to the task force recommendations and therefore there is a logic to tying both of these documents together. This could be done by relating the actions in the STERG plan back to the outcomes identified in the task force report.
Action: Karen Christie to integrate the STERG action plan with the task force Recommendations, this will ensure we don’t lose sight of what we’ve got but it also identifies the gaps that need to be filled in terms of funding, allocating responsibility etc.
It was noted that the value of the current plan is not clear, nor is the readership. Feedback from the STERG surveys suggests that it is difficult to navigate and difficult to pick out what is relevant to the reader. This is a communication challenge and should be addressed.
The question was raised as to whether STERG should now solely focus on the delivery of the task force recommendations which would negate the need to capture other activities that are taking place?
H. STERG communication
Feedback from the recent STERG surveys which were issued to STERG members and a number of sector and destination organisations, highlighted that the communication of STERG’s role and the activities that STERG is involved with could be improved.
With regard to communicating the role of STERG in delivering the task force recommendations it was noted that STERG, as a priority, needs to agree a number of key messages - the role of STERG moving forward, what it is STERG going to deliver, what is the funding that will be available and what is the timing. It was noted that this information may not become available until after Cabinet has discussed the recommendations on 1 December.
It was noted that there are many tactics that can be employed across various different platforms to raise the profile of STERG and bring STERG to life, video content, webinars etc. however getting the key messages right first were the most important.
It was agreed that interim communications should be considered to highlight some of the work that STERG is already undertaking in response to the task force recommendations or in response to other challenges which have been faced by industry. This should provide reassurance that STERG is continuing to progress key actions.
Action: VisitScotland to look at an interim communications plan.
I. STERG engagement
It was agreed that the current make-up of STERG would not change in the short term. However, it was acknowledged that STERG does need to look at how it can better engage with senior representatives in all partner organisations as well as with a broader section of the industry, in particular sector groups and destination management organisations.
It was recognised that it was important to have closer engagement with key industry stakeholders in this next phase and that the Scottish Tourism Alliance was well placed to facilitate this.
Scottish Tourism Alliance member forums were noted as a good, existing platform that could be used by STERG to bring organisations together to seek views and opinions on recovery / action plans. There a three forums, hospitality member forum, destination member forum and tourism sector member forum. Forums have the flexibility to be convened when needed.
It was also acknowledged that although the task force was a short life group, specifically established to provide recommendations on the essential actions to support tourism and hospitality recovery, there should be a mechanism to keep the task force engaged with the progress being made on the recommendations and to look at how willing task force members could play an active part in the process.
J. A Roadmap to Scotland outlook 2030
A proposal outlining the process and timescales for segueing back to Scotland outlook 2030 was circulated to STERG members in advance of the meeting. All STERG members agreed with the approach outlined and agreed that the proposal should now be scoped in further detail to understand resource commitment.
Action: Karen Christie to scope a detailed proposal for STERG approval.
It was noted that there is no longer an active tourism leadership group and it was proposed that a new governance structure should be considered over the next six months. It was highlighted that when the time is right this new structure could be the group that would take ownership of the longer term recovery plan and the transition back to Scotland outlook 2030.
K. Any other business
A new Coronavirus (COVID-19) industry impact survey is to be launched by VisitScotland during November. This survey, which follows on from the two industry impact surveys that were conducted in March, will be targeted at all businesses across the sector.
A draft of the questionnaire was circulated to STERG members for comment.
Action: STERG members to feedback comments to Karen Christie by Friday 6 November.
L. Next meeting date
The next meeting will convene on Thursday 12 November, 11am - 12pm.
10. October 2020
10.5 - Thursday 29 October 2020
A. Scottish Government framework
STERG members shared recently gathered feedback on the government’s new framework. The following comments were noted:
Following the strategic framework announcement by the first minister on Friday 23 October, the Scottish tourism Alliance and trade body representatives from the hospitality sector met with director-general economy Liz Ditchburn and other government officials late Friday afternoon to provide feedback on the framework.
Major concerns raised are as follows:
Tier 3 restrictions. Even although pubs are now allowed to open their doors, without selling alcohol, the viability of doing so is questionable, many may not have a food offering and there is still the issue of background music and ambience. The impact of not being able to sell alcohol is still disappointing particularly for hotels.
In tier 2 the additional trading hours are not going to be a game changer for many.
The impact of travel restrictions, for example, any potential benefits gained in tier 2 will potentially be eroded if the custom base (which could predominantly be coming from tier 3) cannot travel, so the dependency will be on a local customer base.
The level of grant support available to those businesses who are not forced to close as they won’t qualify for the full grant that is available. There is also concern about the impact of the job support scheme. At the last meeting with government officials, Liz Ditchburn committed to going back to the economists to have a look at what level of grant support could be made available.
Concern about how the banks may view the current situation of Scottish hospitality business. In addition, it has been noted that energy providers to the hospitality sector are reconsidering their contracts.
Visitor attractions will be allowed to operate on tier 3
The rule of six for self-catering remains a concern
Non-domestic rates business operators who fall outside of the current grant scheme which has been presented are extremely worried as are those businesses who have never been allowed to open in the first place.
Increasing negative impact on people’s mental health and well being
Although the engagement with Liz Ditchburn has been welcomed it was noted that it could have been more timely.
There is an understanding that the recommendations from the hospitality trade bodies will be taken forward and considered over the coming weeks.
Understanding the measures that will be used to inform movement between tiers and how long you could stay within a tier will be very important
It was noted that Willie Rennie MSP, Claire Baker MSP and Oliver Mundell MSP attended tow Scottish tourism alliance forums at the beginning of the week and they are all very aware of the challenges that the industry face and the significant concerns around grant support.
Comments expressed today at the VisitScotland meeting succinctly summed up the mood of industry right now, “… there has been a dramatic loss of confidence in government… the mood has changed dramatically… huge negativity and concern about a significant number of businesses not lasting through until next year and therefore the ability of the industry to deliver anything should it be opened up…”
Clarity is urgently needed on travel between tiers – will it be prohibited to travel from a tier 4 to a tier 3 or from a tier 3 to a tier 2 to stay in accommodation or to visit? In order to communicate a clear message this is the level of detail required.
It was noted that Mr Ewing is aware of this issue and appreciates the potential impact of travel restrictions. Announcements this afternoon from the FM should make this clearer.
It was also highlighted that the views of communities also need to be taken into account, some communities may not want visitors from an area that’s in a higher tier, there is the potential therefore for anti-tourism sentiment rising. In addition, from a business’s perspective can they take bookings from areas in a higher tier than them regardless of where they are in the UK? Overall what will be the grant support available to reflect the implications of these restrictions?
The importance of local authorities having the right resourcing levels to be able to manage and deliver grant payments will be critical.
B. Tourism task force report
The tourism task force report was published on Friday 23 October and was widely distributed across industry and stakeholders. The website stats showing the following engagement to date:
- Page views - 1,987
- Unique page views - 1,817
- Time spent on page - 03:12
The report was discussed at the Scottish tourism alliance forums with the MSPs who attended and overall they thought it was very thorough and provided a good, positive framework.
Disappointment has been expressed that the report does not explicitly refer to the outdoor sector. It was noted that the published document is a summary version of the full report. The full report will be submitted to the Scottish cabinet at the beginning of November. This report is a segue back to Scotland outlook 2030 where outdoor and rural are highlighted as very important.
The Scottish tourism Alliance has written to the first minister requesting a meeting to discuss the priority recommendations in the report, (in addition to other topics such as short term lets).
Fergus Ewing is meeting with the other tourism ministers on Thursday 5 November and the task force report will feature on the agenda – a copy of the report has been sent to all ministers.
Further communications will be undertaken this week to raise the profile of the task force document even more.
C. Taking stock
A short survey was issued to STERG members and a limited number of sector and destination organisations to capture feedback on the work of STERG over the last seven months. The lessons learned from this exercise will help shape the work of STERG over the coming months.
From the responses received so far, there are some key points to note:
Role and remit of STERG should be reviewed in light of the changes that have taken place since STERG first reconvened in March.
A coordinated and collaborative approach across public agencies, Scottish government and industry has developed closer relationships. Improved communication and engagement with a broader representation of the tourism and hospitality sector will improve outcomes.
Deliver on the task force recommendations.
D. STERG planning session
An agenda for the planning session next week will be circulated shortly for input by STERG members.
An initial area for discussion will be the role of STERG moving forward, this will be informed, in part, by the insight gained from the recent surveys.
In addition, STERG’s role in the delivery of the task force recommendations should be discussed and agreed. It was noted that the full task force report does not go to cabinet until the beginning of November. It was also noted that many of the task force recommendations will be dependent on the Scottish Governments budget and as yet we do not have clarity around a date for the Scottish budget.
It was agreed that the session next week should aim to identify where STERG’s area of focus should be.
It was highlighted for information that each of the public agencies represented on STERG all have their own strategic plans which informs how they will deliver on their own organisational ambitions, this could impact on what the agencies can or cannot do.
E. STERG action plan
The next update of the STERG action plan will be published on visitscotland.org in the week commencing on 2 November.
It was noted that the plan contains a huge amount of detail and that there is a need to consider how the key points within the plan can be effectively communicated without the need to read the whole document.
The STERG working group will meet this afternoon to scope further actions / interventions that could be taken to mitigate the impact of the implications identified from the STERG scenarios.
F. Scenarios toolkit
VisitScotland is continuing to progress the industry toolkit. This is expected to launch in November.
G. Enterprise agencie
The priority focus continues to be the hotel support programme. Due diligence is continuing with all eligible applicants. It is anticipated that formal offers and awards will take place in October and November 2020.
It was noted that South of Scotland Enterprise are being approached by a few hotels recently for crisis funding – this will be monitored.
H. Skills Development Scotland
National Training Transition Fund for individuals has gone live for the over 25’s. The youth guarantee and kick start programme are targeted at those under 25.
The tourism skills group met on Tuesday 27 October. Discussions focussed on:
The future skills landscape and what the future skills issues will be, for example workplace transformation, fair work, the impact of technology. Further work will be done to flesh out these thoughts into a useful document which can be fed in for consideration.
The emerging talent and training & retention programme, this proposal is currently sitting with the Scottish Government. It was suggested that the group who developed the proposal reconvene to look at the changes that have taken place since the proposal was presented and agree whether any amendments need to be made to reflect this.
I. Scottish Tourism Alliance
Work is continuing on the tier structure. Currently waiting on the detail of the travel restrictions so that the guidance and the Q&A can be updated.
The Scottish Tourism Alliance online annual general meeting will be held on 4 November. The second part of the agenda will focus on the recommendations outlined in the tourism task force report. A letter regarding short term lets has been sent to Kevin Stewart MSP, minister for local government, housing and planning which includes the additional signatories from some of the key business organisations. This now has support from areas out with the tourism sector.
The Scottish Tourism Alliance have requested a meeting with the first minister, some of the agenda points will include, short term lets and the emerging talent fund.
Concerns have been raised by industry around the hotel support programme, particularly around the timing, administration and getting the cash out to the businesses as this is now urgent.
J. Redundancy update
An update on sector redundancy information was circulated prior to the meeting. It was noted that south Of Scotland data is now included.
Action: Redundancy updates from all partners are to be forwarded to Karen Christie prior to the next meeting. Confidentiality of this information is assured.
K. Any other business
No any other business was noted.
L. Next meeting date
The next meeting will be an extended planning session on Thursday 5 November, 10am - 12pm.
10.4 - Thursday 22 October 2020
A. Government announcements – communication
It was stressed that any information relating to the new tiering structure due to be announced on Friday, must be provided as quickly as possible to VisitScotland so that it can be shared on visitscotland.org. allowing businesses to understand the implications and to help answer any questions that may arise. Industry consultation on the new tiering structure was discussed.
Significant concern was raised that there hasn’t yet been any meaningful dialogue with industry on the tiering structure.
It was noted that industry engagement is due to take place at the beginning of next week. Six economy ministers will be contacting key industry contacts to consult on the tiering structure from Monday 26 October.
Further concern was raised that this may be too late, at that stage it is difficult to see what degree of consultation will be possible. It is critical that there is an opportunity to discuss the detail and shape the conditions around the tiers and not just accept what has already been decided.
It was highlighted that James Johnston, who has been taking the lead on the tourism and hospitality guidance and who has fed into the tiering proposals, has had conversations with a number of representatives from the sector to discuss this and this has been part of the consultation process.
It was noted that the biggest issue to consider will be the additional grant support that will be available to compensate for the any additional restrictions in the future, it was highlighted that the current support packages are not sufficient and do not compensate businesses adequately. For industry clarity around grants will be fundamental.
B. Taking stock and the forward plan
To ensure that the work of STERG in the coming six months continues to support industry in the most effective way and continues to add value, it was agreed that some research would be carried out with both industry and STERG members.
The aim of the research is to review the previous seven months and capture any lessons learned. A survey has been issued to STERG members for completion by 26 October. The VisitScotland insight team are currently designing a similar survey for industry, for launch in November.
All learnings will help to shape STERG’s forward plan.
Action: The STERG meeting on 5 November will be extended to accommodate a planning session. The session will run 10am - 12pm.
C. Scottish tourism recovery task force report
The final task force report is complete and has now been submitted to cabinet ministers. A response to the report from Scottish Government is expected in November. It was noted that Scottish Government economists are looking at potential funding packages for cabinet to consider alongside the recommendations.
A public facing task force report has been produced and will be launched by the Scottish Tourism Alliance on Friday 23 October, accompanied by a press release from the Scottish Government.
It was agreed that Barbara Clark, VisitScotland will liaise with the communications teams from each of the partner organisations on the press release.
It was recognised that the recommendations set out in the task force publication address many of the key issues and frustrations that are being felt right now and therefore the importance of socialising the publication with stakeholders as soon as possible was critical. It was noted that the Scottish Tourism Alliance will be sharing the task force publication widely, including with opposition party MSPs and UK ministers. The publication will be discussed at the Scottish tourism alliance forums next week and at the Scottish tourism Alliance annual general meeting.
STERG will hold a planning session on Thursday 5 November to consider the recommendations of the task force and to look at how the priority actions can be integrated into the STERG action plan. The future integration with Scotland outlook 2030 will also be considered.
D. STERG action plan
STERG action plan continues to be updated to reflect the current activities being undertaken by all partners. Next update expected in the week commencing on 26 October.
The STERG working group are to meet in the week commencing on 26 October to further develop the action plan based on the implications identified from the STERG scenarios.
E. STERG scenarios – industry engagement
VisitScotland is progressing with the industry engagement plan for the STERG scenarios. Sector engagement sessions were scheduled in the week commencing on 19 October. An industry toolkit is expected by the end of October.
F. Business Gateway
Local Authorities are focused on administering the new Coronavirus (COVID-19) restrictions fund, (£48m, increased from £40m). Local authority websites opened for applications at 9am on 20 October and will close to applications at 5pm on 3 November. The fund includes a business closure fund and a business hardship fund.
It was highlighted that clarity around the eligibility criteria for the funds is critical to avoid confusion and delays. It was noted that local authorities are significantly under resourced however they will continue to prioritise the processing and delivery of these funds to businesses.
Discussions are ongoing about the criteria for the discretionary fund and a submission will be put forward to ministers imminently to help define this. The furlough top up scheme is also under discussion.
Business Gateway will be hosting a business survival webinar, preparing your business for future restriction, on Tuesday 27 October.
G. Enterprise agencies
The key priority focus for all agencies is the hotel support programme. Due diligence is continuing with all eligible applicants. It is anticipated that formal offers and awards should begin to take place in the week commencing on 26 October.
South of Scotland Enterprise and VisitScotland are currently undertaking work with hotels and venues where their primary product is weddings to understand the challenges that they have faced and the access to funding that they have had. Further information will be shared with STERG when it becomes available. It was noted that there is still confusion over the restrictions placed on private estates for weddings.
It has been highlighted to South of Scotland Enterprise that businesses are experiencing challenges with visitor behaviour, in particular visitors heading across the border to do their drinking and then coming back over the border to their accommodation.
The team at Scottish Enterprise have been working with Creative Scotland on the grassroots music venues stabilisation fund and the culture organisations and venues recovery fund.
H. Skills Development Scotland
Ongoing delivery of the partnership action for continuing employment.
A new service is about to be launched on my world of work for adults, this will provide careers guidance and skills development advice to people who are in work.
October information on the impact of Coronavirus (COVID-19) on the Scottish labour market has just been released.
Information on the national transition training fund for Scottish Government is now available. This is targeted at over 25’s who have been made redundant or who are under threat of redundancy.
Work is ongoing with the hospitality sector in particular to support apprentices who may be subject to redundancy and may not be able to find alternative work to complete their apprenticeship through creating a record of achievement which captures their learning and can be taken to other employers.
It was noted that under 25’s who are not on an apprenticeship programme, would be eligible for support through the kickstart scheme.
The employability fund is delivered through local authorities.
Support through developing the young workforce programmes
Support through skills development Scotland careers advisers and partnership action for continuing employment advisers and the range of my world of work services.
I. Scottish Tourism Alliance
The Scottish tourism alliance forums will be held on 26 and 27 October. On 26 October, Willie Rennie MSP, Claire Baker MSP and Oliver Mundell MSPs will be joining the forums and the cabinet secretary will be joining the forum on 27 October.
The Scottish tourism Alliance online annual general meeting will be held on 4 November
It was noted that there have been no announcements from the Scottish Government on restrictions around Halloween, it was questioned whether any announcements around this were to be expected. (Wales have prohibited Halloween or bonfire celebrations because of their new lockdown rules).
J. VisitScotland
Ensuring visibility of guidelines.
Supporting the communications for events industry support fund which is expected to be completed by first week in November.
K. Redundancy update
An update on sector redundancy information was circulated prior to the meeting. It was noted that South of Scotland data is now included.
Action: Redundancy updates from all partners are to be forwarded to Karen Christie prior to the next meeting. Confidentiality of this information is assured.
L. Any other business
No any other business was noted.
M. Next meeting date
The next meeting will convene on Thursday 29 October, 11am - 12pm.
10.3 - Thursday 15 October 2020
A. Government announcements / local lockdowns – communication
A brief update was provided on current Scottish Government thinking on Coronavirus (COVID-19) restrictions - Work is continuing to look at a tiered approach to the pandemic in Scotland and how that could possibly operate. It is unclear what this could finally look like, however it is anticipated that this approach could provide more clarity particularly on specific trigger points which would result in movement between different tiers. It was noted that there is an intention within the Scottish Government to align to UK thinking. - It is recognised that there are a lot of discussions ongoing about travel restrictions, especially cross-border travel restrictions however there is no clarity yet around next steps.
Further clarity on the £40 million support fund was provided.
Local authorities will be administering the funds, a Coronavirus (COVID-19) restrictions fund £10 million and a hardship fund £11 million. Final details are being confirmed however businesses will be able to apply on local authority websites from 9am on Tuesday 20 October and will close at 5pm on Tuesday 3 November. Further details can be found online.
B. Scottish tourism recovery task force
The final task force report is complete and will be submitted to the Scottish cabinet imminently. A response to the report from cabinet ministers will be sought.
A final draft of the streamlined, public facing document is now complete and awaits final approval from ministers and the task force. It is planned to launch the report by the end of in the week commencing on 19 October.
C. STERG action plan
The refreshed STERG action plan is live on visitscotland.org.
The STERG working group, along with key stakeholders are to consider the sector innovation challenge. Next steps are currently being scoped.
It was noted that the STERG meeting on Thursday 5 November will consider the recommendations of the task force and look to integrate the priority actions into the STERG plan.
D. Scenario planning
VisitScotland is progressing with the industry engagement plan for the STERG scenarios. Sector engagement sessions are expected in the week commencing on 19 October. An industry toolkit is expected by the end of October.
The implications identified from the STERG scenarios are helping to inform the development of the action plan. A final session with the STERG working group is to be scheduled.
Discussions are continuing with Scottish Enterprise to look at how the three sets of tourism scenarios can be brought together to help shape a pathway back to the ambition that was set out in Scotland outlook 2030.
E. The forward plan
It was noted that the ongoing uncertainty that is being faced by industry and the even greater uncertainty about what is coming next is extremely tough for all and requires plans for the next circa six months to be re-focused to ensure that we can be prepared for whatever might lie ahead.
The STERG action plan , the scenario planning work and the recent recommendations from the Scottish tourism recovery task force will be key to this and will be discussed in depth at the STERG session on 5 November, however there are other actions which STERG agreed to consider and discuss further:
- A review of the last seven months to identify lessons learned and build these into the forward plans.
- A review of summer 2020 to get a true understanding of how different sectors and geographies across Scotland have fared, what worked and what didn’t work?
- Are the necessary actions being taken now to address the issues and challenges that current intelligence has already identified?
F. Enterprise agencies
The hotel support programme continues to be the key focus. All agencies are now working through the detailed due diligence stage with eligible applicants. It is anticipated that formal offers and awards will take place in October 2020.
G. Business Gateway
Work is ongoing to quickly confirm the details of the new support funds. Local authority websites will be open to applications from 20 October. The digital boost programme secured additional resources this year from the Scottish Government.
These resources are focused on what are the new things that we could do with the programme to set it up for additional funding for next year to continue the programme. Part of the funding is a £700,000 capital grant support specifically for digital projects. All current and previous clients of the digital boost portfolio were contacted which has resulted in a significant number of expressions of interest being received, all expressions of interests are currently being assessed.
The process is being done at pace to ensure that success can be demonstrated quickly as there may be an opportunity to secure additional funding. It was noted that this fund is not about trying to keep businesses going, this is targeted at businesses who have an opportunity to do something in the digital space to help their business.
H. VisitScotland
The Visitor Management strategic group, created during the summer to address issues of wild / dirty camping and over tourism, is making good progress, all three subgroups are working well. A presentation date with the cabinet secretary in November is proposed. Communicating the progress of this group and the initiatives which communities and local authorities are working on together is recognised as important.
The rural tourism infrastructure fund will meet at the beginning of December to make their final decisions.
- £6 million events industry support fund
- 837 applications received
- All assessments are complete
- An appeals process is in place
- Fund expected to be completed by first week in November
I. Scottish Government tourism team
Focus is on anticipating and advance preparation for future Scottish Government announcements.
J. Scottish Tourism Alliance
The Scottish Tourism Alliance launched a survey on 8 October (closed 14 October) to capture the financial impact of the latest restrictions. The survey captured evidence in four key areas, total fixed costs if your business has to close for the 16 days, loss of room revenue due to cancellations, loss of revenue for food & beverage outlets and the impact on employment.
Headlines from the survey are:
A total of 350 businesses responded, 180 of which have had to fully or partially close aspects of their business
- 47% of businesses said having to close fully/partially between 10 - 25 October would incur fixed costs of up to £5,000 still having to be covered
- 5% said that despite zero income, more than £50,001 in fixed costs would still have to be covered
- 30% businesses who responded said they expected to lose up to £5,000 in revenue due to not being able to operate their food and drink outlets normally due to new restrictions
- 9% of businesses said they expected to lose more than £50,001+
- 38% of activity operators and visitor attractions who responded said they expected to lose up to £5,000 in total revenue due to new restrictions
Full report can be found on the Scottish tourism Alliance website.
The Scottish Tourism Alliance have submitted their response to the Scottish Governments short term lets consultation.
K. Redundancy Update
It was noted that the Scottish local authorities economic development tourism group will feed in appropriate insight to the redundancy tracker document.
Action: Redundancy updates from all partners are to be forwarded.
L. Any other business
It was highlighted that there was a need to ensure that any activities or events that may take place next year should be staggered so that there is a series of activities happening across the country at different times allowing for more places to benefit.
It was noted that VisitScotland are considering focusing on more event support towards community related events which would allow for more events to be supported on a broader geographical scale.
M. Next meeting date
The next meeting will convene on Thursday 22 October, 11am - 12pm.
10.2 - Thursday 8 October 2020
A. Government announcements and updated Scottish Government guidance
Updated government guidance and the detailed FAQs which will reflect the first minister’s statement on 7 October, is currently being finalised and will be published today (8 October).
It was noted that it was regrettable that the guidance and FAQs had not been available immediately after the first minister’s statement, however, the final details of the announcement were not known sufficiently in advance to allow for accurate, detailed documents to be produced as the content of the statement had continued to evolve to reflect the latest scientific evidence.
It was acknowledged that this delay had angered and frustrated industry as the lack of clarity had had an immediate impact on businesses. Many accommodation providers for example saw significant cancellations following the statement.
Moving forward it was agreed that the process needed to be improved and while we may not know when further changes or restrictions may happen we can anticipate certain situations such as further national or local lockdowns. It was proposed therefore that STERG should prepare a core set of questions which would be developed in advance to reflect the many different possible situations, this should help to provide clarity in a more timely fashion.
Details of the £40 million financial support package are being developed. At this stage it is possible that the fund will be administered through the local authorities. A number of options are being considered including a model similar to that used during the temporary lockdown in Aberdeen, furlough top up options, discretionary local authority grants and future reserves. Scottish Government officials are arranging calls with key stakeholders to discuss options.
It was highlighted that the impact of these latest restrictions will be felt widely across the sector, not just hospitality but the adventure sector and other sectors including the supply chain. It was noted that it has been made very clear to ministers that the £40 million will be a drop in the ocean compared to what is required to break even.
The Scottish Tourism Alliance will launch a survey today (8 October) to capture the financial impact of the latest restrictions. The survey will capture evidence in four key areas, total fixed costs if your business has to close for the 16 days, loss of room revenue due to cancellations, loss of revenue for food & beverage outlets and the impact on employment.
B. Scottish tourism recovery task force
The final task force report for the Scottish cabinet will be completed by Friday 9 October. A draft has already been approved by the cabinet secretary for rural economy and tourism and the minister for business, fair work and skills.
A streamlined, public facing document will be produced and published in parallel. Date of release in October is to be confirmed.
C. STERG action plan
The STERG action plan has been updated and circulated to STERG for sign off by Friday 9 October. The format of the plan reflects the key priorities of Scotland outlook 2030 while still focussing on the Scottish Government’s restart and recover phases of the four-step economic plan. It was noted that the plan is an evolving document which continues to respond to scientific evidence and government advice.
Updated STERG action plan to be published on visitscotland.org in the week commencing on 12 October.
Following discussions at STERG on 1 October and further discussions with the insight team at VisitScotland, it was agreed that no further industry surveys would be undertaken at this time due to the number of sector surveys which are ongoing. This will be reviewed once the output of sector surveys are known.
Following a review of the STERG scenarios by the working group it was agreed that ‘Innovation’ could be one of the key components of sector recovery. A gap has been identified in sector specific innovation / new product development support and it was agreed that action should be taken to address this.
Action: STERG working group to scope out the actions required.
D. Scenario planning
Discussions are continuing with Scottish Enterprise to look at how the three sets of tourism scenarios can be brought together to stress test Scotland outlook 2030.
The implications identified from the STERG scenarios are helping to inform the development of the action plan. A final session with the STERG working group is to be scheduled in the week commencing on 19 October.
VisitScotland continues to progress with the industry engagement plan for the scenarios. An industry toolkit is expected by the end of October.
The Scottish tourism industry leaders’ scenarios will be circulated to ministers with the final task force report and will be shared publicly when the task force recommendations are published.
E. Public health data
Cabinet secretary Fergus Ewing and public heal officials held a meeting on 5 October with tourism and Hospitality representatives to review the public health data in more detail.
The evidence base which the Scottish Government is using to guide its decision making was published on 7 October along with the first minister’s statement. It was noted that while this provides transparency of the data it doesn’t necessarily provide complete clarity.
Although not specifically Coronavirus (COVID-19) related, a number of points were raised around the short term lets consultation.
It was noted that there is significant concern from the self-catering sector about the timing of this. Industry’s view is that this should be put on the back burner as there is concern that these proposals have not been looked at through a Coronavirus (COVID-19) lens and are being forced through, at pace, unnecessarily.
In addition, concern has been raised about the proportionality and focus of these proposed regulations. Are the additional levels of bureaucracy and cost necessary and are the issues concentrated in specific geographic areas as opposed to the whole country?
It was highlighted that no one is contesting the reasons that initially prompted the need for regulation, however, time should be taken to explore alternative solutions which could result in a better outcome.
STERG were asked to consider the feedback which should be taken back to ministers, including whether the additional regulations, to help create a level playing field, could actually help the sector to recover?
STERG were also asked to be mindful that these regulations have a reach which is far wider than tourism and the impact on other areas should also be considered.
F. Enterprise agencies
The hotel support programme continues to be the key focus for all agencies. All applicants have now been notified of their eligibility to proceed to the next stage. It is anticipated that formal offers and awards will take place in October 2020.
G. Skills Development Scotland
September partnership action for continuing employment figures have just been released and show a marked increase in the number of hospitality businesses and individuals seeking redundancy support. In August, 375 individuals were seeking support and in September 1,183 individuals were seeking support.
H. VisitScotland
Primary focus is working with the Scottish Government team to communicate the updated guidance to industry as soon as possible.
- £6 million events industry support fund
- 837 applications received
- All assessments are complete
- An appeals process is in place
- Fund expected to be completed by the end of October
I. Scottish Government tourism team
Immediate focus is completing the guidance update and FAQs.
J. Scottish Tourism Alliance
The Scottish Tourism Alliance and key inbound travel trade representatives will hold a meeting with cabinet secretary Fergus Ewing on 19 October to present the findings from a recent travel trade survey which has looked at the impact of Coronavirus (COVID-19) on this sector and incudes insight on revenue this year versus last year and the impact.
K. Redundancy update
An update on sector redundancy information was circulated prior to the meeting. It was noted that South of Scotland data is now included. Confidentiality of this information was assured.
Action: Redundancy updates from all partners are to be forwarded to Karen Christie prior to the next meeting.
L. Any other business
No any other business was noted.
M. Next meeting date
The next meeting will convene on Thursday 15 October, 11am-12pm.
10.1 - Thursday 1 October 2020
A. Public health data
Kevin Brady, senior economist, office of the chief economic adviser, joined the meeting to update STERG on the work that is being done to make public health data available at a Scotland level, (particularly around hospitality) and to share concerns about the way the Public Health England data is being represented.
Scottish Government is receiving regular data through the track and trace system around exposures that people are having in different settings when they have tested positive for Coronavirus (COVID-19). Through the trace and protect system people are asked to report where they have been within the last 2-7 days before their symptoms have manifested or they have tested positive, that includes settings like pubs, restaurants, hospitality venues. It should be noted that this is slightly different to the data that is being circulated on social media for acute respiratory infection incidents that Public Health England are publishing which relate to sites where identifiable outbreaks of acute respiratory infections (which includes Coronavirus (COVID-19)) have taken place.
The statistic, which is being quoted, 3%-5% of incidents are taking place in food service and hospitality settings – relate to outbreaks, they aren’t exposures. (It should be noted that the number of outbreaks reported in the Public Health England data does not reflect the number of people who were infected in that outbreak so doesn’t show the scale of transmission.) Scottish ministers and officials recognise that there is a gap on the public availability of this type of data in Scotland so are working at both an official level and ministerial level to establish what data can be made available on a regular basis (and particularly how it relates to hospitality) in order to provide transparency of the data that is informing decision making. These discussions are ongoing.
It was noted that industry would welcome visibility of data / evidence in a similar format to the recent weekly pie chart representation of Public Health England data which is being actively shared by individuals and organisations, it is understood however that the correct interpretation of the data, for example. what the data is actually telling us is critical. Ultimately industry would like to demonstrate that the restrictions that are being put in place are showing improvements as a result of diligence by the industry.
It was highlighted that the data currently available does not prove causality and this is due to the nature of Coronavirus (COVID-19) and how it is transmitted. Unlike food poisoning for example where it can be relatively easy for an outbreak to be traced back to a single location, with Coronavirus (COVID-19) it takes time for symptoms to manifest themselves.
There are therefore two sets of data. The first, (the pie chart) derived from Public Health England, shows the number of outbreaks that have had confirmed cases that link back to a particular setting, (P18-20 in the weekly Public Health England publication). The second data set is from contact tracing. That’s where people who have tested positive are contacted and asked about the places they have been and what they have been doing in the days before symptoms appeared or received a positive test. This does not prove where they got the virus from, it only shows what they were doing in the period where the virus was potentially incubating. It has been found that eating out appears as a relatively high percentage of the activity being undertaken during that time period.
Public Health colleagues have advised that this is the data which is guiding the thinking and informing decision making but would not necessarily say that it proves causality. What it does say is where people who have tested positive have been going. It was noted that both Sets of data should be viewed together. It was also noted that neither data set tells us how many people are catching Coronavirus (COVID-19) from a hospitality setting.
B. Recent government announcements and updated Scottish Government guidance
It was noted that the recent changes to restrictions on hospitality, which were announced last week, (in the week commencing on 21 September), by the Scottish Government, has identified a number of challenges with the process of engagement and communication between industry and Scottish Government. It was acknowledged that everyone is working at pace and striving to get the best result for the sector however it was recognised that improved partnership working and closer, continuous engagement would help to address these challenges moving forward, particularly around areas such as development and timely delivery of sector guidance and FAQs.
Misinformation on social media regarding sector guidance in Scotland is a growing concern, particularly when it is confused with guidance from other parts of the UK. The importance of STERG partners signposting the Scottish Government guidance as the single source of truth cannot be underestimated.
Public conversations are continuing around ‘circuit breakers’ and the potential impact of this. While Boris Johnson has said that he wants to see the hospitality restrictions announced last week take effect before any other changes are made, Jason Leitch today commented that the October holiday period was an area that was being looked at. These comments have immediately sparked a reaction form industry keen to understand the potential implications. While we do not know what is likely to come down the track we need to be ready to respond rapidly and to provide intelligence around the potential business impacts if we were to shut the doors or slow things down again. We need to identify the actions required to protect businesses and jobs as well as be clear about the package of support that would be required to compensate for any such measures.
C. Scottish tourism recovery task force
The final draft of the tourism task force report will be issued to the task force working group leads, the cabinet secretary for rural economy and tourism and the minister for business, fair work and skills, today (1 October). The final report will be circulated to the task force thereafter.
It was noted that despite the budget deferral, the tourism task force report was still a very live and relevant document and in order to maintain profile a version for general publication will be produced. It was noted that a supporting communication plan for the task force publication was necessary.
The task force report will be put forward for discussion with cabinet ministers as soon as possible. The earlier this can be done the more flexibility there is in support that can be provided both in Scotland and the UK. The fiscal constraints that Scotland is under is a challenge and therefore there is a need to lever in the UK. On that basis the proposal for a ministerial summit should continue to be progressed and should take place within the next month or so. This should be a joint exercise between the Scottish Government and industry.
It was highlighted that in parallel to the task force activity the Scottish Tourism Alliance (with other trade associations across the UK), continue to press for immediate asks to be addressed by the UK Government as a matter of urgency. The Scottish Tourism Alliance has had productive engagement with Alistair Carmichael MP, and meetings are planned next week with minister Ian Stewart MP (Scottish Office) and Douglas Ross MP. The recent letter to Boris Johnston (29 September), led by trade associations, the British Beer & Pub Association, UK Hospitality and the British Institute of Inn keeping and signed by over 100 hospitality businesses and organisations including the Scottish Tourism Alliance, was referenced as an example of a collective UK voice, it was noted that this letter asks for a meeting with sector leaders to draw up sector specific support.
It was noted that the task force report will be the basis for UK Government engagement and that garnering support for the asks within the report from a broad political base could be very helpful.
D. Scenario planning
The action plan working group and the scenario planning working group completed their review of the scenarios and implications were identified for each. In light of these implications an initial assessment of the action plan was carried out and areas for intervention were discussed, for example innovation - it was agreed these areas should be explored further.
VisitScotland is progressing the industry engagement plan for the scenarios. A toolkit is currently being designed and will be tested with key sectors and association leaders to ensure it meets industry needs. industry toolkit is expected by end-October.
Scottish tourism industry leaders’ scenarios: The Scottish tourism industry leaders’ scenarios will be circulated to ministers with the final task force report and will be available to share publicly when the task force recommendations are published.
Scottish Enterprise / Scottish Government recovery and renewal scenarios 2020-2025: Discussions are ongoing with Scottish Enterprise to establish a process where we can bring together all 3 sets of scenarios to stress test Scotland outlook 2030. Next meeting 8 October.
E. STERG action plan
A revised format for the STERG action plan was circulated to STERG in advance of the meeting.
Action: STERG to feed back any comments by Monday 5 October.
Updated STERG action plan to be published in the week commencing on 12 October.
The requirement for a survey to gather industry data on season to date performance and projected confidence and occupancy data, was discussed. It was agreed this would be helpful to support the task force recommendations and the proposed ministerial summit towards the end of the month, however it was acknowledged that the methodology and timing of this would be key to ensure the right information is collected.
Action: Ken Massie to have initial discussions with the VisitScotland insight team and update at the next STERG meeting.
F. Funding packages update
£14 million hotel support programme.
- The hotel support programme was launched on Wednesday 26 August and closed at 5pm on Wednesday 9 September
- All expressions of interest are currently being appraised and evaluated by the agencies. industry were informed that they would be contacted by the relevant agency by 7 October. Process is currently on track
£1 million Coronavirus support scheme for self-catering businesses.
- Applications for this scheme closed on 10 August
- 144 grant awards have been issued
- Final appeals are being worked through this week
- Scheme expected to be complete in the week commencing on 5 October
£6 million events industry support fund.
- Applications for the fund opened on Monday 31 August 2020 and closed on Monday 14 September 2020
- 836 applications were received
- All assessments are now complete
- All communications have now gone out to applicants, including those who were rejected
- Fund expected to be completed by the end of October
G. Skills Development Scotland
Ongoing delivery of Skills Development Scotland services. Skills Development Scotland continuing to work with the Scottish Government on the development of the transition training fund and the apprenticeship support programmes.
Raising the awareness of the dire challenges that the industry is facing and ensuring that there is an understanding of this within Skills Development Scotland is a priority.
An urgent response is required to the task force proposal for a Scottish tourism emerging talent employee retention and training programme given the redundancies that are likely to be seen soon. Alternative funding routes need to be explored.
H. Enterprise Agencies
The hotel support programme continues to be the key focus for all agencies.
Highlands & Islands Enterprise have discussions planned with Nature Scot to look at preparations for spring next year in terms of visitor management, infrastructure and engaging with communities.
Work is ongoing within Highlands & Islands Enterprise to look at how the £3 million planned investment in tourism destination management organisations will be delivered to support the sector’s recovery.
I. VisitScotland
65 expressions of interest were received for the rural tourism infrastructure fund. A panel session will take place next week to review all expressions of interests.
New visitor management group, which includes all key stakeholders met two weeks ago and four subgroups have been created to address
- Communications
- Investment
- infrastructure
- Enforcement
Continuing to monitor changes in the guidance to ensure Marketing activity can be delivered at the right time. Autumn and winter content is currently being filmed in order to be ready to use when the time is right.
J. Scottish Tourism Alliance
The Scottish Tourism Alliance will hold a round table discussion with minister Ian Stewart MP (Scottish office) next week as well as a session with Douglas Ross MP.
The UK visitor economy working group will transition back to the UK tourism industry council at the end of October. The UK visitor economy working group has two remaining meetings.
Monthly discussion with Welsh, Irish and English counterparts will take place next week.
Marc Crothall to take part in the Welsh Government cross-party debate later this month.
K. Redundancy update
An update on sector redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
Action: Redundancy updates from all partners are to be forwarded to Karen Christie prior to the next meeting.
M. Any other business
No any other business was noted.
N. Next meeting date
The next meeting will convene on Thursday 8 October, 11am - 12pm.
9. September 2020
9.3 - Thursday 16 September 2020
A. Scottish tourism recovery task force
The latest draft of the tourism task force report was issued to STERG for comment on 15 September. Further comments are expected from task force members and Scottish Government colleagues in other portfolios. The investment recommendations paper will be available by 18 September and will be incorporated into the overall report. It was highlighted that more data was required to substantiate the industry challenges which have been identified in the report. Several data sources were noted: Scottish tourism recovery data which may paint a picture of the cities, recent internal research carried out by Highlands & Islands Enterprise which looks at the economic impact of Coronavirus (COVID-19) and it was also noted that the Scottish Government team are looking at data sources which could help understand what’s happening in the rural areas.
Action: all STERG members are asked to help provide additional data to Bettina Sizeland as soon as possible.
Action: STERG members to review the latest draft and forward all comments to Bettina Sizeland as soon as possible. Recommendations on roles and responsibilities have not yet been included. These will need to be set out for STERG. The report will continue to be refined. Following STERG sign off it is expected that sign off from the task force will take place at the final meeting on 23 September. The report will be submitted to cabinet in the week commencing on 28 September.
It was noted that there are three key deliverables expected under the umbrella of the task force:
The task force report – a detailed set of recommendations for the Scottish Government and the UK Government which will be submitted to cabinet in the week commencing on 28 September. A published version of the task force recommendations should also be made available.
The task force letter – a letter to the UK Government setting out the key priorities for tourism in Scotland and requesting a call with the department for digital, culture, media and sport and the treasury to discuss.
A prospectus for investment - an opportunity to emphasise the opportunities within the sector and to reinforce the fact that this is a sector which is worth investing in. Work is currently underway on regional prospectus for investment – these documents should be aligned.
Action: Scottish tourism Alliance to develop a document outlining the task force recommendations which can be published.
Action: Scottish Tourism Alliance and Scottish Government team to progress the task force letter as soon as possible.
The final Task Force meeting is scheduled to take place on Wednesday 23 September.
B. STERG scenarios
The action plan working group and the scenario planning working group will meet today to complete their review of the scenarios. This includes detailing the implications of each of the scenarios, assessing whether the action plan is sufficiently robust to address the possible opportunities and challenges and recommending further actions or interventions as necessary.
The STERG action plan will be restructured and further refined this week. VisitScotland is progressing the industry engagement plan for the scenarios. A toolkit is currently being designed and will be tested with key sectors and association leaders to ensure it meets industry needs. Publication is expected by mid-October.
Action: Karen Christie to update on progress at the next STERG meeting.
C. Scottish Tourism Industry Leaders’ Scenarios
The Scottish tourism industry leaders’ scenarios are complete and the final report has been published. The report looks at plausible futures for three years and beyond. Four scenarios have been identified with the implications for Scottish tourism clearly outlined.
In addition, there are common themes across all scenarios that have emerged as strategically important for tourism in Scotland.
It was noted that the common themes identified in these scenarios could be cross-checked with the recommendations in the task force report.
Action: Karen Christie to circulate the report to STERG with the meeting minutes.
Scottish Enterprise / Scottish Government recovery and renewal scenarios 2020 - 2025. Discussions are ongoing with Scottish Enterprise to establish a process where we can bring together all three sets of scenarios to stress test Scotland outlook 2030.
Action: Karen Christie to update on progress at the next STERG meeting.
D. Funding packages update
The new £14 million hotel support programme was launched on Wednesday 26 August and closed at 5pm on Wednesday 9 September. Overall there has been a good number of expressions of interests received from across the Scottish Enterprise, Highlands & Islands Enterprise and South Of Scotland Enterprise regions. Before the formal appraisal process begins all applicants will be issued with an expressions of interest further assessment template to gather additional information and will receive a call from a front line appraiser to discuss the template, this will ensure a fair and robust appraisal process.
An appraisal session with partners will be held in the week commencing on 21 September.
A £1 million Coronavirus (COVID-19) support scheme for self-catering businesses. Applications for this scheme closed on 10 August. The final appeal session will take place 16 September. Applications for the £6 million events industry support fund opened at noon on Monday 31 August 2020 and closed at noon on Monday 14 September 2020. 836 applications were received. Applicants who are not eligible are being notified immediately. Applications are continuing to be assessed and further information is being requested by the VisitScotland teams.
E. New Scottish government guidelines
It was highlighted that the recent announcement by the first minister on 10 September, which outlined changes to the rules around indoor and outdoor gatherings, caused confusion initially resulting in a surge of calls from businesses seeking clarity, (for example a maximum of six people from no more than two different households, indoors and outdoors with children under 12 being exempt but must still not be from more than two different households).
The confusion was not helped by the fact that the updated guidance was not available to direct people to. It was noted that clarity has now been received from the Scottish Government on all outstanding issues. Updated guidelines are now available. The current cross-border differences between Scotland and each of the other three nations makes it very difficult and quite confusing for businesses and visitors and this is resulting in cancellations. It is recognised however that this has to be managed.
It was acknowledged that the interpretation of a lockdown situation and a situation where there are restrictions in place, are being confused and is leading to uncertainty and the cancellation of bookings within the sector. There are currently seven local authority areas in central Scotland under additional restrictions, however they are not in lockdown. Clarity of this within communications is essential however it is recognised that this confusion is most likely being driven by the media.
F. Business Gateway
There is still concern that businesses are not seeing further support through local authorities. £100 million has been committed to employment support and training however no further clarity has been received regarding the underspend on the Coronavirus (COVID-19) business support fund grants which were disbursed by local authorities which could have offered support to local businesses.
The recent research conducted by Business Gateway with start-ups and existing businesses was once again reiterated. The findings included that new start-ups wanted support to start their business, not run their business. For existing businesses, Coronavirus (COVID-19) had actually brought positive changes such as improved efficiency and resilience. Many existing businesses felt that Coronavirus (COVID-19) had made them stronger. Brexit is not helping anyone.
G. Skills Development Scotland
Skills Development Scotland are continuing to work with Scottish government to develop programmes of support based on the recommendations of the enterprise and skills strategic boa report and the recommendations of the advisory group on economic recovery.
Currently working with sector colleagues to commission a piece of research into fair work, specifically looking to understand what fair work looks like across different sectors and also what are the issues or barriers to fair work across different sectors.
Enterprise agencies
The hotel support programme continues to be the key focus.
H. Scottish Tourism Alliance
The Scottish Tourism Alliance members council will meet on 22 September and will be attended by cabinet secretary Fergus Ewing.
Completion and submission of the task force report to cabinet continues to be a priority.
I. Redundancy update
An update on sector redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
Action: Kate Pearson to follow up with colleagues in South Of Scotland Enterprise to confirm whether there are tourism related redundancies that have been captured for the South Of Scotland and which could be included within the STERG document.
The Scottish Tourism Alliance members council will meet on 22 September and will be attended by cabinet secretary Fergus Ewing.
Completion and submission of the task force report to cabinet continues to be a priority.
Redundancy updates from all partners are to be forwarded to Karen Christie prior to the next meeting.
J. Any other business
It was noted that Kate Pearson will permanently replace John Evans as the South of Scotland Enterprise representative on STERG.
K. Next meeting date
There will be no meeting held on Thursday 24 September. The next meeting will convene on Thursday 1 October, 11am-12pm and will be chaired by Marc Crothall.
9.2 - Thursday 10 September 2020
A. Scottish tourism recovery task force
Work continues on the tourism task force report following additional feedback from STERG. Further input is requested from STERG members to help position the digital capability of the sector, including the recommendations from the digital tourism Scotland report (April 2019), case studies demonstrating digital adoption (there are many positive examples from across the sector including hospitality, tour operators and activity providers) and grant support available.
Action: Riddell Graham to follow up with the team at VisitScotland for views on digital capability including examples. It was noted that Highlands & Islands Enterprise have announced (10 September), a digital enablement grant for businesses, communities and social enterprises with an existing Highlands & Islands Enterprise relationship.
This grant forms part of their Coronavirus (COVID-19) recovery support. Additional resources are being made available to Business Gateway to develop new ideas which could help small and medium enterprises to improve their digital capability. tourism and hospitality have been identified as one of the specific sectors which should benefit from this.
The next draft of the report will be circulated to STERG by 11 September. A final version of the report, (which will include input from the investment working group paper), is expected to be available for STERG sign off by 18 September. Following STERG sign off the report will be circulated to the task force. The tourism task force report will be submitted to cabinet before the end of September.
The final meeting of the investment working group took place on 8 September. It was noted that discussions with the Scottish national investment bank, to address some of the recommendations from the investment working group, should start now and that STERG should be represented in these discussions.
The task force letter to the department for digital, culture, media and sport and treasury requesting a call is to be progressed. It is proposed that the letter will be more powerful if it is a joint request from Scottish Government and businesses. It is essential however that the asks outlined in the letter are refined to focus on only three or four key priorities.
B. STERG action plan
The updated STERG action plan (1 September) was published on visitscotland.org on 8 September.
Further work to refine the content of the action plan and to address feedback from STERG members will be done over the next two weeks before the next update.
The action plan working group and the scenario planning working group came together on 4 September with the purpose of looking at how the STERG scenarios could begin to shape further development of the action plan. The implications of each of the scenarios were captured and implications around workforce, business support and marketing in particular were identified A further session will be scheduled in the week commencing on 14 September to progress.
It was acknowledged that the input received from the Scottish local authorities economic development tourism group via Tracey Martin has been welcomed.
VisitScotland is continuing to progress the industry engagement plan for the scenarios. A toolkit is currently being designed and will be tested with key sector associations to ensure it’s the right thing. Publication is expected in early October.
C. Scottish tourism industry leaders’ scenarios
The industry scenario planning project, which is being led by consultants Waldencroft, held its final meeting yesterday to discuss the implications of the scenarios they had developed. A final report will be completed by 11 September and shared with STERG in the week commencing on 14 September. It was noted that the industry leaders involved came from a very broad cross section of the tourism sector.
It was highlighted that this set of scenarios, (with a circa three year timeframe) will compliment both the STERG scenarios (circa six to nine-month timeframe) and the Scottish Enterprise / Scottish Government recovery and renewal scenarios for consumer-facing industries 2020 - 2025 (which includes implications for tourism).
It was recognised that the industry scenarios were a very valuable piece of work and that they should be factored into the task force work. It was noted that once the final report was available it would be easier to see where they could feed into the task force recommendations and in particular the detailed stand-alone task force paper which will accompany the report for cabinet. (note that the STERG scenarios with a six to nine-month timeframe could actually be valid for up to two years given certain circumstances and should also feed into the task force thinking).
Action: Karen Christie to follow up with Scottish Government team and partners when the industry scenarios are published. Consideration to be given to the scenarios forming the context to the detailed stand-alone task force paper.
It was also recognised that there was a need to bring the three sets of scenario planning work together.
Action: Karen Christie to consider options with partners and put forward recommendations for bringing the scenarios together.
It was noted that any communications regarding the scenario work that has been carried out must have a consistent message.
D. Funding packages update
The new £14 million hotel support programme was launched on Wednesday 26 August and closed at 5pm on Wednesday 9 September. Overall, there has been a very healthy number of applicants for the programme. An initial sift of the expressions of interests is currently taking place. This check will identify if an applicant is eligible or not and secondly, for those applicants who are eligible, it will check if further information is required. This process should take circa 10 to 14 days. A partners meeting will take place on 11 September to review progress so far.
The £1 million Coronavirus (COVID-19) support scheme for self-catering businesses. Applications for this scheme closed on 10 August. The deadline to appeal has now passed. Final appeals are being considered by the review panel.
Applications for the £6 million events industry support fund opened at noon on Monday 31 August 2020 and will close at noon on Monday 14 September 2020. 791 applications have been received from a broad cross section of the events sector. Applicants who are not eligible are being quickly notified. The first offers of funding have now gone out. Applications will continue to be assessed by the VisitScotland team.
E. Funding gaps
It was noted that a request had been received from Scottish Independent Hostels for support to help mitigate the impact that Coronavirus (COVID-19) has had on this sector.
It was recommended that STERG submit a list to Scottish Government of any known businesses / groups / sectors who are still severely at risk or are suffering as they have not been eligible to receive any support.
Action: STERG members to advise Bettina Sizeland of any known businesses / groups / sectors who continue to be at risk.
F. Business Gateway
The new Business Gateway campaign went live on 7 September. The core message is “if you are in the dark we are here to shed some light”.
Recent research conducted by Business Gateway with start-ups and existing businesses showed that new start-ups wanted support to start their business, not run their business. For existing businesses Coronavirus (COVID-19) had actually brought positive changes such as improved efficiency and resilience. Many existing businesses felt that Coronavirus (COVID-19) had made them stronger. Brexit is not helping anyone.
The Scottish Government team highlighted that there has been a recent rise in correspondence from successful businesses who are now finding themselves in a desperate situation and urgently need to be able to talk to someone for support. It was noted that Business Gateway, who support a broad range of businesses across Scotland, including existing businesses can be contacted for support. (Calls to Business Gateway in this quarter from existing businesses were circa double the number of calls from start-ups). In addition, hospitality health, the charity which supports the mental health and well-being of those working in the hospitality industry can be contacted by anyone in difficult circumstances or struggling.
G. Skills Development Scotland
Work is continuing to formulate a response to the Scottish Government’s youth guarantee:
- Work to support apprentices continues
- Displaced apprentices / individuals coming out of school
- Partnership action for continuing employment service has been ramped up
- A helpline and online support is available
- A proposal was recently submitted to the rural skills fund identifying support required for tourism specific skills
- Discussions are continuing with the Enterprise agencies regarding the support skills development Scotland can offer to the new hotel support programme
H. Enterprise agencies
The hotel support programme continues to be the key focus.
A new green stimulus fund is being discussed at Highlands & Islands Enterprise for rural and tourism infrastructure investment.
Action: Anna Miller to send details of the fund to Bettina Sizeland in order to clarify whether this is part of the low carbon fund.
I. VisitScotland
Working on the announcement for the new events fund which will be launched next week.
Working with marketing colleagues on the autumn / winter campaign which will have a cities focus. As noted previously, countryside searches are for the first time ever ahead of searches for cities.
J. Scottish Tourism Alliance
Elaine Townsend retires from the Scottish Tourism Alliance on 14 September.
The next two to three months will very much depend on what we hear today at the first minister’s briefing. This will determine whether concern within the industry will escalate.
The cities still need help.
K. Scottish Government
The task force report continues to be a priority, it is essential that this is submitted in time to be considered in the spending review.
Internal updates are ongoing to ensure Scottish Government colleagues and ministers are aware of the rapidly changing industry situation and can respond accordingly.
L. Redundancy update
An update on sector redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
Action: Karen Christie to confirm with John Evans whether there are tourism related redundancies that have been captured for the South Of Scotland and which could be included within the STERG document.
Action: Redundancy updates from all partners are to be forwarded to Karen Christie prior to the next meeting.
M. Any other business
No any other business noted.
N. Next meeting date
The next meeting will convene on Wednesday 16 September, 11am - 12pm.
9.1 - Thursday 3 September 2020
A. Scottish tourism recovery task force
Feedback from STERG on the first draft of the tourism task force report has been collated and is currently being reviewed. Work on the draft has continued, particularly on the prioritisation criteria which will be used to sort the proposed recommendations. It was noted that it was critical for STERG to get the prioritisation criteria right. A further draft is in progress and will be circulated to STERG later in the day.
Action: STERG members to review the second draft and forward all comments to Bettina Sizeland by close of play Monday 7 September.
It was highlighted that none of the food tourism recommendations, which were submitted with the recovery working group’s paper, feature in the draft report. It was agreed that they will be added and scored alongside the other recommendations.
It was suggested that key industry requests are laid out in a letter to the UK Government. The letter would be directed to the department for digital, culture, media and sport and the treasury from the Scottish Government. It was proposed that the letter would be progressed this week.
It was acknowledged that for cabinet and the Scottish Government all recommendations should be segmented into immediate actions that need to happen now and more medium term actions that will support the sector moving forward. It was suggested that once the prioritisation criteria is agreed the recommendations will be reviewed by the three task force working groups.
It was noted that available funding sources such as the low carbon fund are being eroded quickly and there is an urgent need for tourism to develop a robust business case to support recommendations.
B. Programme for government
The programme for government was announced by the Scottish Government on 1 September. It was noted that there was nothing unexpected within the programme for government for tourism.
Highlights of the programme for government, specifically relating to tourism can be found on the Scottish tourism Alliance’s website.
It was noted that the actions outlined in the programme for government were aligned to Scotland outlook 2030, the national tourism strategy and that the continued importance of sustainability came through strongly
Concern was raised about access to funding for the tourism sector, particularly to implement the recommendations of the task force as this was not mentioned in the programme for government.
Skills Development Scotland has been asked by the rural economy division to submit a proposal, by 4 September, which addresses the need for specific rural skills as there is potential funding available for this. Skills Development Scotland has consulted with Association of Scottish Visitor Attractions, Hospitality Industry Trust and Springboard. It was noted that Marc Crothall would try to quickly gather some additional input from agritourism and food tourism however given the tight timelines this may not be possible.
Action: Lawrence Durden to share the headlines of the proposal to ensure these can be reflected consistently in other documents or proposals.
Action: Fiona Cook to organise a call with the rural economy division to ensure the Scottish Government tourism team can feed into this.
Multi-year funding for digital has been received well, however it is not clear whether this will apply to the digital boost initiative. strategic planning and procurement is very difficult without multi-year funding being in place.
It was noted that the there is a strong emphasis on employability which is welcomed, however this needs to be balanced with equivalent business support to ensure jobs can be safeguarded and new jobs created.
C. Funding packages update
£14 million hotel support programme.
- The new hotel support programme was launched on Wednesday 26 August.
- A steady flow of expressions of interest are being received
- All expressions of interest must be received by 5pm on Wednesday 9 September
- A partners meeting will take place on 4 September to review the submissions so far
£1 million Coronavirus (COVID-19) support scheme for self-catering businesses.
- Applications for this scheme closed on 10 August
- Successful and unsuccessful applicants have all been notified and many of the successful applicants
- have already received funding
- An appeals process is in place for unsuccessful applicants
- A review panel currently meets daily to respond to all appeals received
£6 million events industry support fund.
- Applications for the fund opened at noon on Monday 31 August 2020 and will close at noon
- on Monday 14 September 2020
- 697 applications have been received from a broad cross section of the events sector
- Applications are currently being assessed by the VisitScotland team
D. STERG action plan
The updated STERG action plan (1 September) has been circulated to STERG for approval. Minor updates were noted. The updated plan will be published on visitscotland.org in the week commencing on 7 September.
The need for additional actions in the plan to address localised lockdowns was discussed. It was agreed that the current protocols in place were sufficient.
Further work will be done on the action plan over the coming weeks to refine the content.
The action plan working group and the scenario planning working group will come together for a joint session on 4 September to stress test the plan against the scenarios. Output from this meeting will drive the next stage of the plan’s development. A summary of the session will be shared at the next STERG meeting on 10 September.
VisitScotland is progressing the industry engagement plan which aims to share the STERG scenarios more broadly across the sector.
The industry scenario planning project, which is being led by consultants Waldencroft, recently held a two day online workshop to progress the development of the scenarios. A raw version of the scenarios will be sense checked on 4 September and the final scenarios presented to the group on 9 September. The representatives involved are from a cross sector of the industry and are keen for this work to feed into the recovery plans.
E. Scottish Tourism Alliance
The UK visitor economy working group meeting with Nigel Huddleston took place yesterday. Feedback from industry highlighted the following points:
Expedia reported that initial signs of recovery are now tailing off and that forward bookings for autumn are behind where they were expected to be. Booking windows have shortened, there is little interest in cities and enhanced cleaning and safety practices are ranking highly in search criteria.
VisitBritain presented an overview of the new £5 million UK wide campaign “escape the everyday”. The campaign will launch in September and will have a strong presence on channel 4. The campaign will also have a strong cities focus.
Bourne Leisure commented that despite high demand, social distancing rules was severely impacting the ability to make a profit. This is a common issue across all major operators within the sector and provides a clear rationale for the need for continued support.
There continues to be major concern around international markets and particularly around airline survival given the impact of air corridors / quarantine restrictions in addition to the end of furlough.
It was noted that the same themes are being echoed on this call as in Scotland.
The Scottish Government emphasised that any representation to the UK Government by the Scottish Government would be more powerful if it could focus on two or three key industry priorities. To improve the chance of success, Nigel Huddleston needs two or three things that could really make a difference rather than a long list of requests which can get very complex. Industry is asked to consider what these priorities should be.
Action: Marc Crothall to liaise with UK Hospitality to ensure that messaging on priorities are consistent.
The absence of international markets is severely impacting on tour operators. Following a recent meeting involving the airports and inbound operators the Scottish Government tourism team has followed up with Jason Leitch and transport colleagues to push for progress in this area. The Scottish Government tourism team will continue with health and transport.
Concerns continue that cities are still not seeing a revival.
Eat out to help out scheme has generally performed well, with some business choosing to continue the scheme into September to encourage customer loyalty and maintain cash flow.
The first in a series of Association of Scotland’s Self-Caterers webinars took place on Tuesday with Malcolm Roughead and Marc Crothall. Circa 180 people attended.
F. Enterprise Agencies
The hotel support programme continues to be a key focus.
Following the announcement on 28 August of a new £59 million funding package to support Scottish culture and heritage, Scottish Enterprise is working with Creative Scotland to help disburse the funds.
G. Business Gateway
There is concern over the potential impact of newly imposed lockdown restrictions on three council areas in the west of Scotland, (Glasgow, West Dunbartonshire and East Renfrewshire). The new measures are not the same as those imposed in Aberdeen, however transmission rates are going up and the situation could get worse. The question was asked whether there will there be resource to support businesses should it be needed.
The Scottish Government tourism team advised that consideration is being given as to what happens next, however as yet there is no evidence to suggest that additional funding would be available.
The underspend on the Coronavirus (COVID-19) business support fund grants which were disbursed by local authorities was discussed recently at a council leaders meeting and clarity about what had happened to the remaining funds was requested.
The Scottish Government tourism team advised that they have continued to press this same question however have not yet received clarity.
H. Skills Development Scotland
Rural skills proposal to be submitted to the rural economy division on 4 September.
Discussions ongoing with the enterprise agencies regarding the support Skills Development Scotland can offer to the new hotel support programme.
Continuing to work with Scottish government to develop programmes of support based on the recommendations of the enterprise and skills strategic boa report and the recommendations of the advisory group on economic recovery. These include:
- Upscaling the partnership action for continuing employment service
- Protecting apprentices
- Expanding the adopt an apprentice programme and developing a pathways to an apprenticeship programme
- Expanding and developing the individual training accounts and developing a transition training fund
I. VisitScotland
Concern has been raised with the Scottish Government tourism team about the new VisitBritain campaign which is due to kick off in mid-September. Currently VisitScotland are not permitted to run their domestic marketing campaign instead having to continue with the Scotland only campaign, there is a risk that the VisitBritain campaign will encourage Scots to holiday in the rest of the UK. Our cities in particular could be impacted as VisitScotland cannot currently campaign outside of Scotland.
The Scottish Government tourism team noted that the VisitBritain campaign was on their radar.
VisitScotland are currently working on a cities campaign and this is due to launch in the next couple of weeks. The campaign will focus on exploring the many different neighbourhoods within our cities.
Anecdotal evidence has suggested that the opening of the V&A in Dundee has had a significant impact on hotel occupancy rates in Dundee. This needs to be investigated further.
Festival 2022, a UK wide festival of culture and science will launch next week. £12 million has been allocated to Scotland. This is a positive example of collaboration.
The task force report is the current priority, it is essential that this is submitted in time to be considered in the spending review.
The proposal for a Scottish tourism emerging talent employee retention and training programme, which was proposed to Fergus Ewing and Jamie Hepburn is still under discussion.
J. Redundancy update
An update on sector redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
Action: redundancy updates to be forwarded to Karen Christie prior to the next meeting.
K. Any other business
No any other business noted.
L. Next meeting date
The next meeting will convene on Thursday 10 September, 11am - 12pm.
8. August 2020
8.4 - Thursday 27 August 2020
A. Scottish tourism recovery task force
A first draft of the tourism task force report was circulated by Bettina Sizeland to STERG in advance of the meeting. The paper was acknowledged as a starting point for STERG to work on. It was noted that the recommendations from the investment working group have not yet been included. These will be forwarded to STERG separately.
It is intended that the tourism task force report will highlight to Scottish ministers and UK ministers the key recommendations only, with a further report containing the detailed recommendations. The detailed recommendations will act as working menu for STERG to consider. The draft report outlines a set of criteria for prioritising recommendations and STERG are asked to review these criteria. Once the criteria are agreed the priorities can be reviewed based on that.
It was confirmed that the use of the word sustainable in the draft report refers not just to financial viability but to broader sustainable development encompassing economic, social and environmental dimensions. The final report will be submitted to cabinet in early to mid-September.
Next steps were outlined as follows:
- STERG to review and feedback comments on the first draft by Tuesday 1 September
- Revised draft of the report will be circulated to STERG for the next meeting on Thursday 3 September
- Further revised draft issued to the three task force working groups for review in the week commencing on 7 September
- Final report to cabinet early to mid-September
Action: STERG members to review the draft and forward all comments to Bettina Sizeland by close of play Tuesday 1st September.
The likelihood of imminent additional support for the sector from the UK Government was discussed and it was noted that this was unlikely. The department for digital, culture, media and sport have put forward the case to the treasury, however, tourism is not the loudest voice. The task force recommendations need to be forwarded quickly to Nigel Huddleston to open direct treasury discussions which include all other devolved nations. It was highlighted that tactics to ensure Scotland’s voice is heard more loudly needed to be identified.
It was noted that the Scottish tourism Alliance were meeting with Oliver Mundell in the afternoon and steps were being taken for further engagement with the Scottish office. The importance on focusing on just a few, big asks, which could support the whole of the sector, was reiterated. However, there are some key areas that we must not lose sight of such as aviation and the travel trade. It was noted that the Scottish tourism Alliance have a meeting set up with UK inbound to understand the actions they are taking with the UK Government.
The proposal for a Scottish tourism emerging talent employee retention and training programme, which was prepared by a sub group of the task force recovery working group (and included members of the tourism skills group), has been submitted to Fergus Ewing and Jamie Hepburn. The proposal is currently being reviewed and potential funding options are being discussed. It was stressed that for this proposal to be feasible, funding was required to cover both the training element of the programme and the wage subsidy element. Further discussions with ministers to look at possible funding options are required.
B. STERG action plan
The updated STERG action plan was published on visitscotland.org on 24 August.
The action plan working group and the scenario planning working group will come together for a joint session on 4 September to stress test the plan against the scenarios.
Action: Karen Christie to feedback the output from the meeting to STERG on 10 September.
C. STERG scenario plans
An industry engagement plan is prepared by Chris Greenwood, VisitScotland, and was circulated to STERG in advance of the meeting. The plan outlined an approach to sharing the scenarios with industry. All STERG members agreed this was the right way forward and the green light was given to progress the immediate actions identified.
Action: Barbara Clark to link in with Chris Greenwood regarding communication support.
D. Funding packages update
The new £14 million hotel support programme was launched on Wednesday 26 August after a huge amount of effort by partners to reshape the criteria based on industry feedback. 6 expressions of interest have been received already. No technical issues have been noted so far. No feedback has been received from industry. Workstreams across all the enterprise agencies, VisitScotland and Skills Development Scotland are working on the next steps, the appraisal process, the support packages, the reporting, etc.
All expressions of interest must be received by 5pm, 9 September. Local Authorities will support the launch of the programme by making the business community aware of it. Local authorities will also be involved in discussions around the business support packages.
It was noted that final details of the hotel support programme should be sent to the culture, tourism, Europe and the external affairs committee.
Action: Scottish Government officials to forward the final details of the hotel support programme to members of the culture, tourism, Europe and the external affairs committee.
78 applications have been approved a £1 million Coronavirus (COVID-19) support scheme for self-catering businesses and the businesses have been notified. Remaining eligible applications will be advised shortly. Rejected applications are in the process of being notified. An Appeals process is in place.
The new £6 million events industry support fund was launched on Monday 24 August. The fund is being managed by VisitScotland / EventScotland and a large team of people have been brought together to respond to the demand for the fund. Applications for the fund will open from noon on Monday 31 August 2020 until noon on Monday 14 September 2020. It was noted that significant effort had been made to ensure the eligibility criteria was clear. So far, there has been 10,000 views on visitscotland.org and 2,500 downloads of the guidance document.
E. Cities
Increasing concern was raised about the ongoing, devastating impact of Coronavirus (COVID-19) on tourism within our cities, particularly in Edinburgh, Glasgow and Aberdeen. There is concern that tourism is being portrayed, through the media for example, as doing well which is masking the desperate situation that our cities are facing.
It was highlighted that the retail sector is also very concerned about city centres particularly as there is no daytime trade happening. People are staying at home, they are working from home, they have no need to go into the city. Our cities need to be supported with positive messages from the media which promotes how great our cities are, that they are safe places to visit and people should be encouraged to go out and enjoy them.
It was noted that VisitScotland are working with the cities on marketing activity (currently targeted at Scotland) and that the autumn / winter campaign has a cities focus. The biggest challenge right now is that all marketing activity beyond Scotland is on hold.
It was acknowledged that marketing is only part of the issue and that the STERG action plan should be reviewed to identify the actions that are currently being undertaken to support the cities and whether new actions are needed.
Action: Karen Christie to coordinate a review of the action plan.
Action: Barbara Clark to put together a communication which reflects actions being undertaken to support the cities.
The question of further support for Aberdeen was raised. It was noted that no additional funding beyond the £1 million fund being administered by Aberdeen city council would be available.
F. Business Gateway
A campaign to push Business Gateway and DigitalBoost services will be launched on 7 September.
Work is ongoing to push businesses to find business support.
G. Enterprise agencies
The hotel support programme is a key focus.
Working with Creative Scotland on the £2.2 million grassroots music venue stabilisation fund.
H. VisitScotland
Promoting the new £6 million events industry support fund is a priority.
Recent tracking data has shown that for the first-time countryside breaks have overtaken city breaks in online searches. Romance and luxury are two of the most popular themes being searched for.
I. Scottish Tourism Alliance
The current position on weddings continues to be an area of concern. A recent submission has been made by the Scottish Tourism Alliance recommending a 20/20 position is adopted. It is hoped that an announcement on this will be made imminently.
The industry scenario planning project, which is being led by consultants Waldencroft, recently held a two-day online workshop to progress the development of the scenarios. The industry representatives are from a cross sector of the industry and have voiced strong concerns about the ongoing impact of Coronavirus (COVID-19).
The meeting notes from the Scottish Tourism Alliance’s forums which were held last week will be circulated today.
J. Scottish Government
A final review of the programme for government was carried out this morning. No surprises are expected for tourism.
Support for fun fairs has not yet been secured, this will be pursued jointly with the culture team in the Scottish Government, a further submission will be made to Fiona Hyslop.
Capital budget is being pursued through the capital spending review in order to support initiatives to address issues with wild camping and the rural tourism infrastructure fund.
Funding opportunities may exist with the low carbon fund. Scottish Government tourism team will work with STERG to put forward recommendations.
K. Redundancy Update
An update on sector redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
Action: redundancy updates to be forwarded to Karen Christie prior to the next meeting.
L. Any other business
No any other business noted.
M. Next meeting date
The next meeting will convene on Thursday 3 September, 11am - 12pm.
N. Future meetings
Thursday 17 September will be moved to Wednesday 16 September.
Thursday 24 September and Thursday 1 October will be chaired by Marc Crothall in the absence of Riddell Graham.
8.3 - Thursday 20 August 2020
A. Scenario planning update
The STERG scenario plans were approved by all members of the group.
The group agreed that the scenario plans could now be shared more widely, in particular with the task force and with participants involved in the new, longer term scenario planning work which is being led by consultants Waldencroft.
It was agreed that the content of the scenario plans should be shared in a meaningful way with businesses.
Action: Karen Christie to circulate scenarios to the task force and the participants in the Waldencroft scenarios.
Action: Working group to liaise with Barbara Clark to look at ways in which the output of the scenario plans could be shared with industry.
B. Funding packages update
The £14 million hotel recovery programme partners are continuing to work closely to finalise the criteria for the programme. Extensive industry engagement has taken place to ensure the approach being taken is right.
The programme is expected to launch in the week commencing on 24 August. The communication and guidance which is to accompany the launch of the programme will be key to ensure the process is as seamless as possible.
The £1 million coronavirus support scheme for self-catering businesses opened 3 August / closed 10 August. Over 200 full applications received and logged. The assessment panel have now assessed all applications. Offers will be issued this week. Unsuccessful applicants will be provided with a clear rationale explaining why the application was rejected. An Appeals process is in place.
Many thanks go to the Association of Scotland’s Self-Caterers for their support in assessing the applications.
The launch of a £10 million events sector fund to support businesses in the supply chain to the events sector, is expected to be announced imminently. This fund will account for a proportion of the £10 million. A second fund, accounting for the balance of the £10 million, is to follow, date to be confirmed.
It was noted that there is a lot of working going on within Scottish Government looking specifically at venues and in particular wedding venues, both on guidance and support. A new trade body for wedding venues has been established, the Association of British Wedding Businesses, this is an association that aims to support members of the British wedding industry during Coronavirus (COVID-19).
C. STERG action plan
The updated STERG action plan was approved for publication on visitscotland.org in the week commencing on 24 August.
It was highlighted that the scale of activity being undertaken is significant, however, it was noted that there are actions which could now be closed off as they have been delivered.
Since the action plan was launched there have been 13.500 visits to the action plan page and 2,627 downloads of the action plan.
Action: Karen Christie to circulate the STERG action plan to the task force.
D. Scottish tourism recovery task force
The third meeting of the Scottish tourism recovery task force will be held on Monday 24 August where all three working groups, (stimulating demand, recovery and investment) will report on progress and discuss their recommendations.
The final task force recommendations paper is expected to be submitted to cabinet in early September. Consideration is to be given to the format of the final paper.
It was noted that the availability of funding to support the implementation of task force recommendations was critical and there is ongoing discussion as to whether new money will be available or existing budgets will need to be repurposed.
In response to an urgent request from Mr Ewing to address immediate workforce retention issues the recovery working group submitted a draft paper to the Scottish Government for a programme which addresses the immediate need to retain our emerging talent within Scottish tourism. Feedback on the proposal from Mr Ewing is expect by Monday 24 August.
The importance and value of a united front between industry and the Scottish Government when making representations to the UK Government was stressed.
E. Partner updates skills development Scotland
Skills Development Scotland working with Scottish government to develop programmes of support based on the recommendations of the Enterprise and Skills strategic Boa report and the recommendations of the Advisory Group on Economic recovery.
Key areas of focus are providing guidance, expanding the partnership action for continuing employment service for displaced staff, and the next steps programme for young people under 18; protecting apprentices. Expanding the adopt an apprentice programme, supporting displaced apprentices to complete their training and developing a pathways to apprenticeship programme with options for learners.
Expanding and developing the individual training accounts and developing a transition training fund.
F. Business Gateway
A new £1 million support fund is to be made available via the Aberdeen city council for hospitality businesses directly impacted by the local lockdown in that area.
It is expected that the health & safety executive will issue guidance on the requirements for ventilation within premises. It will be critical to understand the implications of this for businesses.
G. Enterprise agencies
The hotel recovery programme continues to be a key focus. Work is currently ongoing to finalise the details of the programme.
The supporting communities fund which is administered by Highlands & Islands Enterprise will shortly be moving into phase 2.
This phase will be recovery focused and it is hoped that it will be themed around community and tourism. Highlands & Islands Enterprise have been approached to support research funding on Motorhomes
The Highlands & Islands Enterprise boa are currently considering a paper that recommends a revised medium-term approach by Highlands & Islands Enterprise regarding future support to destination management organisations. This is line with wider Coronavirus (COVID-19) strategic sector support.
H. VisitScotland
Members of STERG met on Monday 17 August to review the role, remit and sustainability of destination organisations as requested by the stimulating demand working group. A final document with STERG recommendations is being prepared.
VisitScotland is convening a new group (in addition to the communications group), to look at the impact which dirty camping is having on communities and the environment. This group will take a holistic view of the issues which are being raised and in particular look at infrastructure.
A number of issues were highlighted as contributing to the current situation, in particular the fact that many campsites have been unable to open and the availability of public toilet facilities. A further issue to consider is the inflated prices of some self-catering businesses could be driving people to choose camping when previously they wouldn’t have.
It was noted that ministers are keen to see to see actions being taken to address this, however, it was recognised that it may be too late for this season and may need to wait until next season. The importance of getting the balance right between education and infrastructure was stressed.
I. Scottish Tourism Alliance
The Scottish Tourism Alliance are continuing their business survey on the impact of the eat out to help out scheme which launched on 3 August. It was noted that Aberdeen venues have missed out on the scheme and that there is an ask to extend this scheme beyond August.
There is ongoing concern that there are still a number of areas within the sector that are not yet open for example, wedding venues, exclusive use properties, business events and conferencing.
The Scottish Government highlighted that the guidance related to exclusive use properties was dependent on whether there is a shared kitchen or a separate kitchen.
With regard to business events, there are still significant public health concerns here and detailed analysis of this is ongoing. An indicative date of September has been given but nothing specific.
J. Redundancy update
An update on sector redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
Action: Redundancy updates to be forwarded to Karen Christie prior to the next meeting.
K. Any other business
No any other business noted.
L. Next meeting date
The next meeting will convene on Thursday 27 August, 11am - 12pm.
8.2 - Thursday 13 August 2020
A. Scenario planning update
Chris Greenwood and Raymond McIntyre presented the final scenario planning document to STERG for comment. It was noted that the scenario planning document had been stress tested with the Scottish tourism Consultants Group and a number of their recommendations had been incorporated.
It was noted that once the document has been signed off, the working group will look at ways in which the content could be shared in a meaningful way with businesses. It was highlighted that the STERG scenarios will complement both the scenario planning work completed by Scottish Enterprise and the new industry driven scenario planning work which is being facilitated by Waldencroft.
Action: Chris Greenwood to pick up with Bettina Sizeland for input once she has returned from annual leave on 17 August.
Action: STERG to review the scenario planning document and provide feedback, comments, questions etc., to the working group by close of play Tuesday 18 August. Please email feedback to Chris Greenwood, Raymond McIntyre and Karen Christie. A final version will be circulated to STERG for sign off on 20 August.
Action: Barbara Clark to work with Chris Greenwood to look at potential options for communicating the output of the scenario planning work to industry.
B. Funding packages update
Following the announcement of the £14 million hotel recovery programme on 29 July the partners have been working closely to define the detail ensuring that the feedback received from stakeholders is being taken into account. The formal launch is expected at the end of August.
The importance of getting the criteria and approach right for this programme was acknowledged and therefore the launch date may be postponed.
The £1 million Coronavirus (COVID-19) support scheme for self-catering businesses opened 3 August / closed 10th August. Over 200 full applications received and logged and between 40-50 incomplete applications were received and additional evidence has been requested for these. The assessment panel have assessed 143 applications to date; 28 were approved, 45 awaiting a check from local authorities, 17 are in query, 53 were rejected.
Successful applicants and unsuccessful applicants will be notified at the same time. Unsuccessful applicants will be provided with an explanation as to why they were unsuccessful.
The £10 million events sector fund from Event Scotland and the Scottish Government are in the process of finalising the criteria and eligibility for the fund. Sign off from the Scottish Government is expected this week and it is anticipated that a communication will go out next week regarding the fund.
C. Scottish tourism recovery task force
The third meeting of the Scottish tourism recovery task force will be held on 24 August where all three working groups, (stimulating demand, recovery and investment) will report on progress and discuss their recommendations.
All three working groups continue to meet in preparation for 24 August.
It was noted that the recovery working group has submitted a draft paper to the Scottish Government for a programme which addresses the immediate need to retain our emerging talent within Scottish tourism.
Members of STERG will meet on Monday 17 August to discuss their guidance on the future of destination and sector organisations as requested by the stimulating demand working group.
Further details about the task force including minutes and papers can be found on the Scottish Government website.
D. Partner updates skills development Scotland
The £10 million funding from the Scottish Government to support a range of measures to recruit and retain apprentices, including additional funding for the adopt an apprentice programme, Lawrence Durden in discussion about prioritising tourism within this fund.
An additional £10 million announced for the flexible workforce development fund which addresses broader support for businesses such as upskilling and reskilling the workforce.
Skills Development Scotland currently discussing how they can contribute to the wrap-around business support and advice being offered as part of the new hotel recovery programme.
Working with the task force recovery working group and members of the national tourism skills group, a draft paper has been submitted to the Scottish Government outlining a programme which addresses the immediate need to retain the emerging talent within Scottish tourism.
In addition, as chair of the workforce recovery subgroup, within the task force recovery working group, longer term workforce recommendations are being developed to support recovery of the sector.
E. Business Gateway
In response to the ongoing lockdown in Aberdeen there is a lot of work going on to identify the support that businesses need.
An additional £1.5 million funding announced for Business Gateway’s digital boost programme. The funding will run until 5 April 2021. It is envisaged that this additional resource will offer the opportunity to pilot new ideas which can then be developed and rolled out next year. It was noted that the digital boost programme manager keeps in contact with Highlands & Islands Enterprise and Scottish Enterprise. It was recommended that the programme manager contacts Aileen Lamb at Scottish Enterprise who is doing a lot of work in this space.
F. Enterprise agencies
Highlands & Islands Enterprise’s let’s grow adventure tourism programme was launched on 16 July and closed on 7 August. Highlands & Islands Enterprise are delighted with the volume of applications received demonstrating a real appetite for support in the adventure sector. The programme will start late September / beginning of October.
The hotel recovery programme is taking up the majority of time as partners work to finalise the detail of the programme.
Engagement with local authorities has increased recently due to discussions on how the city deals and growth deals could accelerate recovery.
G. VisitScotland
A communication plan is being worked on for the new events sector funding scheme.
Two major golf events will take place in the next two weeks, the Aberdeen Standard investments Ladies Scottish Open and the AIG Women’s Open. Both events will be tv-only events without crowds in attendance.
Dirty camping continues to be an ongoing issue and a working group is looking at this.
Circa 6,300 are now signed up to the we’re good to go scheme and over 3,500 are listed on visitscotland.com. A Gaelic version of the logo is also now available.
H. Scottish Tourism Alliance
The Scottish Tourism Alliance are continuing the two business surveys this week. The new eat out to help out scheme launched on 3 August and the Scottish Tourism Alliance are keen to understand how this initiative is working for businesses. Is it successfully driving footfall? Is it displacing weekend bookings? Forward bookings for accommodation providers vary significantly across the sector. For hotels in particular the majority are looking at <20% occupancy in the coming months. This survey looks to capture a snapshot of bookings for August and September / October.
Issues with wild camping remain. A workstream is looking into this.
There are still a number of areas within the sector that are not yet open for example, exclusive use properties, swimming pools, events. There is an increasing nervousness among hotels on whether events (of any size) will be given the green light or not, for many this will have a critical impact on their survival.
The licensed trade requires more clarity around the guidance, for example what is mandatory and what is not.
A recent letter from the world travel and tourism council to the prime minister has highlighted the urgent need for the G7 nations to work together collectively. Are the G7 messages feeding down to the devolved ministers? This should be considered by the task force.
I. Scottish Government
The immediate focus is on changes to sector guidance, including mandatory collection of customer details for test & protect and the ongoing lockdown in Aberdeen.
Work is continuing on the guidance for those places which are not yet open, it is hoped that there will be more on this at the next review point on 20 August.
J. Redundancy update
An update on sector redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
Action: Redundancy updates to be forwarded to Karen Christie prior to the next meeting.
K. Any other business
Oliver Mundell MSP has been appointed shadow cabinet secretary for rural economy and tourism in the recent Scottish conservative reshuffle. Rachael Hamilton MSP now takes on the role of shadow cabinet secretary for social security and older people.
L. Next meeting date
The next meeting will convene on Thursday 20 August 11am - 12pm.
8.1 - Thursday 6 August 2020
A. Scenario planning update
VisitScotland updated on the progress being made on the scenario planning work. It was noted that all actions agreed at the previous meeting have been completed, for example narratives have been developed for all four scenarios, based on a set of agreed assumptions and an economic overlay has been provided highlighting the economic implications.
The completed work will now be stress tested with for example the Scottish tourism consultants network before the final document is presented to STERG on 13 August.
B. Funding packages update
The Scottish Government will publish a summary of the applications for the newly self-employed hardship fund, pivotal enterprises resilience fund and creative, tourism and hospitality enterprises hardship fund, and the bed and breakfasts hardship fund.
Note: Details of the Coronavirus (COVID-19) business support fund grants (correct to 4 August) can be found online.
The new £1 million Coronavirus (COVID-19) support scheme for self-catering businesses, which opened on 3 August and is being administered by VisitScotland with support from the Association of Scotland’s self-Caterers, has seen 750 downloads of the application guidance document and 250 applications. The fund awards will be allocated on a first come, first served basis. The first 100 applications are being checked now.
The new £14 million hotel recovery programme is being administered by the enterprise agencies and is intended to be live by the end of August. The importance of getting this fund right was noted and the agencies team working on the detail will take into account feedback from industry, learnings from previous funds and try to anticipate all the challenges, all within a very tight timeframe. It was acknowledged that £14 million is not enough and that the projected number of hotels which could be helped by this programme (circa 50-60 hotels) won’t make the difference required, however it was also recognised that the cash pot is not endless.
It was noted that prior to the launch of the new self-catering support scheme and the hotel recovery programme there had been discussions about supporting the coach sector. clarification is sought as to the current position on supporting this sector.
EventScotland and the Scottish Government are currently working on the criteria and eligibility for the recently announced events fund, a report is due on Monday. It is hoped this fund, which aims to support organisers of cultural, community, and sporting events, as well as supply chain firms facing hardship, will be launched soon.
A new £2.2 million support fund for grassroots music venues is expected to launch on 20 August and will have a 10-14 day window for applications. This is a pan Scotland fund intended to keep grassroots music venues alive.
C. Industry update
The announcement of renewed lockdown restrictions in Aberdeen has prompted many questions from businesses. In the first instance businesses should be directed to the available guidance, however if further clarity is required questions are to be channelled through the Scottish Tourism Alliance to the Scottish Government team.
It is suggested that a commonsense approach should be applied when interpreting the guidance.
It was noted that VisitAberdeenshire have paused their marketing activity.
The Scottish Tourism Alliance are running two business surveys this week.
- The new eat out to help out scheme launched on 3 August and the Scottish Tourism Alliance are keen to understand how this initiative is working for businesses and whether it is successfully driving footfall.
- Forward bookings for accommodation providers vary significantly across the sector. This survey looks to capture a snapshot of bookings for August and September / October.
- Both surveys will close on Sunday 9 August. Insights will be shared with partners in the week commencing on 10 August.
It was noted that self-catering bookings still remain strong, however there is a very mixed picture within the hotel sector, Glasgow and Edinburgh occupancy levels remain low at circa 20%, however, there are pockets where some hotels are performing strongly, for example Fort William.
It was highlighted that a simple urban / rural split is not reflective of the current situation, there are rural hotels for example in the Highlands running at circa 20% occupancy and comments have been made that this could be due to negative media coverage for example.
VisitScotland’s industry relationship managers and other VisitScotland colleagues are currently trying to get a picture of the real situation.
D. Scottish tourism recovery task force
The first meeting of the investment working group was held on 3 August.
Action: The stimulating demand working group has requested that STERG provide guidance on destination and sector organisations for consideration in the working group’s submission to the task force
Initial discussion document is to be shared with STERG with a follow up meeting in the week commencing on 17 August. A response is required before the end of August. Highlands & Islands Enterprise is currently preparing a proposal for the CEO and leadership team on regional destination support required for recovery.
The recovery working group continues to develop their recommendations on business and workforce recovery. Three subgroups have been created in order to focus on specific priority areas.
The next meeting of the task force will be held on 20 August. Further details about the task force including minutes and papers can be found on the Scottish Government website.
E. Good to Go scheme / tourism & hospitality guidance
The working group reviewed and updated the STERG action plan as appropriate. A refreshed action plan (4 August) was approved for publication by STERG.
It is noted in the action plan (6.5) that local authorities are undertaking consultations with businesses to aid economic recovery planning. It was highlighted that this information, if consolidated, could help inform the recovery working group.
F. Skills Development Scotland
Currently circa 6,043 businesses in Scotland have signed up to the Good to Go scheme, (30,000 total UK, Scotland has the second highest number of businesses signed up). It was noted that although circa 6,000 have signed up only circa 1,000 businesses have updated their listings on visitscotland.com. All businesses are to be encouraged to update their listings to indicate:
- That they are open and,
- That they’re 'Good to Go' if accreditation has been received
VisitScotland concluded 500 business advice calls last week with businesses to check that everything is ok with the scheme. Businesses with more than one property for example Premiere Inn, are required to apply for accreditation for each individual property to ensure compliance.
At a recent meeting with all the visits two proposals were shared. The first, a consumer facing video to drive the awareness of the Good to Go scheme and the second is an interactive map which could sit on visitscotland.com and which would geographically show who is Good to Go.
It was highlighted that the test & protect procedures across the sector is incredibly variable and that checks are a good thing, there is concern that there could be businesses who gain the accreditation to the Good to Go scheme but then do not put the measures into practice. Cairngorms and Lochaber are currently testing an online app to make the test & protect process easier. Results have been very positive. 5pm have also developed an online solution.
Events and hospitality organisations have been very active recently, despite the inconsistencies at the beginning, Events and hospitality organisations have been great on spot checks.
VisitScotland to check and confirm whether the Events sector guidance could be used as the backdrop to the Good to Go scheme.
G. Business Gateway
Following the publication of the Scottish Governments response to the report by the advisory group on economic recovery’s report and the report by the enterprise and skills strategic Boa sub-group on measures to mitigate the labour market impacts by Coronavirus (COVID-19), Skills Development Scotland are now developing their response.
Skills Development Scotland has published its latest Coronavirus (COVID-19) labour market insights report online.
Partnership action for continuing employment has seen a significant increase in numbers in July: June 284 hospitality workers / 7 hospitality employers, July 930 hospitality workers / 34 hospitality employers
Skills Development Scotland currently discussing how they can contribute to the wrap-around business support and advice being offered as part of the new hotel recovery programme.
Working with the task force recovery working group and members of the national tourism skills group to develop an immediate programme to retain staff who are at risk of redundancy through a package which includes a wage subsidy and a training & development programme. A paper will be presented to the cabinet secretary imminently. Also working on longer term workforce recommendations to support recovery of the sector.
H. Enterprise agencies
To work in closer collaboration with others on the partnership action for continuing employment and resilience support continues. Positive stories have been noted. Furlough has provided time for individuals to be able to work on a business and not in it.
A noticeable increase in interest in start-ups has been recognised as people have had time to consider ideas.
Following the publication of the Scottish Governments response to the report, Business Gateway is working on its response. A couple of problematic areas have been identified so far, conditionality on business support and despite the importance of digital skills and adoption in the report, digital boost, the Business Gateway programme is not mentioned.
Scottish Enterprise working on their response to the Scottish Governments response to the report. More focus on regional development is suggested, this will drive what Scottish Enterprise will do but will not be everything that they will do.
The review led by Nora Senior (chair, enterprise and skills strategic board) was recently published and highlights the positive work done. The report also outlines recommendations for how we could or should engage in the future. All partners should consider this moving forward.
Scottish Enterprise’s account managers are reporting some good news stories particularly around businesses thinking and doing things differently as a result of the crisis. Those businesses who have more of a digital background are seeing good opportunities.
Highlands & Islands Enterprise let’s grow adventure tourism programme was launched on 16 July and will close on 7 August. So far there has been a very positive response. An update will be provided at the next meeting.
Second series of Highlands & Islands enterprise road to recovery podcasts commenced 10 July and completed on 31 July. The podcast series will now take a short break.
I. VisitScotland
Work to begin on visitscotland.org to tidy up the look and feel ensuring the balance of information is right going forward.
J. Scottish Tourism Alliance
The tourism scenario planning programme, an initiative kick started by Gordon Dewar, will begin on 12 August and run until the 9 September. 20 participants will take part representing transport, hospitality, tour operators, visitor attractions, golf tourism & events, marine tourism, business tourism, supply chain, legal and destinations. This work will complement the STERG scenario planning work which is being led by the Scottish Government and VisitScotland as it is intended to be broader in scope and longer in time frame (18 months to five years).
K. Scottish Government
Further announcements to ensure compliance with the tourism and hospitality guidance is possible within the coming days.
L. Redundancy update
An update on redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
7. July 2020
7.5 - Thursday 29 June 2020
Industry update
Scottish Tourism Alliance highlighted:
- Selfcatering still strong.
- Hotel occupancy still challenged with some hotels notably in the cities sitting around 20% on average and smaller hotels still sitting around 35%.
- Visitor Attractions – Association of Scottish Visitor Attractions survey suggests that approx. 60% open by end of the month.
- Restaurants still a bit hit and miss aware of inconsistencies around application of mitigation and adherence to guidance. Suggestion that Environmental Health and Licensing write to their clients reminding them of their responsibilities.
- Not a great picture around Scotland.
- North Coast 500 and issue of wild camping, still a challenge.
Highlands & Islands Enterprise agreed re wild camping, this is the headline in Highlands & Islands Enterprise area, sheer volume of campervans and wild camping on some beaches never seen before this year. A lot of comms issued through various channels so unsure what else can be done to inform / educate those few who are acting irresponsibly and ruining the experience for everyone else.
On a positive note more engaging with Good to Go and eateries diversifying.
South of Scotland Enterprise seeing slow pick up, bed nights are a fraction of what is expected at this time of year. Parts of South West Scotland rely on coach tours, these are non-existent. Local messaging that it’s a slow recovery around hospitality and consistent picture with the rest of Scotland.
SE, echoed the city challenge, hearing from a broad range of businesses, hotels in city
or the attractions, retail, and eateries that they are finding it very difficult, huge drop in numbers and footfall in key streets in Edinburgh down to less than 10% from a normal July. Account managers hearing about redundancies coming through. Still very challenging times.
VisitScotland referred to a note from Scottish Independent Hostels, 86 throughout Scotland, which had been sent to all MSPs with a request for funding but also covering operational issues which made it difficult for many to operate.
Guidance on this hasn’t changed and still stands. First Minster very cautious, not expecting further shift or specific exemptions. On the specific question of funding Scottish Government clarified that this sector wasn’t currently being considered for support. In terms of any further funding for the wider tourism sector, this is being tackled at a UK level, there is nothing further identified at the moment.
Funding update
Two announcements today, one for self-catering and the other for the hotel sector.
Scottish Government updated on the self-catering fund with the £1 million cash limited pot specifically for those that missed out first time round as didn’t meet the 140-day threshold for eligibility of previous grants for 2019/20 season. Being administered by VisitScotland in partnership with Association of Scotland’s Self-Caterers. Will be £10,000 grant to the first 100 business that meet the eligibility criteria.
Hotel recovery programme will be administered via Enterprise agencies in partnership with VisitScotland and STA. Invite expressions of interest towards end of August. The aim is to protect employment/jobs, working with lager hotel businesses. The funding available is £9 million resource and £5 million capital. This represents a move away from hardship into protecting core business across Scotland.
Highlands & Islands Enterprise highlighted a live enquiry regarding the self-catering fund. It was noted the comms will be
issued today and will appear on VisitScotland.org, in the first instance, with the process and application form and will point people in the right direction. Comms out to self-catering database for VisitScotland and Association of Scotland’s Self-Caterers.
Skills Development Scotland – had only seen press release this morning and asked what the mechanism was for Skills Development Scotland involvement regarding providing its support. Scottish Government stated that the aim is for a team Scotland approach, before opening for expressions of interests looking at designing and developing this in next few weeks.
Scottish Tourism Alliance welcomed the news of these funds to protect some jobs, but it is clear that more support is
required from UK Government for a lot of business to survive in the longer term.
Highlands & Islands Enterprise expressed concern that all agencies on front line could get a trickle or flood of enquiries from
businesses and asked that an effort be made to at least provide a more detailed briefing between
now and launch. There is a potential issue for hoteliers who own more than one hotel, but each individual unit has less than 50 employees, although collectively they have more than that employed, the way fund developed at moment makes them ineligible. Anticipate this could possibly be where some complaints/ feedback will come from.
On the issue of hotels that had already accessed funding from other sources, Highlands & Islands Enterprise was aware that nothing excluded an application apart from employee numbers, but in the application form previous funding will be taken into consideration as part of the final decision making.
Scottish Tourism Recovery Task Force (STRT)
First meeting of Investment sub- group to be held on Monday 3 August with supporting economic
papers provided by Sc Govt team. VisitScotland will circulate a copy of the draft note from the last meeting of the stimulating demand subgroup which contains a specific ask of STERG regarding Destinations and set up a separate discussion on how to tackle this as response required by end of August.
Good to Go Scheme / Business re-opening
Currently 5,700 businesses have signed up. Frustration, which also applies to business re-opening, is that they have been slow to update entries on VisitScotland.com. Further comms and chasers being sent next week.
Scottish Tourism Alliance to include chaser comms in next newsletter to members.
STERG action plan
Plan published as agreed on VisitScotland.org. Next week’s meeting will receive first draft of scenario planning work.
Partner updates
Business Gateway | finalising tail end of applications for funds, a lot quieter than it has been.
Skills Development Scotland circulated Labour Market Insights, which is available on website and 74% furloughed highest sector, 45% temporally paused, 90% report decrease in staff working hours. Across sector 59% few that six months survival. Discussion internally about additional £100 million with focus on: Youth Employment Guarantee, COVID specific transition fund, upscaling of PACE, support around apprenticeships.
Scottish Tourism Alliance | mentioned Scenario Planning Programme and that Gordon Dewar is involved. Targeted invite, 10 August, good range of people committed to take part. Feed into and be complementary to wider STERG scenario planning work being led by Sc Govt.
Scottish Government | next review point tomorrow 30 July for potential opening on Friday, potential is around Fun Fairs. Ongoing engagement with the department for digital, culture, media and sport. Scottish Tourism Alliance asked about arcades, pools in resort hotels and weddings. Scottish Government uncertain about content of FM announcement but likely to pursue a very cautious approach. Weddings, being looked at for increasing number of guests, might land in this review point but can’t confirm at moment. Swimming pools, indoor pools under consideration for September.
On Business events STA, referred to a detailed proposal being put forward for the EICC to run potential pilot events. Proposal sent to Fergus Ewing and Fiona Hyslop, asking if due consideration could be given. Scottish Government said the proposal is still live, but reluctance to hold indoor business and live events.
Redundancy update
Agreed that any update on figures would be included on spreadsheet on Karen Christie’s return from annual leave.
Any other business
VisitScotland highlighted an issue in relation to its UK marketing campaign which was due to launch 31 July. Based on guidance received this week from Scottish Govt this has been paused. The focus would have been the English market, the most important domestically.
7.4 - Thursday 22 June 2020
VisitScotland Marketing Update
- Update on all VisitScotland marketing plans over the next few months and latest sentiment analysis tracker with data analysis and interpretation of the tracker results. These are available on VisitScotland.org.
- The main marketing campaign focused on Scotland was launched last week, with the wider UK activity with Ireland launch in the week commencing on 27 July and the international activity on hold until more guidance is received from Scottish Government.
- Marc Crothall asked about Ireland and permission of travel and highlighted concerns re a possible lack of a UK airbridge. This will be checked with the marketing team.
- Scotland is ahead of the game in promoting to the home and domestic markets with no other UK national tourist board doing any marketing activity.
Industry Update
- Scottish Tourism Alliance highlighted the following from recent visits to businesses:
- Hotel occupancy still sitting around 35 – 40% for small/medium category for July and August.
Some anomalies of smaller hotels and some not yet opened.
- Hotels with pools and leisure facilities keen to get clarity on reopening dates
- Wedding receptions – Scottish Government clarity on numbers being sought
- Self catering – strong performance across the country with Supercontrol data showing a 40%
uplift year in year.
- Not been the boom result everyone had hoped for.
- One of the key challenges which remains is for English visitors. Businesses are still experiencing cancellations. Messaging still needs addressed.
- Events advice needed urgently - England announced to 30 people events.
- Still concern as Scottish school holidays coming to an end.
- Ferries, much improved situation, with four week window booking.
- Wild/irresponsible Camping / Campervan concerns, part of broader piece re responsible tourism.
Scottish Tourism Recovery Task Force (STRT)
- Activity of the wider Taskforce with meetings held of 2 subgroups focused on Demand and Recovery. The Investment group is still to meet. The next meeting of the full Task Force will be held on Thursday 20 August. End of August deadline for taking outputs back to Cabinet. Marc’s noted the work of his Recovery working group. Highlighted issues around investment, banks not lending and concern about levels of borrowing.
Tourism and Hospitality Guidance / Good to Go Scheme
- Currently 5,500 businesses in Scotland have signed up to the We’re Good to Go scheme with new entrants being added at around 100 – 150 a day. VisitScotland will continue to encourage businesses to sign up and promote it on business listings on VisitScotland.com. It was noted that there is a comms campaign this week to encourage as it helps get more bookings/business. VisitScotland staff also following up with calls to support businesses.
Funding Packages Update
- Both Hardship and pivotal enterprises resilience fund closed, teams dealing with a number of appeals. Analysis across funds being completed for Scottish Government.
- Local Authority funds update – have until 31 July to tie up any final information and wrapped up by middle of August.
STERG action plan
- Note from last meeting very comprehensive, updated plan now published on VisitScotland.org.
- A work in progress document will be available for comment by STERG in the week commencing on 3 August. A final document will be available to STERG (and the Task Force) in the week commencing on 10 August.
Partner Updates
- Skills Development Scotland updated on employee retention training programme.
- SE focus has been on specific tourism funding – reminder of the Creative Heritage and Cultural funding that Scottish Government has made and benefit of this to tourism.There’s been more business as usual work recently and some big inward investment enquiries over last week for longer term benefit and impact – positive to see. City deal discussions picked back up to try to accelerate tourism investments.
- Highlands & Islands Enterprise launched Community Tourism Leaders programme in partnership with South of Scotland, second cohort looking to launch around September. Let’s Go Adventure programme, Highland region and funded through Highland Region Deal. Some business as usual work coming through. Some work initiated on destinations and their longer-term sustainability.
- Business Gateway seeing continued interest in start-ups, happening a lot quicker as had time to think of ideas. Working with Government and Enterprise agencies on promoting the guidance ‘Promote Support’ second phase coming along. Directing businesses to where to find content guidance i.e. Business Gateway, PACE. Campaign to get back virtually to local offices. Digital Boost about upskilling, budget confirmed. Working with Scottish Enterprise colleagues on early Precede Fund, working closely to get business into this at an early stage. Challenge Fund launched Monday 20 July - promoting to businesses – not aimed too much at tourism side of thing, more technical and innovative.
- VisitScotland marketing film had one million shares on social media which is more than any other film that VisitScotland has sent out. A third of shares by Scots, much higher than usual, so messaging getting across to domestic market for Scots to holiday in Scotland. Anxiety regarding information that visitors are getting when they are here. Not about complaints that business not complying to safety standards, but about littering and some anti English bias.
7.3 - Thursday 16 June 2020
Industry Update
- The Scottish Tourism Alliance council convened on Monday 13 July with the Cabinet Secretary in attendance.
- Marc Crothall highlighted the following observations from visits to businesses on 14 and 15 July.
- Disappointing occupancy rates in Dundee and Edinburgh. There is concern that a reduced proposition within the hotels and in the cities will discourage visits (top visitor attractions currently closed, leisure facilities closed, no weddings or events can take place).
Note: STR occupancy rates Glasgow 5% July, 9% August, 13% September. Edinburgh 7% July, 14% August, 15% Edinburgh.
- Generally many business are still closed, a phased opening over the coming days / weeks is expected.
- Employees are very upbeat and seemed pleased to be back at work.
- PPE being worn by everyone, visors appear to be the preferred option
- Bookings for self-catering accommodation is strong. Visitors are more confident about self-catering, visitors remain anxious about staying in a hotel.
Note: VisitScotland is working with hotel groups (particularly city centre) to see if there’s anything they can do to help.
- The early opening of self-catering accommodation has given a boost to some restaurant businesses offering take away service.
- Visitor numbers at attractions were very low
- In terms of traffic on the west coast, there were no coaches or foreign cars and hardly any caravans or campervans. No signs of wild camping. No unwelcoming signage telling tourists to go home. - It was noted that the ferry situation is now easing both for the west coast and the north coast given the recent changes made by the ferry operators.
- One of the key challenges which remains is the perceived threat of quarantine for English visitors. Businesses are still experiencing cancellations due to this. It was noted that this needs to be addressed.
It was highlighted that the VisitScotland marketing campaign targeting England will be launched on 27 July (subject to approval by the First Minister) and this should help to convey a positive welcoming message and drive demand. A date for Europe / international is TBC and will be subject to First Minister approval. - It was noted that the vast majority of businesses believe that the recent VAT cut to 5% is to help businesses and in the main the majority are holding their prices. Some of the big brands however have reduced their prices e.g. Wetherspoons, Pret and McDonalds.
It is being picked up that there are self-catering accommodation providers who have put their prices up significantly – it was highlighted that this needs to be monitored.
Scottish Tourism Recovery Task Force (STRT)
- The second meeting of the Task Force took place on Friday 10 July. An update from the Demand working group, (led by Malcolm Roughead) and the Recovery working group, (led by Marc Crothall) was provided at this meeting.
The papers and minutes of the meetings will be published on the Scottish Government website. - The next meeting will be held on Thursday 20 August.
- It was noted that the Recovery working group will address business recovery and workforce recovery. In addition, the Recovery working group will address immediate to facilitate recovery now as well as longer term needs to aide recovery over the coming 12 months and beyond.
It was highlighted that a proposal was currently being scoped to address the immediate need to protect the current workforce from displacement and in particular the rising stars of the industry. A paper will be presented to STERG for consideration before it is proposed to the Task Force. - It was noted that the Demand working group should consider other levers for stimulating demand – not just marketing.
Tourism and Hospitality Guidance / Good to Go Scheme
- Further guidance and clarity is urgently required in the following areas:
- Hotel services such as meeting and event space, weddings, health clubs, pools and spas; conference and exhibition centres; night-time economy venues; amusement arcades and major events.
- Extending the reduced physical distancing rule from 2 metres to 1 metres (with the necessary mitigating measures in place) to all other areas of the tourism sector for example visitor attractions, outdoor activity providers, boat operators.
- Consistent interpretation and enforcement of sector guidance across Scotland.
It was advised that guidance for other areas of the tourism sector are with Public health Scotland and that we are waiting on a response.
The Scottish Government team advised that they will liaise with colleagues to understand the progress being made on the 2 metres to 1 metres physical distancing rule. - Currently circa 4,500 businesses in Scotland had signed up to the Good to Go scheme. VisitScotland are encouraging businesses to include the ‘We’re Good to Go’ mark on social media, websites and listings, (including OTA platforms). It is expected that the number of businesses signing up will continue to grow as more and more businesses open. VisitScotland will continue to encourage businesses to sign up to the scheme.
It was highlighted that businesses should also be encouraged to sign up to the ‘Eat Out to Help Out’ scheme, including hotel restaurants.
Funding Packages Update
- The South of Scotland Enterprise Agency advised that they are currently looking at where they could provide assistance to smaller businesses for example, education or business support.
- B&B fund has generally been well received despite the glitches.
- Enterprise agencies and VisitScotland are continuing to work with the Scottish Government on possible options for additional funding support. As yet there is no time frame for any additional funds.
An update on Non-domestic rates grant applications through the local authorities can be found here.
@ 14 July
circa 105,000 applications received
circa 86,000 grants awarded
circa £969 million awarded
STERG action plan
- The refreshed action plan (8 July) was published on VS.org on Monday 13 July.
The next refresh will be published at the beginning of August. - Following the STERG meeting on 9 July the Scenario Planning working group have agreed the next steps on the project, including a revised timeframe for delivery.
A work in progress document will be available for comment by STERG in the week commencing on 3 August. A final document will be available to STERG (and the Task Force) in the week commencing on 10 August.
Redundancy update
An update on redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
VisitScotland update
An update on the community engagement activity being undertaken by VisitScotland will be circulated to STERG next week for information.
Action: Ken Massie to circulate the document to STERG through Riddell Graham.
It was highlighted that there are some brilliant local initiatives going on, which are really good examples of community collaboration e.g. Cairngorms and Orkney. Case study examples can be found on VisitScotland.org.
Travel Tech for Scotland initiative
A pre-launch summary of the new Travel Tech Scotland initiative was circulated to STERG in advance of the STERG meeting for information. This new initiative is expected to launch in mid-August and is intended to support SMEs in the RESTART phase. Progress will be tracked in the STERG action plan .
It was noted that a press release about the new Interface ‘Adopt a Business’ initiative was published this week. Although the deadline for the initiative has past, tourism businesses can still contact Interface about working with academic partners.
Any other business
- Despite the First Minister’s recent announcements it was highlighted that there is still confusion among the general public about Scotland’s position on potential quarantine measures for visitors from England. There is an urgent need for the First Minister to clarify this as soon as possible.
Action: Scottish government team to progress.
Next meeting date
Note: STERG meetings scheduled for Thursday 23 July and Thursday 30 July will now move to Wednesday 22 July and Wednesday 29 July.
7.2 - Thursday 9 June 2020
Scenario Planning – progress update
An update on the scenario planning work was provided by Chris Greenwood.
-The purpose of sharing the progress on the development of the scenario plans is to agree that the work done so far meets STERGs requirements.
- The draft framework which has been developed collaboratively between the Scottish Government, VisitScotland, Highlands & Islands Enterprise, Scottish Enterprise and STA, recommends a set of assumptions and uncertainties which have been used to create 4 scenarios based on consumer demand and capacity to accommodate.
- An initial draft was shared with the Scottish Tourism Consultants Group for external feedback, the draft was then further refined after extensive discussions.
- The recommendation of the working group is to progress with the development of the 4 scenarios unless STERG requires something different.
- The current timeframe for delivery is mid-August.
- Initial scenario planning discussions within the Scottish Government had agreed that the priority was to create a set of planning assumptions and scenarios e.g. best, worst, medium case which would inform the recovery plans and the interventions required.
- Concern was raised over the timescales for delivery as it was hoped that the Task Force could use the scenarios in their work. The Task Force will be submitting their recommendations end of August / beginning of September. It would be useful to have this piece of work earlier than mid August.
- It was agreed that the work completed so far met requirements and that the two variables which address high or low visitor demand and high or low capacity to operate was acceptable. However, it was agreed that the next steps in the development of the scenarios needed to look at a more granular level of detail, i.e. by sub-sector and geography. This information will help drive investment decisions into the right areas.
- Overall the two most important points for the Scottish Government are: 1. Everyone is working to the same set of assumptions. 2. If things don’t go to plan we can begin to put actions or investments in place to mitigate the impact.
- It was noted that although the scenarios would be important for the public sector, it would also be beneficial if they were accessible and useable for businesses.
- Next steps were agreed and summarised as follows:
- Current approach is agreed and should progress
- Narrative for each of the four scenarios will be developed and will now include sector specific / geography specific information
- An economist overlay will provide a view on the economic implications, this won’t be quantitative but should provide a trend e.g. occupancy, employment will decline marginally / decline significantly etc.
- Timescales will be reviewed in order to deliver a document by the end of July, for review by STERG on Thursday 6 August to be confirmed It was highlighted that the document produced by the end of July will act as the foundation for ongoing work, as the situation evolves the document will be updated.
Industry update
- The next Scottish Tourism Alliance council meeting will convene on Monday 13 July with the Cabinet Secretary in attendance.
- Concerns continue over ferry capacity issues and the impact this is having on tourism businesses / local economies on the islands.
- It still remains unclear what businesses will open / will not open on 15th July. The Scottish Tourism Alliance currently have a survey open to capture this data. Insights will be shared once closed.
- Clarity still required on:
- Opening of hotel leisure facilities, spas, swimming pools etc. (It was noted last week that Active Scotland are expected to publish guidance on the opening of pools on 13th July).
- Clarity on any guidelines for weddings / small gatherings / small events, e.g. cap on numbers. In England the guidelines have been quite strict.
Scottish Tourism Recovery Task Force (STRT)
Minutes from the first Task Force meeting on the 25 June were circulated.
- Three workstreams have been created to focus on three priority areas, 1. Stimulating Demand – led by Malcolm Roughead 2. Sector Recovery – led by Marc Crothall 3. Investment – led by Malcolm Buchanan.
- The next meeting of the Task Force will be held on Friday 10 July. An update from the Demand and Recovery workstream will be provided at this meeting.
Tourism and Hospitality Guidance / Good to Go Scheme
- As of 8 July, 3,717 businesses in Scotland had signed up to the Good to Go scheme. Positive feedback has been received from people accessing the portal. The ‘We’re Good to Go’ mark is now being seen on social media, websites and listings.
- It has been noted that there is an inconsistent approach by Environmental Health and Trading Standard to the interpretation and application of the sector guidance. In particular a number of inconsistencies have been picked up across different cities and within the same cities. VisitScotland has picked this up and are dealing directly with the central bodies for Environmental Health and Trading Standards.
Community Engagement and Community Sentiment
- VisitScotland has taken a three tier approach to community engagement. In areas where there are known sensitivities a series of round table webinars have been held with councillors, local community groups, local tourism partners etc. and generally these have been very positive with very few areas of concern. The VisitScotland regional teams have engaged with communities in all areas across Scotland. This activity will be completed at the end of next week.
- The Scottish Government highlighted that they were receiving increasing correspondence particularly from people in England who are saying that they don’t feel welcome in Scotland and are cancelling bookings. The message is that of course people are welcome in Scotland however you should think about whether you want to travel.
- It was noted that VisitScotland messaging echoes the welcome message. It was noted that a number of community groups / destinations have developed their own welcome messages.
- It was highlighted that VisitScotland has developed its own visitor charter and is showcasing case studies on VisitScotland.org.
- Regarding anti-English messaging, IRM’s are not picking up anything significant on this, it would appear that there are a few noisy people on social media who are driving it.
- Key themes for community engagement activity was around basic services, e.g. public toilets, car parking, litter, public realm etc.
- It was noted that HES are expected to announce today what venues will be open and when. It was also noted that the work Association of Scottish Visitor Attractions is doing with the Moffat Centre to map what Visitor Attractions will be open, should be completed and published by the end of next week – this will of course change as time goes on.
- It was highlighted that the First Minister is very concerned about community engagement and it’s very good to hear positive feedback on reopening from the activity that the VisitScotland team has been undertaking. It was noted that it would be useful to share this feedback with Ministers. Action: VisitScotland to prepare a paper on the community engagement feedback for Ministers.
Funding packages update
- The final stages of queries and appeals for the pivotal enterprises resilience fund and the Creative Tourism and Hospitality Enterprises Hardship Fund are in progress and will be completed within the next 7-10 days. A pivotal enterprises resilience fund breakdown is available for STERG. It is expected that the Scottish Government will publish a breakdown of the data relating to these funds, however no publication date is yet known. Action: Aileen Lamb to circulate the pivotal enterprises resilience fund breakdown to the group.
- Enterprise agencies and VisitScotland are working with the Scottish Government on possible options for additional funding support. As yet there is no time frame for any additional funds.
- An update on Non-domestic rates grant applications through the local authorities was provided. circa 101,000 applications received circa 84,000 grants awarded circa £942 million awarded. An update on the newly self-employed hardship fund was provided. - 7,762 applications received - 5,282 grants awarded - £10,564,000 awarded
An update was provided on the B&B Hardship Fund
- 511 applications received - 184 grants awarded - £552,000 awarded It was noted that the Newly Self-Employed Hardship Fund, Small Business Support Grant, Retail, Hospitality, Leisure Support Grant and Bed & Breakfast Hardship Fund will close to applications at 5pm on 10 July.
At a recent meeting of local government representatives and Fiona Hyslop it was highlighted that local government was best placed to deliver a place based response to economic recovery and it was proposed that any underspends could be used flexibly with local businesses, particularly those businesses who continue to fall through the funding gaps.
It was noted that there is no data available for the Creative Tourism and Hospitality Enterprises Hardship Fund.
A question was raised as to whether it was possible to find out the number of self-catering businesses who applied for a grant but were rejected due to the 140 day occupancy rule. It was not known whether that data was available however it would be raised on the project group call later in the afternoon.
STERG action plan
- The working group reviewed and updated the STERG action plan as appropriate. A refreshed action plan (8 July) was approved for publication by STERG. Action: Karen Christie to liaise with the team at VisitScotland on publication.
- The scope of Action 7.3 “Ongoing economic analysis to understand the impact of the COVID-19 crisis across the geography of Scotland and across the sub sectors of the tourism industry.” Is to be progressed by the Scottish Government team.
- It was agreed that the VisitScotland business barometer would be adjusted to capture additional data which could inform recovery.
Redundancy update
- An update on redundancy information was circulated prior to the meeting. No further updates were noted. Confidentiality of this information was assured.
Partner updates Skills Development Scotland
- The recommendations from the Enterprise and Skills Strategic Board on measures to mitigate the impacts of COVID-19 was published on 3 July. SDS, the Scottish Government and Job Centre Plus are currently in discussions about the funding to support the recommendations of the report (as well as the Chancellor’s recent announcement). The funding position should be clearer by the end of July.
Enterprise Agencies
- On 2 July Highlands & Islands Enterprise relaunched the ‘Communities leading in Tourism’ programme. This is a programme to help community development organisations and social enterprises support the recovery of rural Scotland’s tourism sector. People working in community development with an interest in tourism, can apply for one of 15 places on the programme starting in late September and running until December. https://www.hie.co.uk/communitiesleadingintourism
Holiday cover for future meetings
- STERG meetings will continue over the summer period. Substitute representatives from member organisations are welcome.
7.1 - Thursday 2 June 2020
Industry Update
The Scottish Tourism Alliance Destination Members Forum took place on 1st July. A key area of concern that was highlighted and discussed was community engagement and community sentiment – in particular island destinations where media coverage is amplifying concerns e.g. telegraph article on 30 June.
There was an ask for marketing activity to counter the suggestions that visitors are not welcome and that Scotland is shut. Frances Pacitti, Director of Aviation, Maritime, Freight and Canals at Transport Scotland joined the call and took questions specifically relating to the concerns about the ferries. Discussions are continuing off line.
There is increasing news about impending redundancies particularly in smaller businesses. Hotel occupancy is not seeing the expected pick up particularly in some of the larger hotels such as Crieff and Macdonald Hotels – consumer confidence continues to be a concern
It is hoped that the self-catering sector are able to get off to a good start this weekend. The Scottish Tourism Alliance will continue to reinforce messaging around supporting communities and behaving responsibly.
Scottish Tourism Recovery Taskforce (STRT):
The first meeting of the Taskforce took place on 25 June. A formal communication following the meeting is expected – to include members of the Taskforce. Action: Fiona Cook to press for the post meeting communication to be published.
The Taskforce will focus on 3 workstreams, Demand, Recovery and Investment. Output from these workstreams will inform STERG actions.
A section for the Taskforce has been created on VisitScotland.org.
VisitScotland Meeting with Cabinet Secretary and MSPs:
VisitScotland met with 45 MSPs on 1 July. The MSPs in attendance represented all parties and all geographies across Scotland.
VisitScotland provided an update on STERG and shared their Marketing plans. The overarching theme of the meeting was community concerns.
Overall it was a very positive session with a lot of questions raised. The questions raised can be shared with the group as required.
Tourism & Hospitality Guidance / Good to Go Scheme:
Around 2,000 businesses have signed up to the Good to Go scheme across Scotland. circa 900 are self-catering however there is also a good range of hotels, B&Bs, guest houses, pubs and food outlets. A breakdown is available to STERG if required.
The following outstanding concerns on the guidance were raised:
1. Ensuring the consistency of interpretation and application of the guidance by EHO’s across local authorities.
VisitScotland have a direct link to the chief local authority officer coordinating EHOs and will pick this
up.
2. Opening of hotel leisure facilities, spas, swimming pools etc.
- It was noted that Active Scotland are expected to publish guidance on the opening of pools on 13 July.
3. Clarity on any guidelines for weddings / small gatherings / small events, e.g. cap on numbers. In England the guidelines have been quite strict.
4. Greater clarity required on how to deal with visitors / conference delegates / event attendees who are showing signs of COVID-19 either while staying with accommodation providers or attending an event.
This is particularly challenging for island communities, those who have travelled via public transport or
those who live overseas where returning home may not be possible.
This has been highlighted to James Johnston, Scottish Government lead and more specific guidance is expected to be published shortly.
It was noted that the sector guidance is a live document and will continue to change and be updated as frequently as required.
Funding Packages Update
The final stages of applications and appeals for the pivotal enterprises resilience fund and the Creative Tourism and Hospitality Enterprises Hardship Fund are in progress and will be completed imminently.
It is expected that the Scottish Government will publish a breakdown of the data relating to these funds, however no publication date is yet known.
An update on Non-domestic rates grant applications through the local authorities can be found on the Scottish Government website. Read the business support fund grant statistics.
The VisitScotland destination and sector group COVID-19 support scheme has now allocated all funds. 83 organisations received funding totalling circa £520k.
STERG action plan
The updated STERG action plan was published on VisitScotland.org this week.
https://www.visitscotland.org/supporting-your-business/advice/coronavirus/sterg/national-action-plan
It was agreed that the Scottish Enterprise weekly economic reports did not provide a sufficient level of tourism sector information for STERG to address Action 7.3, “Ongoing economic analysis to understand the impact of the COVID-19 crisis across the geography of Scotland and across the sub sectors of the tourism industry.”
It was suggested that the content presented by Kevin Brady and Chris Greenwood at the first Scottish Tourism Recovery Taskforce meeting on 25 June may be more relevant to STERG.
Action: Karen Christie to circulate the presentations provided by Kevin Brady and Chris Greenwood at the first Scottish Tourism Recovery Taskforce meeting for STERG to review.
A working group led by Scottish Government has continued to develop the scenario planning work. The working group are requesting to ‘check in’ with STERG on Thursday 9th July to share the approach taken, the work progressed so far and the anticipated outputs to ensure the work still meets with STERG’s expectation.
Action: Karen Christie to invite Kevin Brady, Scottish Government to join the next STERG meeting on 9 July.
It was agreed that a STERG planning session will be planned for the end of July / beginning of August once the output from the scenario planning work is available and the output from the Taskforce workstreams are known.
The working group will continue to refresh the action plan on a regular basis.
Action: Karen Christie to schedule the STERG planning session (estimated in the week commencing on 13 August).
Scottish Government Update:
Priority continues to be on the questions and issues arising from the Tourism & Hospitality Guidance, in addition there is a focus on the discussions about people entering Scotland and being prepared for the changes that are anticipated to be announced this week by the FM.
Redundancy Update:
An update on redundancy information was circulated prior to the meeting. No further updates were noted.
It was agreed to continue to collate this information while appreciating that it is difficult to ensure it is kept up to date.
Partner Updates:
Enterprise Agencies
Focus remains on getting the funding awards out to businesses as quickly as possible and advising Scottish Government Ministers on funding gaps.
Next meeting date
The next meeting will convene on Thursday 9 July, 11.00am-12.00pm.
6. June 2020
6.4 - Thursday 25 June 2020
A. Scottish Government guidance
The Scottish Government launched the tourism and hospitality sector guidance on 18 June. So far the guidance has been viewed 15,000 times.
VisitScotland’s get tourism ready campaign was launched at the same time to support this guidance. So far the Visitscotland web page has had 10,000 visits.
In addition today saw the launch of the new Good To Go scheme, a UK-wide industry standard and consumer mark designed to give confidence to visitors that businesses are adhering to official government and sectoral guidance.
Since the guidance was launched, one of the primary issues that has arisen is, what happens if someone contracts Coronavirus (COVID-19) when staying with an accommodation provider? What should the business do? What would be the impact on future bookings? Is there a potential risk of closure due to self-isolation?
It was noted that the UK Hospitality guidance was very good and points to NHS advice however further clarity is required. Currently the advice is that if people fall sick while staying in your premises then they should go home so long as it is safe to do so.
It was acknowledged however that if someone gets sick on the islands then it could be very difficult to get home given ferry capacity issues and the ability to self-isolate on board.
The Scottish Government would like to work with industry to come up with a workable solution to address this. Other issues that require further clarity are:
- Wedding receptions and hotel events, is there a cap on the number of people who can attend?
- When can leisure facilities and swimming pools in hotels open
- Guidelines for exclusive use properties and large self-catering properties where multiple families may stay together
B. Advisory group on economic recovery's recommendations report
The Advisory Group on Economic Recovery published it’s recommendations on 22 June. View the publication: 'Towards a Robust, Resilient Wellbeing Economy for Scotland: Report of the Advisory Group on Economic Recovery' at the Scottish Government's website.
The recommendations will be presented to the Cabinet for consideration.
The recommendations will also be presented to the Scottish Tourism Recovery Taskforce for a more detailed consideration with the opportunity to further develop the recommendations in the final
Taskforce report.
It was noted that the three direct references to Tourism within the recommendations are thought to already be underway, namely, to develop a sustainable tourism strategy (Scotland Outlook 2030 – Responsible Tourism for a Sustainable Future, was launched on 4 March), VAT reduction – this is currently a real live issue and a targeted reduction in business rates.
It was noted that Scotland outlook 2030 should be the basis for any future recommendations.
C. STERG action plan
The working group reviewed and updated the STERG action plan as appropriate. A refreshed action plan (23 June) was approved for publication by STERG.
Action: Barbara Clark and Karen Christie to liaise on publication.
It was highlighted that the scope of Action 7.3 “Ongoing economic analysis to understand the impact of the Coronavirus (COVID-19) crisis across the geography of Scotland and across the sub sectors of the tourism industry.” would be reviewed once STERG members had reviewed the weekly economic reports issued by Scottish Enterprise.
Action: STERG members to confirm to Karen Christie whether the Scottish Enterprise weekly economic reports provides
the right level of detail.
The working group reviewed the Toposophy proposal and although well received by all, the group concluded that the recommended headline actions were in the main out of scope, i.e. good proposals
but not immediately relevant to the STERG Restart or Recovery phases. It was noted that the Actions were more suited in the longer term, beyond Recovery. They may fit with the Taskforce agenda.
However they would sit well with Scotland Outlook 2030. A summary of the working group’s conclusions will be prepared.
The Scottish Government and VisitScotland are liaising with members of the working group to develop 6-9 month planning scenarios to help shape the further development of the STERG action plan . These are expected to be available in the week commencing on 13 July.
D. VisitScotland marketing
A webinar was held today with Vicki Miller to share VisitScotland’s new Marketing campaign. Over 200
people joined the webinar which was recorded and will be made available online.
It was agreed that the right level of marketing support to ensure Scotland’s competitiveness was critical and the group questioned whether there was sufficient funding available or whether there should be a request for more.
It was recommended that VisitScotland put in a bid through the normal channels, with the endorsement of STERG, which could allow VisitScotland to seriously upscale activity.
Action: STERG members to feed back any comments on the Marketing plan to Riddell Graham.
E. Scottish tourism recovery taskforce
The Scottish Government have launched details of the new taskforce, which will meet for the first time today (25 June).
The taskforce will be supported by the Scottish Tourism Emergency Response Group (STERG). The taskforce will act as an advisory group with the STERG operating as the delivery arm. The STERG will be responsible for taking forward the agreed recommendations and delivering the Recovery plan.
It is anticipated that the Taskforce will break into 3 different work streams in order to focus on the priority areas where action is required. It is proposed that STERG members will facilitate the workshops to kick this off.
Action: Scottish Government team to clarify the specific role of STERG for the workshops.
F. Industry update
Diageo has recently announced the launch of a new $100m global programme to support pubs and bars to welcome customers back and recover following the COVID-19 pandemic. “Raising the Bar” will be a two-year programme available from July 2020. £4m has been allocated to Scotland.
G. Redundancy update
It was noted that capturing redundancy information would ensure that 1. The Scottish Government were aware of the scale of the situation and 2. Encourage the Enterprise Agencies to feed in to give the wider picture and to provide evidence if required.
It was highlighted that capturing this data was difficult however STERG members would feed in the information that they had.
Recent surveys (STA, Association of Scottish Visitor Attractions, SB&PA) have indicated the potential threat to jobs across the sector.
H. Funding packages update
Pauline Howie, Scottish Enterprise, provided an update to the Scottish Tourism Alliance Council on 23rd June on the latest status of the pivotal enterprises resilience fund and the Creative Tourism and Hospitality Enterprises
Hardship Fund.
- Both funds closed on 18 May.
- All appraisals for both funds are now complete, the only exceptions are outstanding customer enquiries
or appeals.
- All appeals expected to be completed by mid-July.
- All letters to unsuccessful applicants includes a telephone number to enable a follow up call.
- Information regarding the full appraisal process and a list of all successful applicants will be published in due course.
An update on Non-domestic rates grant applications through the local authorities was provided.
- circa 96k applications received
- circa 79k grants awarded
- circa £900m awarded
The new Scottish Government support fund for B&B’s operating from a personal bank account, opened
for applications on 15 June via local authorities, this fund will close on 10 July along with the other Non-domestic rates grants .
It was highlighted that there have been issues with some of the criteria and Scottish
Government colleagues are currently looking at whether a relaxation on some of the criteria would be possible allowing more local authorities to exercise discretion.
I. Partner updates
Business Gateway
Business Gateway ran it’s second back To Business webinar, “Restarting the Tourism Sector in Scotland (panel discussion)” on 24 June, with Hugh Lightbody, Chief Officer Business Gateway National Unit, Anna Miller Head of Tourism, Highlands and Islands Enterprise, Riddell Graham, Director of Industry & Destination Development, VisitScotland and Jemma Reid, Consultant and Project Manager, Midlothian & Borders Tourism Action Group.
The recording can be found on the Business Gateway YouTube site.
J. Next meeting date
The next meeting will convene on Thursday 2 July, 11am - 12pm.
6.3 - Thursday 18 June 2020
Industry Update and Ongoing Concerns
The Scottish Tourism Alliance board met with the Secretary of State for Scotland on 11 June where the urgent need for ongoing long term financial support for the sector was emphasised along with a discussion on the implications of current social distancing guidelines on the viability of many businesses and the impact of reducing the guidelines from 2m to 1m.
Marc Crothall and Stephen Leckie met with the First Minister on 11 June. The First Minister was very empathetic to the challenges being faced by the industry and wants to work with industry to ensure that that businesses can open up as soon as it can. Details of the meeting can be found on the Scottish Tourism Alliance website.
The Scottish Tourism Alliance launched a survey on 16 June to gather data on the potential impact of the 2 metre social distancing rule on restaurants and accommodation providers, in relation to loss of employment and business viability. The survey will close on 21 June and the results will be fed back to the Scottish Government at the beginning of next week and specifically shared with the Cabinet Secretary at the Scottish Tourism Alliance Council meeting on 23 June. Currently there are over 1,000 responses.
This survey will complement the recent survey by the Scottish Beer & Pub Association which covered over 300 pubs and which found that it would not be financially viable for almost nine out of ten landlords to reopen their doors if the two-metre distancing guidelines were still in place – potentially leading to the direct loss of over 23,600 jobs within the trade.
Association of Scottish Visitor Attractions are also running a survey looking at ‘Readiness to “Reopen”, which includes the implications of 2m versus 1m social distancing. This survey will close on 19 June.
The Scottish Tourism Alliance Board and invited leading hoteliers from across Scotland will meet with Fergus Ewing, Cabinet Secretary for Rural Economy and Tourism later today to outline the devastating impact that COVID-19 is having on these larger hotel businesses and what is needed to rescue these businesses for the future.
The threat of large scale redundancy is very real and will continue to rise if consideration is not given to reducing the 2m social distancing guidelines, looking at ways to stimulate consumer demand, (currently these larger hotels are running at circa 6% occupancy across July & August) and addressing the crippling ongoing costs.
It was noted there was some positive news. Auchrannie for example had seen very strong bookings since the announcement last week, however it was highlighted that the ferry issues remain a critical challenge.
The Scottish Government team advised that the ferries was Mr Ewing’s priority and that he was pushing hard with Mr Matheson and Mr Wheelhouse to find solutions. It was also noted that the NC500 is seeing positive movement as is self-catering who have had a strong
boost for July & August post the announcement last week.
Many questions are being raised about the sector guidance, it will be critical therefore to ensure once the guidance is published that the signposting is very clear for businesses on where to go to have their questions answered.
Scottish Government CV-19 tourism and hospitality sector guidance
The tourism and hospitality sector guidance is due to be published today, 18 June. This guidance is overarching in nature and industry will be signposted to sector guidelines for further details.
It is expected that there will be a number of questions raised around whether or not specific activity can take place, a number of examples were identified:
- Functions, e.g. weddings, will there be a cap on numbers?
- Rules for exclusive use houses?
- Opening of public toilets
- Opening of Spas, health clubs etc. in hotels
It was noted that the guidance would be unlikely to give clarity on these points however it was highlighted that there will be guidance on ceremonies and the Scottish Government Route Map should give clarity on this. The mass gatherings and events guidance is due to be published on 26 June.
“Good to Go” Scheme
The VisitScotland Board has approved the “Good to Go” scheme and the Cabinet Secretary has also signed off Scottish Government support for the scheme.
VisitEngland, VisitWales and Tourism Northern Ireland have all signed up and the scheme is due to launch on Tuesday 23 June. VisitScotland will supply the Scottish Guidelines (Scottish Government Guidance and sector guidelines).
It was noted that James Johnston, Scottish Government had done an excellent job with the sector guidance as he had really listened to the needs and concern of industry.
STERG action plan
The latest version of the STERG action plan (dated 12 June) is live on VisitScotland.org.
The working group will meet today to build on and develop the action plan further, taking on board comments from STERG members and a recent proposal from Toposophy. All proposed changes will be presented to STERG for approval.
A first cut of the scenario planning work which is being led by the Scottish Government will be available for review this week. This piece of work will identify a set of core planning assumptions which will inform the STERG action plan .
Members of the new Scottish Tourism Recovery Taskforce will be announced shortly. It is expected that there will be circa 30 members. Action: Scottish Government to circulate the list of members to all STERG members.
It was noted that the Taskforce, chaired by Mr Ewing, will be a high level advisory group while the STERG will be the critical group responsible for delivery.
VisitScotland Update – Community Engagement, Promoting Businesses That Are Open, Marketing Plans
VisitScotland will take a three tier approach to community engagement. The first tier will focus on community hot hotspots with c.6 round table events being held with key community groups and others key stakeholders from the destination.
The next tier will focus on the traditional honey pots with similar round table activity and the final tier reflects the continuous data gathering by the Regional Directors and teams. All activity will kick off in the week commencing on 22 June.
It was noted that community sentiment is changing as we hear more about redundancies and unemployment. There is recognition that there are two sides to the tourism story.
It was highlighted that it was absolutely key to get community engagement activity right.
It was reiterated that the sector Guidance that has been developed is intended to provide reassurance to employees, communities and visitors. It was noted that the guidance has a section about respecting communities and the countryside.
All VisitScotland messaging is intended to provide reassurance to communities and visitors.
A detailed communication plan is in place and covers the following:
- This week will prioritise Scottish Government and sector guidance
- On Monday 22 the focus will be on the community. 5-6 community case studies which demonstrate best practice within destinations will be published.
Also next week the comms will cover the Marketing recovery plan
- Updates to VisitScotland.com to highlight open/closed, good to go will take place in the coming weeks.
- The Marketing recovery plans are currently being finalised and will be circulated when available.
Action: Barbara Clark to send a briefing paper with all VisitScotland activity to Scottish Government.
Funding Packages Update:
pivotal enterprises resilience fund and creative, tourism and hospitality enterprises hardship fund:
- Both funds are closed.
- All pivotal enterprises resilience fund appraisals are now coming to an end. It was noted that Enterprise agency colleagues have been
- working incredibly hard to process all applications.
- The appeals process is open and appeals are beginning to come through. A sectoral breakdown of grants awarded is not yet available.
An update on Non-domestic rates grant applications through the local authorities was provided.
- circa 94k applications received
- circa77k grants awarded
- circa £875m awarded
It was noted that applications have started to rise again, this could be due to the fact that the non-domestic rates based grants will close on 10 July.
The new Scottish Government support fund for B&B’s operating from a personal bank account opened for applications on 15 June via local authorities. So far the uptake has been small.
Action: Hugh Lightbody to update the group next week on progress.
Redundancies
There are many hotel groups currently undergoing consultation. IHG managed, Apex, Crieff Family hotels, Macdonalds, Chardon, Radisson, Marriott with thousands of jobs at risk. There is also a large number of redundancies expected in the Visitor Attraction sector c.3-4k (TBC). One of the largest sectors with jobs at risk was announced by the Scottish Beer & Pub Association 23,600 jobs in pubs across Scotland.
It is recognised that social distancing guidelines does have a part to play, however so does the level of demand from visitors, which is currently very low, (occupancy projections to early next year do not look good), and ongoing costs such as maintaining furlough. It is acknowledged that Ms Hyslop and Ms Forbes have made the case for continued to support to the UK Treasury and there is hope that the Chancellor’s statement (6 July) will have some good news.
It was noted that there is value in collectively capturing the details of consultations / redundancies that are being announced in order to provide evidence to the Scottish Government of the scale of the impact on jobs within the sector.
Action: Karen Christie to create a spreadsheet for partners to capture key redundancy information.
To demonstrate the scale of redundancies partnership action for continuing employment, in April & May dealt with 540 employees across 18 hospitality businesses. Last year partnership action for continuing employment dealt with a total of 631 employees across the whole year.
Any other business
Independent Advisory Group on Economic Recovery (Chaired by Benny Higgins)
- Recommendations due to be presented to Scottish Government on 22 June
- A debate on economic recovery is being planned in the Scottish Government in the week commencing on 22 June, this will be
- an opportunity for all points to be discussed
- It is expected that the recommendations will be published
Business Gateway will be running a webinar, “Restarting the Tourism Sector in Scotland (panel discussion)” on 24 June, with Hugh Lightbody, Chief Officer Business Gateway National Unit, Anna Miller Head of Tourism, Highlands and Islands Enterprise, Riddell Graham, Director of Industry & Destination Development, VisitScotland and Jemma Reid, Consultant and Project Manager, Midlothian & Borders Tourism Action Group. Find out more about the webinar at the Business Gateway event listing.
It was recognised that Jemma Reid, Consultant and Project Manager, Midlothian & Borders Tourism Action Group has been a star in terms of communicating with businesses during this crisis and was a
great example of a Destination Organisation.
VisitScotland Industry Impact Survey
It was acknowledged that there are many industry surveys circulating right now and therefore there was no need for a follow up Industry Impact Survey. However it was agreed that we should continue to
monitor the situation to see when the time could be right.
Next meeting date
The next meeting will convene on Thursday 25 June, 11.00am-12.00pm.
6.2 - Thursday 11 June 2020
A. Industry update and ongoing concerns
The importance of reducing the social distancing guidelines from 2m to 1m, this has a critical impact on the viability of many businesses and also has a significant impact on ferry capacity and therefore our island communities.
Clarity is urgently required on the opening date for pubs and restaurants with outdoor spaces that are identified in phase 2. If the target publication date for the tourism and hospitality sector guidance is 18 June, when can these businesses open? There are many factors to be considered e.g. licensing, planning, access to toilets etc. A statement from the Scottish Government on this is needed quickly.
In phase 3 clarity is required on the reopening of gyms, pools, spas etc, can the full product be opened on 15th July?
Clarity also required on when zoos and safari parks can open in Scotland, in England they can open from 15 June.
An announcement is expected on Friday 12 June in the UK Parliament about English conference centres being re-classified and placed under the same category as pubs, hotels and restaurants in England, differentiating these venues from mass gatherings. Could this also be considered in Scotland?
Overall an opening date is welcomed, however this is only the start of a very long and difficult road ahead. Recent announcements of potential job losses across hotel operators and in the visitor attraction sector is devastating for the ndustry and emphasises the urgent need for ongoing support to ensure the survival of the sector.
The Scottish Government team asked for the issues highlighted to be forwarded to them in order to respond directly. In addition the team advised that the Scottish Government continue to press for furlough extensions as well as a funded sector recovery plan across the UK. Within the Scottish Government there is the ability to tailor support to suit Scottish businesses if the right information is provided.
B. STERG action plan
The working group updated and circulated the action plan for approval at the STERG meeting.
The action plan was approved, however it was agreed that the timing of each of the 4 phases in the plan should mirror the timing of the Scottish Government’s economic response plan. It was agreed that the refreshed plan should be accompanied by a narrative which clearly states that this is not the reopening timetable.
It was recommended that Tracey Martin, Falkirk Council (deputy chair, SLAED tourism group), join the working group as the local authority representative.
The working group will meet in the week commencing on 15 June to build on and develop the action plan further.
C. Tourism and hospitality sector guidance and “Good to Go” Scheme
The STERG sub-group which was recently set up with representatives of a number of sector bodies, met on Friday 5 June with James Johnston, the Scottish Government lead on sector guidelines and three union representatives, to comment on the Scottish Government’s draft tourism and hospitality sector guidance. The target publication date for the final document is 18 June. When published the document will link to the detailed guidelines which have been developed by the different sector bodies.
VisitScotland are working very closely with James Johnston on a communication plan.
The “Good to go” scheme, (an online self-certification platform), developed by VisitEngland, has now been approved by the VisitScotland board. VisitScotland will be discussing the scheme further with VisitEngland, VisitWales and Tourism Northern Ireland on a call this afternoon.
It was noted that the scheme does not yet have approval from the Scottish Government and there was still further questions to be answered before it would be put before ministers for approval.
It was highlighted that industry have been asking for such a scheme and would be very supportive of VisitScotland’s decision to approve.
D. Community engagement
The importance of community engagement is strongly recognised and VisitScotland are developing a plan which addresses this involving the regional VisitScotland teams and keep Scotland beautiful. The plan includes showcasing best practice and already there are many positive examples from different destinations. It was also noted that other islands issues, in particular transport and the positive and negative views from communities will also feed into this plan.
It was acknowledged that there are many differing views towards reopening coming from communities and from tourism businesses themselves and it was noted that there is a lot of activity happening at a local level to address this. However it was stressed that messaging at a local level and a national level should be consistent.
It was suggested that local councillors and the local chambers of commerce have a role to play in community engagement.
It was agreed that securing community support was critical to following the Route map and getting businesses to open safely.
E. Data collection for VisitScotland.com
VisitScotland are undertaking a project to collect information from across Scotland about what tourism businesses will be open and which businesses won’t. This project will also identify which businesses are part of the Good To Go scheme (or similar scheme). This information will then be made visible on VisitScotland.com providing reassurance to both consumers and businesses. An industry communication plan has been developed and is imminent.
F. Funding packages update
Pivotal enterprises resilience fund and creative, tourism and hospitality enterprises hardship fund. Both funds are closed. A review of all Hardship applications is now complete. It was noted some applications which were previously rejected may be reconsidered on the basis of a further review of cash flow statements.
Most applications to the pivotal enterprises resilience fund have now been processed. It was noted that the fund was close to being fully allocated.
All pivotal enterprises resilience fund applicants in the Highlands & Islands Enterprise area, whose application was unsuccessful, now have the opportunity to discuss the reasons why their application was unsuccessful with a Highlands & Islands Enterprise member of staff.
A sectoral breakdown of grants awarded is not yet available.
An update on non-domestic rates grant applications through the local authorities was provided.
- circa 90,500 applications received
- circa 75,000 grants awarded
- circa £848.7 million awarded
The fund for non-domestic rates based grants will close on 10 July. This raised the question as to what would happen to the balance of the funds? Could they be allocated to businesses with a rateable value bigger than £51,000? Could local authorities be given the discretion to do something with the balance? It was noted that there was a project group meeting this afternoon to discuss.
The Scottish Government team advised that all consequentials will go to support businesses and if there is a potential underspend then it is important to pause the funding and evaluate how businesses can best be supported and larger businesses will be part of that discussion. It was noted that some larger businesses were not getting business rate relief or there was confusion over 100% rate relief and grant funding.
It was also noted that a further issue has arisen where businesses with a rateable value bigger than £51,000 have been re-evaluated or are being re-evaluated and now fall under the rateable value of £51,000, will they now be able to apply for the non-domestic rates grants as they will be eligible?
An update on the destination and sector support fund was provided.
- 81 membership organisations were successfully awarded funding
- The successful applicants represent destinations and sectors from all across Scotland
- Every eligible business who applied has received funding
- Unsuccessful applications did not meet the eligibility criteria
- A news release was issued by VisitScotland today with further details
G. Skills Development Scotland
Skills Development Scotland continuing to develop keep the Scotland working response and communicating key messages on evidence gathered.
Key themes being discussed in terms of response to the crisis focusing on protecting apprenticeships, responding to adult unemployment, upskilling and re-skilling the workforce and supporting the further / higher education sectors to deliver in the post-coronavirus (COVID-19) world.
Partnership action for continuing employment's initiative gearing up to respond to large scale redundancies across all sectors.
H. Business Gateway
Primary focus continues to be administering the government support schemes.
There are many local authority meetings taking place right now which are discussing the implications of the reopening of tourism, for example the need for toilets. Local authorities are alert to these needs however the ability to respond is being challenged by the availability of resource as many staff have been redeployed into other areas.
I. Enterprise agencies
Focus continues to be on appraising the remaining applications for the support funds and issuing offers.
Scottish Enterprise's account managers are increasingly dealing with companies who are facing immediate job losses or uncertainty about longer term survival, Scottish Enterprise are trying to support these companies in the best way possible. The question was asked as to whether there was a need to consider capturing this information to inform future interventions?
It was highlighted that it was difficult to collect this type of information in advance, such as consultation announcements, as many businesses do not want to make their future actions public.
It was noted that it was difficult to get a feel for whether businesses would require additional financial support to adapt their businesses in order to operate safely when they reopen. It was acknowledged that some businesses will require support to make the necessary changes to their businesses however it is hoped that grants or loans will have been set aside to cover this. Once the guidance has been published the requirements of businesses will be more apparent.
J. VisitScotland
The VisitScotland communications team is working closely with the Scottish Government tourism team on communications around the B&B fund which will be launched on 15 June, getting tourism ready for reopening and the Good To Go scheme.
Detailed marketing plans have been prepared and will be shared as soon as possible.
K. Next meeting date
The next meeting will convene on Thursday 18 June, 11am - 12pm.
6.1 - Thursday 4 June 2020
A. Islands tourism issues
The impact of reduced ferry capacity, (20% due to social distancing guidelines and wider operational issues), on island communities, has been raised as a significant area of concern this week in numerous meetings, (e.g. Transport Scotland, Outer Hebrides, Arran, Scottish Tourism Alliance Council, Highlands & Islands Enterprise). This impact will not only be felt by island tourism businesses – with visitors unable to reach them, but by all island communities as local economies will be severely impacted.
Highlands & Islands Enterprise is currently engaging with many communities at a local level to understand the most effective way to support these communities.
There is an urgent need for ongoing (financial) support packages for businesses on the islands who feel they are being additionally disadvantaged as the ability to receive visitors could be heavily delayed. Again, there will be a continued push to influence the Scottish Government and UK Government for additional ongoing support. The Tourism ministers from all four nations will meet on 9 June. This will be an opportunity to continue to press on outstanding issues such as financial support, however it was noted that the UK Government have now appeared to have moved on to recovery, whereas in Scotland there is still a need to support businesses in crisis.
B. Tourism and hospitality sector guidance and “Good to Go” scheme
A STERG sub-group has been set up with representatives of a number of sector bodies to feed into the development of the tourism & hospitality sector guidelines. A meeting will be held on Friday 5 June with James Johnston, the Scottish Government lead on sector guidelines to comment on the Scottish Government’s draft guidelines for the tourism and hospitality sector.
VisitEngland, VisitWales and Tourism Northern Ireland have now signed up to the “Good to Go” scheme (online self-certification platform) developed by VisitEngland. VisitScotland and the Scottish Government team are in discussion about what this could look like and how it would work in Scotland. Currently there is no decision in Scotland. A paper in support of the scheme will be presented to the VisitScotland board for approval next week. The scheme has very strong destination and sector support and it would be concerning if a UK wide scheme was not implemented in Scotland.
C. Scottish Tourism Alliance's response to the Advisory Group on Economic Recovery
The Scottish Tourism Alliance submitted a response to the Advisory Group on Economic Recovery on 29 May. It was noted that there was a good number of contributors to the response and contributions ranged from granular local level ideas to strategic, national ideas. An initial presentation by the Advisory Group on Economic Recovery to the Scottish Government will take place in the week commencing on 8th June. The final presentation will be at the end of June.
The Scottish Tourism Alliance submitted a response to the Advisory Group on Economic Recovery on 29 May. It was noted that there was a good number of contributors to the response and contributions ranged from granular local level ideas to strategic, national ideas. An initial presentation by the Advisory Group on Economic Recovery to the Scottish Government will take place in the week commencing on 8 June. The final presentation will be at the end of June.
D. Scotland outlook 2030 – Coronavirus (COVID-19) overlay
A temporary STERG sub-group was set up with agency and industry representatives, to conduct a preliminary assessment of the impact of Coronavirus (COVID-19) on Scotland outlook 2030. This assessment was requested by the Advisory Group on Economic Recovery and was submitted with the Scottish Tourism Alliance response on 29 May.
The detailed findings from the assessment (which reviewed our commitments and our actions) will now inform the further development of the STERG action plan.
E. STERG action plan
The STERG action plan should be reviewed and the status updated regularly to ensure that it remains a live document. STERG will approve any updates and changes at the weekly meeting.
The STERG sub-group which has been set up to manage the action plan will meet regularly to ensure the ongoing development of the plan. There are three strands of work which will feed into these meetings
- A review by toposophy of all content generated for the Advisory Group on Economic Recovery submissions (Scottish Tourism Alliance response and outlook 2030 assessment
- Light touch scenario work which the Scottish Government are leading on and which the Tourism Consultants Network will contribute towards
- Output from the Ewan Mearns (Scottish Enterprise) scenario planning work
It was noted that the STERG action plan will be a key document for the new Recovery Task Force and therefore it was essential that it should reflect all of the work that is going on.
The STERG action plan is a four-phased plan which has been running from March 2020 until December 2022 and is intended to respond to current issues, to support the sector to reset and prepare for reopening once lockdown restrictions are eased, to support the sector to restart ensuring a safe reopening which is compliant and finally to look at how the sector may recover.
Tourism and hospitality businesses need as much notice as possible to reopen, for some they could require 2-3 weeks to get ready if they need to for example reinstate and train the workforce, reactivate the supply chain etc. Clarity on dates would greatly help.
It was reiterated in the meeting that no dates have been set by the Scottish Government for the reopening of Tourism & Hospitality business. The Route Map gives an indication of which phase certain types of businesses may be able to open. In phase 2, “Pubs and restaurants can open outdoor spaces with physical distancing and increased hygiene routines”. However, for most tourism and hospitality businesses it will be phase 3 before they can open. It was highlighted that the 18 June, which is the date for the next review, has been mistakenly taken as the start of phase 2, this is not the case. The date for moving into phase 2 has still to be confirmed.
The target publication date for the Scottish Government's tourism and hospitality guidelines is 18 June.
F. Funding Packages Update
The enterprise agencies are continuing to work through all applications for the pivotal enterprises resilience fund and hardship fund as quickly as possible and continue to deal with enquiries from businesses which range from technical system issues to the reasons why an application has been declined.
The enterprise agencies are keen to work with businesses who have been unsuccessful in their applications to see what other support is available, however this process may take time.
An update on the destination and sector support fund was provided:
- 99 applications were received from destinations and sectors all across Scotland
- All applications have been processed
- Offers will be made to successful applicants by 5 June
- For those applicants who have not been successful an explanation as to why the application was rejected will be provided
An appeal process is in place.
G. Partner updates
Community reassurance continues to be highlighted as a concern. Tourism businesses and destinations are keen to align with communities on reopening. It would be beneficial to get more of an understanding of this. The intelligence being gathered by VisitScotland on community sentiment is currently being updated and will be shared with STERG.
H. Skills Development Scotland
The impact of the Coronavirus (COVID-19) crisis on modern apprentices is seriously concerning and there are many discussions taking place to look at how this can be addressed. Skills Development Scotland have launched funding support for training providers to prevent them from business failure.
I. VisitScotland
The VisitScotland communications team is working closely with the Scottish Government tourism team on communications around the guidance for hygiene and restarting.
The STERG action plan has been downloaded 1,500 times.
J. Scottish Government
The Scottish Government continue to look at the budget and the best use of the consequentials to address the funding gaps in the sector. A call is taking place on 4 June with Ms Forbes, Ms Hyslop and Mr Ewing to discuss.
K. Scottish Tourism Alliance
The most recent Scottish Tourism Alliance council meeting took place on Tuesday 2 June and was attended by cabinet secretary, Mr Ewing.
The UK Visitor Economy Working Group met yesterday at which the updated visitor economy draft guidance and the hotels and accommodation guidance, put forward by the department for digital, culture, media and sport were discussed and agreed in principle. It is understood that the target date for publishing Scotland’s guideline is 18 June.
A meeting is scheduled on 4 June with Ian Stewart MP, the newly appointed minister at the Scotland Office.
5. May 2020
5.4 - Thursday 28 May 2020
A. Scottish Government route map
A meeting of the economy ministers will take place on 29 May focused on restart and recovery. A phased plan for restart, (with proposed timings) and based on the Scottish Government route map, will be presented at this meeting. A number of unanswered questions from industry were raised regarding the route map and it was made clear that the STERG group will be working with the Scottish Government to provide answers.
B. VisitEngland’s good to go scheme
It has been confirmed that VisitEngland are no longer developing a kite mark for compliance with industry guidelines, instead, an online self-certification is proposed with a backup call centre facility.
In Scotland, the guidelines will have a Scottish flavour even although they are UK wide standards and will be backed up by spot checks. Initial thinking has been shared with Association of Scotland’s Self-Caterers, UK Hospitality, Association of Scottish Visitor Attractions and Wild Scotland. Details of how the scheme could be set up in Scotland and how it could be funded is to be agreed, further information will be shared when available.
C. STERG action plan
The STERG action plan was published by VisitScotland on Tuesday 26 May and has been shared and supported by all STERG members.
So far there have been 2,000 views of the plan and 500 downloads. Initial feedback has indicated that the plan has been received positively and has helped to address a number of questions.
It has also been acknowledged that the plan continues to be work in progress. It is proposed that the plan is reviewed and updated in the week commencing on 8 June by the working group when it is expected that the initial light touch scenario planning work will be available.
An announcement will be made by the Scottish Government on 10 June about the tourism task force which will drive the recovery phase of the plan.
D. Funding packages update
The demand for both the pivotal enterprises resilience fund and the creative, tourism and hospitality enterprises hardship fund has been significant. All attention is now focussed on the process of appraising, approving and making offers to successful applicants. It was noted, however, that money is flowing through the system.
In response to the large number of applicants who have been unsuccessful in their application and to address the lack of feedback being received by the applicants, additional resource has now been allocated to manage this.
A survey has been issued, asking businesses with a rateable value >£51k how they performed in the funds that they applied for. Findings will be presented back to the tourism minister, government and agency officials on 2 June.
It was highlighted that the process was supposed to take ten days and we are now approaching the end of the month when businesses will need to pay rent, payroll et cetera, many businesses would have been expecting to have the money by now in order to meet their commitments.
A possible phase 3 of funding is being discussed with the cabinet secretary, at this point there are no details available.
An update on the destination and sector support fund was provided. 98 applications were received from destinations and sectors all across Scotland. All applications have been processed. Offers will be made to successful applicants in the week commencing on 1 June. Applicants who have not been successful will be notified in the week commencing on 1 June. An explanation as to why the application was rejected will be provided. An appeal process is in place.
E. Enterprise agencies
Current focus is processing the applications received for the pivotal enterprises resilience fund and the creative, tourism and hospitality enterprises hardship fund.
F. Business Gateway
Primary focus is administering the government support schemes. A Convention of Scottish Local Authorities special interest group has been set up to look at the role of local government moving forward and what should change.
G. Skills Development Scotland
A new report, Keep Scotland Working, is due to be published in the next couple of weeks. The report is a discussion paper which will propose a possible framework of actions to inform skills and learning policy and supports the four stage economic plan (the four Rs).
H. Scottish Tourism Alliance
The next Scottish Tourism Alliance Council meeting will take place on Tuesday 2 June and will be attended by cabinet secretary, Mr Ewing. The Scottish Tourism Alliance submission to the independent advisory group on economic recovery is awaiting final Scottish Tourism Alliance
board approval.
The Scotland Outlook 2030 COVID-19 overlay (as requested by the advisory group) will accompany the Scottish Tourism Alliance's submission. A draft has been circulated to the STERG working group for comments and approval.
5.3 - Thursday 21 May 2020
A. STERG national action plan
The action plan is an evolving document and will continue to be informed by the latest data, insights and government updates. The restart phase will be a particular area of focus. The first minister’s announcement set out a route map with a number of different phases which will be triggered by the ongoing review of the R-number. Tourism is still aggregated together and there is a priority action to make recommendations to the cabinet secretary on what a phased reopening of the sector may look like. Please read the the plan on visitscotland.org.
B. Preparing for opening
The UK Coronavirus (COVID-19) recovery protocols, which is a set of industry led standards and protocols to ensure the safe reopening for both staff and customers, has now been put forward to the UK and Scottish Government. This document is intended as a guide to businesses to prepare their own risk assessments and operational plans. It was noted that good progress is being made in the outdoor sector with many sub sector bodies collaborating to produce a set of recommendations. The challenge continues to be timing and having sight of a possible timeline.
C. Scenario planning
It has been agreed that a set of light touch scenarios will be available by the first week of June to further inform the continued development of the STERG action plan. It was also agreed that this will be developed further afterwards.
D. Funding packages update
Both the pivotal enterprises resilience fund and the creative, tourism and hospitality enterprises hardship fund are now closed. A significant volume of applications were received for both and the focus is on turning around the appraisals as quickly as possible. There will be a good number of tourism businesses who will be successful, however, there will also be a large percentage not successful. For those businesses, a follow up process will be communicated and this can be found on the website of findbusinesssupport.
Grant applications through the local authorities are circa 82,000 applications received, circa 65,000 grants awarded and circa £741 million awarded. The destination and sector support fund had 65 applications. There will be an announcement in the week commencing on 1 June.
E. Business Gateway
A number of mental health webinars for business owners, managers and employees have been held this week reflecting mental health week. Beginning to see start-up activity.
F. Skills Development Scotland
Support continues for the expanded careers information. Advice and guidance resources are available to support people whose work or learning has been impacted by Coronavirus (COVID-19). Focus shifting to feeding in ideas for longer term support.
G. Scottish Tourism Alliance
Continuing to push for financial support for businesses who have not been eligible for any funding packages. Recent announcements of significant redundancies in the sector will be accentuated further if no dates are available for reopening.
H. VisitScotland
Work is continuing to track community sentiment across all regions of Scotland. Analysis so far is very good and is providing a good snapshot of what communities are saying.
5.2 - Thursday 14 May 2020
A. Scenario planning
The Scottish Government team advised that due to the substantive nature of the scenario planning work that has been requested by STERG, additional time would be required to complete it. An estimated delivery date would be June for the 12 to 18 month scenarios.
B. National action plan
Reviewing and updating the four phases of the action plan; respond, reset, restart and recover. The need to share the plan as soon as possible was discussed and it was agreed the latest version would be reviewed at the next STERG meeting on 21 May with a view to publishing soon after. The plan is a live evolving document and will be reviewed / updated on an ongoing basis. The next full review will take place in the week commencing on 1 June.
C. Destination and sector support
The closing date for applications is Friday 22 May. So far 39 applications have been received.
D. Preparing for opening
There is still a desire to take a UK wide approach. UK Hospitality has developed an extensive set of industry led protocols to ensure the safe reopening for both staff and customers. The final proposal, which are intended as a guide to businesses on which to prepare their own risk assessments and operational plans, will be presented to the UK Hospitality board for sign off on 15 May and then to the UK government and Scottish Government in the week commencing on 18 May.
The industry sectors included cover are:
- Hotels and accommodation
- Pubs and bars
- Cafes and coffee shops
- Quick service restaurants
- Food service
- Late night venues
- Visitor attractions
If approved, this could be seen as the blueprint which can be adopted UK wide. VisitScotland will support with the communication of the new protocols once approved by government and the health and safety executive and will look to create an industry friendly version.
E. Community concerns
There are communities who are not yet ready to welcome visitors. There is concern as to whether community sentiment is being taken into account when industry or Scottish Government guidelines are being issued for reopening. The group agreed any guidance issued should be accompanied by a supporting communication which clearly highlights that communities are one of the key considerations when planning to reopen.
F. Funding packages update
The pivotal enterprises resilience fund and the creative, tourism and hospitality enterprises hardship fund will close on Monday 18 May. An update on grant applications through the local authorities was provided. Circa 78,000 applications received, circa 59,000 grants awarded and circa £679 million awarded.
G. Scottish Government
The Scottish Government informed the group that there are currently three core work streams underway tasked at looking at recovery:
- Economic recovery (which the national recovery advisory group is aligned to)
- Green recovery
- Renew project
H. Skills Development Scotland
Expanded careers information is launched. Advice and guidance resources to support people whose work or learning has been impacted by Coronavirus (COVID-19) provided. Partnership action for continuing employment toolkit launched to raise awareness of redundancy support.
I. Scottish Tourism Alliance
The media have picked up on the announcement from the UK Government on the creation of UK task forces and are asking if the Scottish Government will have equivalent task forces. The food tourism board is restructuring to provide a tighter recovery working group to work on an action plan. Recent conversations have highlighted that as lockdown restrictions begin to relax the importance of achieving a balance between trying to optimise outdoor spaces for the provision of hospitality experiences whilst being sensitive to landowners and communities will be critical.
J. VisitScotland
On Tuesday 12 May, Riddell Graham led the first in a series of VisitScotland webinars. The first webinar focused on the recovery of tourism. There were many questions asked during the webinar however the top 3 areas of concern were, training, cleaning and hygiene, and communities. The complete Q&A document and film can be found on visitScotland.org.
5.1 - Thursday 7 May 2020
A. Scenario planning
There is an update on the scenario planning proposal, outlining a draft framework and a set of outcomes. It is proposed the first high level analysis will be available at the end of May.
B. VisitScotland industry survey
The preference would be to collate and analyse the results from the many industry surveys that are going on right now before going ahead and issuing a further industry survey.
C. STERG action plan
The next review of the STERG restart and recover plan would be at the end of May. In the meantime, it was agreed that all partners would review the latest version of the action plans and update as appropriate.
D. Independent advisory group on economic recovery
Scottish Tourism Alliance met to hear the groups brief and its invitation to industry to come forward with radical ideas that would kick start and accelerate economic recovery through Tourism in a world after Coronavirus (COVID-19), that is to say 2021 and beyond. The advisory group will present their findings and recommendations at the end of June to the first minister and therefore the Scottish Tourism Alliance have agreed to provide a coordinated response by 28 May.
E. Destination and sector support
VisitScotland's COVID-19 destination and sector support fund launched. The fund provides financial help to tourism destination and sector organisations across Scotland. Over £400,000 is available. Closing date for applications is Friday 22 May.
F. Preparing for opening
An industry meeting was held on 6 May to discuss what coming out of lockdown will mean for business operations and the customer, primarily in terms of guidance for social distancing, cleaning and hygiene. Six industry representatives attended as well as representatives from the Scottish Tourism Alliance, the Scottish Government, VisitScotland and the Convention of Scottish Local Authorities.
There is clearly a lot of guidance out there being developed, and which can be drawn on. The ideal would be to collate existing materials and put together a coordinated Scottish proposal to take to the Scottish Government for sign off. There was a clear consensus from the meeting that a UK wide approach was the recommended way forward.
G. Funding packages update
The pivotal enterprises resilience fund is on hold until the week commencing on 11 May, however, the creative, tourism and hospitality enterprise hardship fund remains open. The eligibility criteria for the newly self-employed hardship fund is deemed to have too many restrictions and caveats. Applications for multiple property grants through the local authorities opens 5 May 2020. The additional £617 million grant support announced by the UK Government, should result in circa £60 million in consequentials for Scotland. There is currently no firm plan on what the £60 million will be used for in Scotland.
H. Community concerns over exposure to Coronavirus (COVID-19) from visitors
VisitScotland, the Highlands & Islands Enterprise and the Scottish Tourism Alliance are all receiving reports from tourism businesses about negative community sentiment. Destinations are doing what they can do to manage this, however, there is a need for additional support.
4. April 2020
4.5 - Thursday 30 April 2020
A. STERG national action plan
The group discussed and agreed that a small sub group should be set up to develop the restart and recover sections of the action plan at pace.
B. Scenario planning
Broad parameters discussed. The purpose is to consider the implications of different options on Scottish tourism that may apply once we move out of the recovery stage. The scenarios should also identify and inform potential future market failure or opportunity within the sector and finally should help inform policy and future interventions. The scenarios will aim to inform a very broad range of activity form granular interventions to the national tourism strategy, Scotland Outlook 2030.
C. VisitScotland industry survey
The group discussed whether another industry survey should be run in May. Agreed there would be value, however, questions should be revised. Concern raised that the industry was at risk of survey fatigue. Agreed there would be value in understanding the results from all of these surveys as it could inform the direction of the next VisitScotland survey.
D. Destination support
The eligibility of destination management organisations for either the creative, tourism and hospitality enterprises hardship fund or the pivotal enterprises resilience fund was discussed. It was suggested that they should be eligible to apply to either, however, clarity required. It was noted they would not be able to apply for both. Future sustainability of destination management organisations is a key issue to be addressed, there is a need to understand how the STERG will feed into this discussion.
E. STERG members
Discussed value in extending membership of the STERG to representatives of other organisations. It was agreed there was not a need for that, at this point in time, as the group had to remain tight to operate efficiently. However, there would be great value in inviting other representatives to become part of the sub groups who will develop the action plan.
F. Scottish Government £100 million business support programme
Grant support launched. Events identified as a potential gap as it doesn’t have a SIC code. There is work ongoing to resolve this.
G. Preparing for opening
A lot of work going on across a number of organisations to develop their own guidance for social distancing and for cleaning and hygiene. Concern that if it is not coordinated, it will lead to overlap, duplication and confusion.
H. Industry update
The Scottish Tourism Alliance, in partnership with a number of other trade bodies, are putting forward a case to the treasury for the support of businesses with a rateable value >£51,000. The hibernation costs being incurred by circa 2,400 businesses in Scotland are significant and these businesses need to be protected if they are to survive.
I. Skills Development Scotland
New online learning portal for furlough workers now available. Ramped up partnership action for continuing employment service now live.
J. Enterprise Agencies
New tune into tourism podcasts from Highlands & Islands Enterprise will start on 8 May and run for four weeks. This is an easily digestible platform for topical news and discussion, focusing on the recovery of the tourism industry across Scotland. The communities fund being administered by Highlands & Islands Enterprise has now approved 114 applications and awarded circa £2.5 million. The focus of this fund is to support communities impacted by Coronavirus (COVID-19).
K. Business Gateway
76,000 grant applications have been received by local authorities, 45,000 grants were awarded and £526 million has been awarded.
4.4 - Thursday 23 April 2020
A. STERG national action plan
Phase 1 (respond) and phase 2 (reset) were both approved for publication. The response and reset action plan was made live on visitScotland.org on Friday 24 April and shared by all partners. It was agreed that further work was required on phase 3 (restart) and phase 4 (recover). In the first instance, the group should review the existing plan and consider the additional content required for discussion at the next STERG meeting on 30 April.
B. Communication
It was agreed that VisitScotland is the main channel for STERG communications with all partners sharing content.
C. Scenario planning
It was noted that the current social distancing survey which the Scottish Tourism Alliance is collating and the responses to the pathways to recovery consultation will provide industry insight. The importance of ensuring that all the dots are joined in the scenario planning and that recovery work was highlighted. The Scottish Government confirmed that the scenario planning work will dovetail into the work being done by others, for example by the national recovery advisory group. Paul McCafferty confirmed that following further discussions with the Scottish tourism consultants network. A new proposal was being prepared in response to the STERG requirements.
D. Support for destinations
Two papers were circulated to STERG:
- A summary of the results from the destinations / sectors survey (and based on those survey results),
- A draft proposal of support options for these organisations.
The Group agreed that long term sustainability also needed to be considered, however, that should be done in the context of a very different future tourism landscape.
E. New funding package
General feedback from the Scottish Tourism Alliance council meeting on 22 April was that the additional support was welcomed, however, the reality is that there is only a limited pot to go around. It was suggested and agreed that a simple, factual Q&A document be pulled together and issued by the STERG outlining the financial packages that are available and who is eligible to apply for them. This will provide transparency of the support being made available. Clarity on the eligibility of Events for these funds is required.
F. Preparing for reopening
The Scottish Government advised that the first minister was publishing initial thoughts on social distancing. It was noted that this was not yet at sector level, however, the Scottish Government tourism team are keen to work with STERG and the industry to draft these. The responses from a social distancing survey sent by the Scottish Tourism Alliance are now being consolidated for submission to the Tourism Industry Council.
4.3 - Thursday 16 April 2020
STERG national action plan: It was agreed that the action plan be revised into four phases to mirror the language being used with the Scottish Government, the Enterprise agencies and other sectors of the economy. 1. Respond 2. Reset 3. Restart 4. Recover.
Scenario planning: The Scottish Government explained that the scenario planning in this instance was focused on informing the longer-term recovery. It was agreed that once the initial conversations with the various individuals / organisations who have offered support have taken place, a proposal should be put forward to the STERG.
Restart phase: The group discussed the restart phase and it was acknowledged that there was much uncertainty around the timing of this and what it could potentially look like.
Scottish Government update - additional Support for Business: confirmed there was a lot of detail to be worked through and that this will be forthcoming over the next few days, however at the moment it’s still work in progress. Acknowledged the frustration and advised that work was progressing at speed to provide the detail required.
VisitScotland update - support for Destination Organisations and Sector Groups: issued a survey to 65 organisations with the purpose of understanding the scale of the impact being felt by these organisations. Survey closed on 15 April with 38 responses. The group agreed that there were two clear needs to be addressed: 1. The immediate response to ensure survival and 2. The longer-term sustainability issue. Analysis of the responses will take place over the next few days and results and initial recommendations shared at next STERG meeting.
Industry update from Scottish Tourism Alliance: Scottish Tourism Alliance Council meeting held 14 April, minutes available on Scottish Tourism Alliance website. Regarding the Scottish Government announcement outlining a further £220 million support, there’s been a lot of positivity, however it’s critical the criteria for the application process is quickly detailed and shared. The extension of the Coronavirus Job Retention Scheme cut-off date is welcomed but there’s still issues. Many businesses still waiting for cash to flow through the system, it’s hoped furlough payments, due at the end of April, will help. Big outstanding question around planning for recovery and many businesses have highlighted the need for the government to give as much notice as possible so they can start to plan.
Business Gateway update: On 6 April 50,000 grant applications had been received by local authorities, 10,000 had been processed, 7,500 were approved and received grants, the remaining were either on hold or rejected. Of the 7,500 grants awarded £88.6 million went out into the local economies. Concern across the Business Gateway network is clarity on the guidance.
Skills Development Scotland: A recent update was issued widely on the Skills Development Scotland response to the coronavirus (COVID-19) crisis. My World of Work Job Hub continues to develop daily. Currently looking at whether partnership action for continuing employment requires a sector specific response.
Enterprise Agencies: South of Scotland Enterprise working on possible grant options to support anyone who is continuing to fall through the gaps in the government support packages that are available. Highlands & Islands Enterprise working with the Scottish Government on the Rural Communities fund and on the Rural & Island Recovery approach. Continuing business support and data and intelligence gathering.
4.2 - Thursday 9 April 2020
A. VisitScotland Coronavirus (COVID-19) tourism industry survey
The next survey will be run at the end of April at the earliest to give time for funding to flow to businesses. Arrangements will be made separately to accommodate medium and large businesses by working closely with the Scottish Tourism Alliance. The objectives of the next survey, and the questions, still need to be agreed.
B. Industry update from the Scottish Tourism Alliance
The Scottish Tourism Alliance council meeting with the cabinet secretary was held on 8 April and the minute from the meeting captures the latest industry situation. No further update.
It was also discussed whether the STERG should submit a Scottish tourism response to the new house of commons inquiry, "impact of COVID-19 on the department for digital, culture, media and sport's sectors’.
C. Support for destination organisations and sector groups
A survey was sent to 65 organisations with the purpose of understanding the scale of the impact being felt be these organisations. The survey will close on Wednesday 15 April. Results and recommended actions will be shared as soon as possible.
D. Business Gateway
£50,000 grant applications have been received by local authorities, several thousand have now been processed and tens of millions has gone out into the local economies.
E. Skills Development Scotland
There has been a focus on individual support through online and remote solutions. Continuing to gather data to inform responses.
F. Enterprise Agencies
Focus continues to be on the Coronavirus (COVID-19) response. Reviewing budget allocations to divert to the Coronavirus (COVID-19) response. The helpline is working effectively and continues to receive a high volume of calls. They continue the collection of data and intelligence. Highlands & Islands Enterprise in contact with all account managed accounts to get an understanding of the impacts being felt and how support is being accessed.
G. VisitScotland
All communications are being welcomed by businesses. Continuing to see correspondence from people who are still falling through the support gap. Generally people are pleased to be getting the information, however some are still not getting the information and support that they want.
H. STERG national action plan
The draft STERG action plan was reviewed and all required changes were noted and summarised in the plan document.
It was agreed these two points should be kept in mind:
- We do not lose connection with the new national tourism strategy, Scotland Outlook 2030
- Does the plan respond at the level of scale required given the devastating impact that Coronavirus (COVID-19) could have on the sector.
The intention was to share the plan widely after the 9 April meeting, however, this has been postponed to allow for further amends.
The current draft of the action plan is split into three phases; 1. React, 2. stabalise, and 3. recover. Consideration to be given to respond, reset, restart, recover, which may be used by other sectors of the economy. The Scottish Government are to advise on language being used by the economy team. STERG are to adopt the same language.
4.1 - Thursday 2 April 2020
A. VisitScotland Coronavirus (COVID-19) tourism industry survey
People can read the publication of the wave 2 results on visitscotland.org. It was agreed that the report provides an excellent picture of the current industry situation which can inform the Scottish and UK Governments. It was agreed that the survey should continue. Survey questions will be reviewed and we will prepare a new proposal for agreement by the STERG.
B. Industry update from the Scottish Tourism Alliance: priority issues for industry and tourism businesses that currently fall between the gap of support have already been announced. There are still a variety of tourism businesses who are unable or eligible to benefit from government support packages of the self-employment support allowance. A number of different tourism operators still need consideration and clarity on the criteria for this scheme. The need for flexibility of furlough within the job retention scheme is a necessity. There are concerns around the eligibility criteria for access to the grant funding scheme for self-caterers in particular about the definition of the income criteria.
C. Enterprise Agencies
The organisational focus is on the Coronavirus (COVID-19) response. The helpline is working effectively and continues to receive a high volume of calls. People can read about continued data and intelligence gathering, consistent messaging and signposting on the Scottish Government website. Scottish Enterprise are continuing to facilitate peer to peer support, for example digital learning platforms, agritourism and a new Glasgow platform. Services are being transferred online where appropriate. There is engagement with partners and stakeholders to ensure a collaborative response.
D. Skills Development Scotland
Developing a tailored online and telephone advice and guidance service for individuals impacted by the crisis. Re-deploying staff to support the partnership action for continuing employment's redundancy service. New web facility launched for people who have lost their job due to Coronavirus (COVID-19), and employers who wish to recruit. It will match people who have lost work with jobs in sectors currently in need of staff. Developing a real time dashboard on the impact of Coronavirus (COVID-19). Engaging with partners to gather insight. Responding to companies in distress.
E. VisitScotland
Industry facing staff moving from reactive phase to proactive phase speaking directly to businesses. Concern raised that there are some businesses not aware of the sources of advice or support available. Providing marketing support and advice to destination and sector organisations as appropriate. Ongoing concerns around events industry being expressed by the events directorate. The Scottish Government will follow up directly.
F. Managing Issues
Concerns and support requirements from tourism businesses continue an effective dialogue between industry and government. STERG must issue guidance to sector and destination organisations on the most effective way to capture and represent input from industry.
G. STERG national action plan
A revised version of the action plan was circulated to the STERG in advance of the meeting. It was agreed that further work was required to ensure all actions are robust, clear and concise with lead organisations identified. The intention is to share the plan widely after the next STERG meeting on 9 April.
H. Support for destination organisations and sector groups
VisitScotland shared a draft paper which looks at addressing the need for developing a destination / sector organisation support package as part of a coordinated public sector response to Coronavirus (COVID-19). All agreed that this should be explored further.
3. March 2020
3.3 - Thursday 26 March 2020
A. VisitScotland Coronavirus (COVID-19) tourism industry survey
Wave two ends at 12pm on Monday 30 March.
B. Industry update from the Scottish Tourism Alliance
The most significant shift in the last 24 hours has been the impact of cancellations by online travel agencies and refunds activity on businesses cash availability (for example Booking.com). Cabinet secretary, Mr Ewing, and government officials have been briefed on this issue and will feed into government discussions.
The Scottish Tourism Alliance highlighted priority issues were outlined. Urgent clarity sought on furlough, support for the self-employed, access to grants for the self-catering sector, signposting the new job matching portal and encouraging organisations to register, rules on closure need to be clear, accessibility of bank loans for businesses and immediate access to cash. All priorities have been raised directly with the cabinet secretary, Mr Ewing, ministers and government officials.
C. VisitScotland update
Concern raised that some organisations may be falling through the gaps, for example exclusive use venues and tour operators, and that their needs therefore are not being met. The Scottish Government are aware of a number of groups where support is either not clear or not there, and are pushing for immediate solutions. There have been a number of issues raised around the events & festivals sector. This has been forwarded to the Scottish Government team.
D. Skills Development Scotland update
All services are online. Resource to support the partnership action for continuing employment is being increased. Website is being kept up-to-date to support employers, employees and training providers. Work is being undertaken across all sectors to gauge the impact and what it will mean for the economy and skills in the future. Looking at how they can support sectors who need staff. The Skills Development Scotland digital team are creating a job site portal. It is recognised this should not duplicate existing job site platforms but should complement.
E. Scottish Enterprise update
Helpline working well. Support mechanisms are coming into place for call handlers, account managers and project managers to signpost businesses to. Continued tourism engagement with account managers and project managers. Facilitating peer to peer support.
F. Highlands & Islands Enterprise update
Currently receiving high volumes of information, which is being analysed to understand the key issues. The core script which is being used across multiple agencies should include VisitScotland.
G. South of Scotland Enterprise Agency update
Particular concerns raised around self-catering and further clarity on furlough.
H. Business Gateway update
All business support has been moved online, (Skype calls, workshops, webinars, tutorials). Business support signposted on local authority websites and Business Gateway. Self-catering eligibility is a major concern.
I. Communication
VisitScotland.org is updated daily with the latest information on Coronavirus (COVID-19).There have been 150,000 visitors to the site. All STERG members to continue to keep signposting mental health support through their communication channels.
J. STERG National action plan
It was agreed that the draft plan, which currently contains all activity being undertaken by STERG members, now needs to be refined to ensure that it is focused on actions which are adding value. It will be a public document that can be shared and continually evolve. A follow up meeting is to take place following the STERG meeting to agree how the plan will be refined.
Overarching message is that all activity by STERG members will be focused on supporting businesses now.
3.2 - Week commencing 23 March 2020
STERG was slimmed down to a core group made up of the Scottish Tourism Alliance, Scottish Government, Highlands & Islands Enterprise, Scottish Enterprise, South of Scotland Enterprise, Skills Development Scotland, Business Gateway and VisitScotland. Our director of industry & destination development, Riddell Graham, will continue to chair the group.
This group will meet regularly, listen to industry concerns via the Scottish Tourism Alliance and other partners, agree actions and communications to and from industry and provide advice to the cabinet secretary. This approach, with a reduced membership, will enable a fleet of foot response at this stage in the crisis. The wider group of partners will be kept fully in touch with actions arising from these smaller, focused meetings.
As the main industry groups are members of the Scottish Tourism Alliance and / or sit on the Scottish Tourism Alliance council, this will be the direct conduit for industry to raise questions, points of concern and receive STERG briefings. Additionally, there is a plan to carry out a mapping and gapping exercise to make sure any sector not within the Scottish Tourism Alliance's family is properly included and has a voice.
On transport we are liaising directly with Transport Scotland who have an overview of ferries, buses, trains, airport and airlines.
The events sector is hugely significant and event partners, including Festivals Edinburgh, are keeping in touch with VisitScotland’s events directorate and this information is being shared with the STERG chair.
3.1 - Thursday 17 March 2020
There is a massive threat facing our industry, posing these challenges and questions:
- Needs of the industry
- Asks of the government
- What actions can be deployed?
- Need to discuss and agree the immediate, medium and longer term (recovery plan) actions
- Need for joined up communication across the group
Repeat industry research led by VisitScotland, adapting some questions. There is agreement that one survey should be conducted to ensure as high a response as possible.
There is continuation of lobbying by the trade bodies.
B. Overview of industry feedback on 17 March
The situation is changing continuously with a big shift over the last day. Much of the industry are having to make very difficult decisions about whether they need to reduce staffing hours, operating hours, whether they need to lay-off staff or close completely. There is a huge concern about how long businesses can last with such little business. Reserves are extremely low and it is a matter of weeks and not months for many.
The industry feels that what they need is some relief in terms of bills such as rates and pay as you earn and also access to money. This is impacting all businesses, not just the small ones.
Insurance companies not responding to business interruption clauses as businesses are not being told to close. We need to escalate the awareness of the impact this is having.
C. Remit of the group
- Provide a forum for a consistent and comprehensive pan-Scotland analysis of the implications of the Coronavirus (COVID-19) pandemic on tourism
- Act as the one-stop-shop communications channel for the Scottish tourism industry in relation to Coronavirus (COVID-19)
- Ensure close working between VisitScotland, the Scottish Government, the Scottish tourism industry, health authorities and other relevant organisations and agencies
- Gather, share, facilitate, interpret and disseminate information as it becomes available
- Issue agreed messages to the industry and the media
- Offer business continuity advice to industry
- Agree relevant action and allocate responsibilities for this
STERG sector update sessions
1 December | Sector Update Session
Published December 2021
17 November | Sector Update Session
Published December 2021
3 November | Sector Update Session
Published November 2021
20 October | Sector Update Session
Published November 2021
6 October | Sector Update Session
Published November 2021
22 September | Sector Update Session
Published October 2021
8 September | Sector Update Session
Published September 2021
25 August | Sector Update Session
Published August 2021
11 August | Sector Update Session
Published August 2021
28 July | Sector Update Session
Published July 2021
14 July | Sector Update Session
Published July 2021
29 June | Feedback from sector organisations
Published July 2021
16 June | Sector Update Session
Published July 2021
2 June | Sector Update Session
Published July 2021
19 May | Sector Update Session
Published July 2021
21 April | Sector Update Session
Published April 2021
07 April | Sector Update Session
Published April 2021
24 March | Sector Update Session
Published April 2021
10 March | Sector Update Session
Published April 2021
24 February | Sector Update Session
Published April 2021
10 February | Sector Update Session
Published April 2021
27 January | Sector Update Session
Published April 2021
13 January | Sector Update Session
Published April 2021