Business owners in Moray are rejecting claims from the local tourist board, Visit Moray Speyside, that its members would be severely disadvantaged if it was not re-elected back in next month.
A group of dissatisfied members have now formed a plan to launch a new DMO (destination marketing organisation) if the current body fails to get the required support in a legally-binding election.
Visit Moray Speyside (VMS) operates as a TBID (tourism business improvement district) which is contracted to run for five-year terms, depending on the outcome of a ballot. It was voted in from 2020, and is now campaigning to be re-elected on 20 March, to run its course for the next five years.
New group ready to take action
The new group has emerged following increasing dissatisfaction about the enforced levy of the TBID structure, and the overall performance of VMS. They are ready and willing to pick up the mantle and create an alternative organisation which is funded by what they call a ‘fair, tiered pricing structure’, to continue the promotion of tourism on the national and international stage, and provide support for businesses in the landscape of increasing costs.
Visit Moray Speyside’s campaign reports that tourism is booming with annual visitor numbers up to 877,000 and an economic boost of £187 million. It further suggests that will continue to rise to a million visitors by 2027 and an economic boost of £200m.
Gemma Cruickshank, CEO of Visit Moray Speyside, said: “Without the Moray Speyside Tourism BID, tourism in the region would have no voice, there would be no organisation devoted to supporting and developing tourism in Moray Speyside and crucially fighting and advocating for the region, nobody providing crucial assistance for businesses, and nobody marketing Moray Speyside to the world.”
“We continue to represent the interests of over 400 tourism businesses spread throughout Moray, including more than a dozen of Speyside’s world-famous distilleries.”
The levy ‘lock-in’
However, the new group want to warn members that those 400 businesses are ‘locked in’ to paying a levy for five years, even if they vote against it, or don’t vote at all.
Carlo Miele, who owns several accommodation properties, said: “The structure of the TBID is that if it is voted in, every business that meets the voting criteria is then legally liable to pay the levy.
“And the worst part is, non-payment is enforced by the courts, and many members unable or unwilling to pay are now being issued with sheriff’s warrants.
“Due to financial caps, small businesses are paying higher percentages, and larger businesses are paying lower percentages.”
“It’s inherently unfair, and after five years I, and others in the industry, believe it’s not delivering value. Our new group will seek to find solutions to offer an opt-in, fairly-priced, tiered structure.”
Self-sustaining model
Jim Davis, who runs a busy outdoor and watersports activity centre, ACE Adventures, said: “If the ballot fails on 20 March, business owners could reasonably think that Moray will have no representation on the worldwide tourism market. Unfortunately, that’s a tactic being used by VMS to encourage people to vote them back in.
“VMS could have used their time to build a self-sustaining model and it’s irresponsible to make people think that after five years of paying a levy which was an investment into a DMO, it will be switched off and left with nothing to show for it. Not having a forward plan should the BID be unsuccessful is nothing short of extortion.
“In talking to the few business owners who want the TBID contract renewed, the one thing they tell me is that ‘something is better than nothing’, so we are exploring options to form a business plan and strategy to ensure there is something which will have the support of, and directly serve, businesses in Moray when the TBID is voted out.
Strong voice
“This is a opportunity for the businesses of the region to create a strong voice and take action against proposals such as the pending visitor tax which will shut down more accommodation offerings, this is not what is needed, especially after nothing was done to prevent short term let licence that has been a pointless disaster.”
Gavin Templeton, who has a short-term let in Moray, and set up a Facebook group, to allow fellow business owners to communicate, said the group “has received no reports of return on investment (ROI) by members in connection with the activities of VMS.
“According to their business plan VMS will take £808,000 for ‘overheads’ which is about half their total projected income.”
For more information on The Moray Speyside Tourism Business Improvement District and the Tourism BID levy, go to https://morayspeyside.com/tourismbid
For more information about the new group, go to visitmoray.scot