HBAA Forum keynote warns of impact of government cuts

Agencies and hotels will be affected by public sector spending cuts in the coming year, according to industry consultant Melvin Gold, speaking at the HBAA annual forum this morning.

HBAA hosts annual forum this week
HBAA hosts annual forum this week

 

In a survey carried out among the 300 delegates at the forum's opening plenary session, more than a quarter of agents and hoteliers said over 15% of their revenue was generated by the public sector.

A total of 26% of agents reported that public sector spending was more than 15% of revenue, while the figure was 27% of hotels. 

"We have to consider not just the impact of a government department using your hotel but the business they will cut back on with the private sector," Gold told HBAA members and partners. "Customers are cautious and don't have perfect vision of the economy. Often they are not prepared to commit to a conference a year or two ahead."

Gold was speaking at the association’s annual forum being held today and tomorrow (9 September) at the Holiday Inn Stratford-upon-Avon. He warned that the public sector is 50% of the UK economy in 2010/11 and, as spending is cut, that will also impact on the private sector.

 

"You are probably more greatly exposed to the public sector than you think. The government is trying to shrink the public sector to be more in keeping with the overall size of the economy," he continued.

Have you registered with us yet?

Register now to enjoy more articles
and free email bulletins.

Register now
Already registered?
Sign in
BCD Meetings & Events appoints new country director in China

BCD Meetings & Events appoints new country director in China

New Shanghai-based country director joins BCD M&E after recent roles with Uniplan and Pico.

How do you win a C&IT Award?

How do you win a C&IT Award?

Award winner-turned-judge explains what the panel was looking for in this year's entries and how accolades affect agency life.

4 things event tech fans should be excited about

4 things event tech fans should be excited about

The good folk of Clive show us some of the latest developments that have caught their attention.

TAG opens new office in Hong Kong

TAG opens new office in Hong Kong

The travel and event management company expands its reach in Asia and now has ten offices worldwide.

Gray Dawes Group acquires Amber Road Travel

Gray Dawes Group acquires Amber Road Travel

Travel management specialist boosts its presence in the north of England and will exceed £200m turnover.

'Clients have to understand our turnaround times'

'Clients have to understand our turnaround times'

Laura Law, conference director at Venues & Events International, argues that agencies need sufficient time to get under a brief's skin.

28% of event professionals have taken time off for mental health issues, finds survey

28% of event professionals have taken time off for mental health issues, finds survey

Research by Stress Matters discovers that many are still experiencing anxiety and a blame culture at work, despite more wellbeing initiatives.

Why we must 'reshape the conversation' around gender equality

Why we must 'reshape the conversation' around gender equality

Event professionals at IMEX America discussed mentoring and how to get everyone involved in debates about equality at work.

Ruby Hotels' first UK property to open in Southbank in 2020

Ruby Hotels' first UK property to open in Southbank in 2020

The carnival-themed Ruby Lucy will bring 'lean luxury' to London in January and have a Marshall guitar amp in every room.

Five ways ICC Belfast and the wider city is mastering sustainability.

LATEST JOBS