Report reveals East Neuk and St Andrews will bear the brunt of the impact

Fife’s tourism sector is set to suffer a £300 million hit as a result of the coronavirus pandemic.

A leaked report shows half of that figure could be lost in the north-east of the region alone, where the importance of St Andrews, its university and the East Neuk to the industry has once more been massively underlined.

Figures seen by The Courier put the overall value of tourism to Fife at just under £600m, with 12,256 jobs – around 9% of the region’s total employment – attributed to the sector.

However, the Organisation for Economic Co-operation and Development is predicting declines of 45% to 70% in the international tourism economy in 2020, and Office of National Statistics research shows 62% of accommodation and food service businesses are reporting a decrease in turnover of more than 50%.

The bleak outlook is contained in an internal Fife Council report examining the potential impact of the Covid-19 crisis ahead of the reopening of much of the tourism sector on July 15.

St Andrews in particular is said to be worth £180m to Fife’s total tourism value and the rest of north-east Fife a further £108m, sparking fears a 50% downturn would be catastrophic for the area.

North East Fife MSP Willie Rennie said: “A financial hit of £150m would be extraordinary and we must do everything we can to prevent that. It would hit jobs and livelihoods.

“We needed everyone to stay at home to suppress the virus.

“Now with restrictions eased and with these stark figures, we must welcome visitors from across Scotland in order to support our local economy.”

The area’s MP, Wendy Chamberlain, pointed to initiatives such as the StaySafe St Andrews campaign – effectively a Covid charter for businesses – as a good example of how the area will keep people safe.

“Tourism and seasonal work is clearly a significant part of our local economy but these figures and estimations lay bare how hard we must work to support the local economy,” she added.

“We are lucky to live in one of the most beautiful parts of Scotland and the UK and many people want to visit our home here.

“We needed to make the tough decision to ask everyone to stay away and stay at home during the crisis but now we must welcome them to support our local economy again.”

Gordon Mole, head of business and employability at Fife Council, said the report was produced to give a “broad indication” of what might happen.

He added: “The true scale of the economic impact of the Covid-19 crisis remains largely unknown and uncertain.

“Much will depend on the length and nature of ongoing restrictions to control the global pandemic within the UK and worldwide; the success of these measures in suppressing further outbreaks of the virus; and subsequent consumer behaviours and demand following the easing of current restrictions on travel and social distancing.”

Economic Impact of Tourism last year Total UK visits spend

Total Overseas visits spend

Total Overall Visits Spend

Number of Tourism Day Visits Total Day Visits Spend

Total Direct Tourism Spend Average Direct Tourism Spend/Month

Other Direct Spend Indirect Impact

Actual jobs (=direct+indirect spend) Tourism as % of overall employment Total Overall Tourism Value

St Andrews £31,477,000 £35,732,000 £67,209,000

2,572,000 £72,138,000

£139,347,000 £11,612,000

£3,870,625 £43,998,000

3,705

51% £180,882,625

Pictures: Steve MacDougall.