Holiday Rental Market Worth £4.5 Billion
The total spend by holiday rental clients in the UK is a staggering £4.53 billion per year, according to a new study into the economic impact of the sector. The rental market is also responsible for creating over 95,000 jobs nationwide.
Additionally, expenditure by tourists staying in selfcatering accommodation grew faster than expenditure by tourists booking any other accommodation. The first of its kind, the study was carried out by HomeAway, a worldwide marketplace for family accommodation, in conjunction with the London School of Economics (LSE).
Commenting on the findings, Kath Scanlon, research fellow at LSE said: “This report suggests that the holiday rental industry contributes to the UK economy by increasing tourism income and creating jobs. These effects are felt in regions across the country.
“Holiday rental visitors stay longer at their destinations and therefore spend more - in fact, many visit rural or seaside areas specifically to stay in attractive holiday rental properties. This has helped areas like Cornwall where tourism has pumped new pounds into previously struggling locales.”
Unique to the report is its analysis of key domestic destinations across the UK, specifically North Yorkshire, Cornwall and London. In terms of employment support, over three quarters of rental property owners employ staff to assist with maintenance. Nationally, owners spend an average of £1,600 per year per property on hiring employees. In Cornwall and North Yorkshire – two locations with underemployment issues – the figures are even higher. In these areas owners spend on average £2,500 and £3,000 on employment respectively per property.
Erica Chang, UK regional director of HomeAway adds: “This report is the first step in showing the significant value that the holiday rental market brings to the economy as a whole, as well as to individual communities which depend on tourism.
“While we have known how important holiday rentals are to the tourism industry, we are excited to be able to demonstrate this through figures that contribute to employment.”