UK: Liverpool could become the first UK city to establish a dedicated Accommodation BID for serviced apartments and hotels.
In a joint effort between Liverpool Hospitality, Liverpool BID Company and Growth Platform – Liverpool City Region Growth Company, the proposed BID would invest £4.3 million over five years across more than 80 serviced apartments and hotels in the BID area.
The estimated return on the initiative is an average GVA of £15 million per year with more than 1,400 jobs secured.
Liverpool BID Company would run the day-to-day Accommodation BID alongside the city’s Culture & Commerce BID and the Retail & Leisure BID.
Billy Addy, CEO of the Liverpool BID Company, said: “As the first city to explore this option to support the visitor economy, this is a bold strategy by Liverpool that confronts the issues the hotel sector is facing head on. Liverpool’s visitor economy is a towering strength, but without investment its growth could make it a victim of its own success. With the public purse shrinking, there simply isn’t the level of public sector investment to support the industry and provide what it needs; specifically that targeted investment of a subvention fund to attract major sporting events, business conferences and other programmes that draw visitors to the city.
“It is time for business to pull together to help the city continue to be an international draw. Without this, Liverpool risks relying on a less economically advantageous visitor market that relies on lower spend and cheaper costs. For a balanced visitor economy, and for the city centre’s mixed use economy, we need to be able to attract the higher spending conferences, major events and similar that will have a beneficial impact on the city’s bottom line.”
Marcus Magee, co-chair of Liverpool Hospitality and general manager of Hilton Hotel Liverpool, said: “Speaking to the hotels and serviced apartments in Liverpool we know that there is a desire for change. We cannot rely on the economic models of the future, and we know that without intervention we risk Liverpool’s competitiveness and buoyant visitor economy. Over the past five years we have explored different models and this is the one with both support and endorsement, but also works in terms of investment, confidence and long-term impact.”
Businesses can vote in a ballot which opens 29 September to decide whether the Accommodation BID should be established. If successful, the BID would begin 15 December.
