EDDC Leader Paul Diviani seems to have completely changed his tune about Sidmouth, now praising its ‘vibrant economy’ as a model for the vast new town at Cranbrook. Much of Sidmouth’s business depends on tourism. Visitors are attracted by its small shops and uniqueness, and unspoilt natural surroundings.

The following reports, from 2011, give a broader picture of the value of tourists’ spending power, and of why they come to Devon.

Click to access 2011%20Devon%20&%20districts%2011.pdf

2011 (all of Devon) but shows

Devon highest for staying accommodation
tourism-related employment 22%
day visits and spend are highest in Devon

E Devon see pp.16-24

Click to access TA_327_353.pdf

very interesting: page 7 – if only govt changed its policy re VAT on tourism, this could give a huge boost to the local economy… not a level playing field with the rest of Europe

• Of the 27 EU countries, the UK is one of only four that charges the full rate of VAT
on tourism accommodation (the others being Denmark, which has no reduced
rates of VAT, and Slovakia and Lithuania, which were persuaded to increase its rate
under IMF pressure). The UK now has the second highest rate of VAT on
accommodation in Europe.
• The average VAT rate for accommodation in the other European countries is 10.3%.
• The UK is one of only 14 EU countries that apply full rate VAT on restaurant meals.
The average for the rest of the EU is 8.8%.
• The UK is one of only 13 EU countries that apply full rate VAT on admissions to
amusement parks.
• The UK is one of only 10 countries that applies full rate VAT on admissions to
cultural attractions such as museums, theatres, shows and cinemas.
• A Deloitte/Tourism Respect study has estimated that reducing VAT on
accommodation and attractions could result in a net present value gain for the
Treasury of £2.6bn over 10 years.
• In the two years since France reduced VAT on restaurant meals from 19.6% to
5.5%, the Government has calculated that 62,700 new jobs have been created in
the sector, while employment in the rest of the economy has declined