Tourism Businesses Warn Rising Costs Are Putting Jobs At Risk Across Sussex Coast

Tourism and hospitality businesses across Bognor Regis and Littlehampton have warned that rising operating costs and changes to employment rules are putting jobs, investment and future growth at risk.

The concerns were raised during a visit by Shadow Culture Secretary Nigel Huddleston MP, who joined Bognor Regis and Littlehampton MP Alison Griffiths to meet business owners from across the constituency.

The pair visited Harbour Park in Littlehampton, Bailiffscourt Hotel & Spa, Pinks Parlour in Bognor Regis and Haven Church Farm Holiday Village in Pagham, before hosting a roundtable discussion with representatives from the tourism, hospitality and leisure sectors.

Business owners said increasing employment costs, energy bills, VAT, business rates and uncertainty over future government policy were already affecting decisions about staffing levels, opening hours, pricing and investment.

Several employers also voiced concerns over the Employment Rights Act, arguing that it does not reflect the realities of seasonal businesses, where staffing needs can fluctuate depending on school holidays, weekends and the weather.

Among the issues discussed were changes to statutory sick pay, which some businesses said would add further costs and administrative burdens, particularly for smaller employers.

There were also warnings that higher operating costs are making it harder to recruit young people into their first jobs, with some business owners saying they are working longer hours themselves instead of taking on additional staff.

Proposals for a visitor levy, sometimes referred to as a "tourist tax", were also criticised, with businesses arguing it could discourage visitors from choosing traditional seaside destinations.

Alison Griffiths MP said tourism and hospitality are "the backbone" of the local economy.

She said businesses were not asking for special treatment, but wanted Government to better understand the challenges faced by coastal economies that rely heavily on seasonal trade.

Shadow Culture Secretary Nigel Huddleston said similar concerns were being raised by tourism businesses across the country, adding that many wanted to invest and grow but were being held back by rising costs and uncertainty.

Matt Rake, Resort Director at Butlin's Bognor Regis, said decisions made nationally have a direct impact on local jobs and investment.

Meanwhile, Harbour Park Chairman Gary Smart said seaside businesses were already dealing with the challenges of unpredictable weather and seasonal visitor numbers, adding that additional taxes and regulation were making it even harder to operate.

The visit also heard concerns about recruitment, parking, antisocial behaviour and the level of local authority support available to businesses across the area.