The coronation will help give a £1billion boost to struggling parts of the economy, experts predicted.
An influx of tourists combined with community gatherings for Saturday’s royal extravaganza is expected to see cash registers ringing in pubs and shops.
Trade body UK Hospitality believes the sector could expect a £1billion boost this month thanks to the coronation, two more bank holidays and Eurovision in Liverpool.
The British Beer and Pub Association expects pubs alone to make £120million in profits next weekend, with 62million pints sunk during extended opening hours.
Retailers benefit from the sale of flags and pennants, as well as food and drink purchased for street festivals and private parties.
The coronation will help give ailing parts of the economy a £1billion boost, experts predicted Thanks to the coronation, two more bank holidays and Eurovision, Liverpool is expected to see a £1billion surge this month
The economic outlook is not all rosy and the additional bank holiday is likely to slow growth. However, better weather and signs that inflation is finally starting to ease give reason for optimism. “We’ve had a very hot start to the year,” said Kate Nicholls of UK Hospitality. “They’ve had sharply rising food price inflation, rising energy costs and interest rate hikes, which are also hitting credit and businesses hard.
READ MORE HERE: All the details of the coronation were revealed as Queen Camilla was publicly anointed and presented with a ring ‘marrying’ her as the King’s consort.
“So we’re very confident that with a good stepping stone from May, some better weather and some more positive economic news – where we seem to be turning a corner – the reign of King Charles can really start on positive note.”
A survey released by the Institute of Directors showed that business confidence rose for the fifth straight month in April.
UK Hospitality represents 750 companies operating around 100,000 venues, from cafes, hotels and pubs to restaurants, caterers and bowling alleys.
Many are struggling after surviving pandemic-related shutdowns, only to be faced with skyrocketing costs that are impossible to pass on to clients whose finances are severely stretched. Staff shortages and rail strikes also took their toll.
Figures from UK Hospitality suggest Coronation weekend will add £350m to spending, while the other two bank holidays will add £300m each. A further £50million could be provided by Liverpool, which is hosting the Eurovision Song Contest.
Ms Nicholls said: “May has the potential to be a historic month for the hospitality industry, which is poised for one of the busiest times in recent memory.
“We know the British public flock to major events and we expected the Coronation and Eurovision to be no different. Whether it’s the traditional street party to celebrate the King or a clock party in Liverpool for the Eurovision Song Contest, both events will focus on hospitality and we expect this to result in a huge increase in sales.
“Holidays alone are always popular places to eat, drink and stay, and combining them with two historic occasions is incredibly exciting for hospitality at a time when public support is absolutely essential.” The platinum anniversary and Queen Elizabeth’s funeral attracted large numbers of visitors last year.
The Coronation Bank Holiday is expected to provide a bigger boost than a normal bank holiday as it will attract more international visitors from flags and flags and food and drink bought for street festivals and private parties
Hotel bookings are particularly strong in London around the Coronation weekend, as well as elsewhere in the country, as tourists head to places with royal connections such as Windsor, Balmoral, Sandringham, Edinburgh and Cardiff.
“You have the pub or restaurant in the heart of the community that provides these coronation celebrations for people who want to see them on big screens,” Ms Nicholls said.
“You have pubs that have marquees put up… it’s such a unique, once in a lifetime event. We don’t have coronations that often.’
The Coronation Day is expected to bring a bigger boost than a normal holiday because it will attract more international visitors.
READ MORE: Only Six Days Left! Royal superfans continue to camp out on The Mall ahead of King Charles’ coronation
Eurovision has meanwhile seen an increase in hotel bookings in the Liverpool area, with demand spreading to Manchester as well.
A study by the Center for Retail Research predicts £246m will be spent on souvenirs and memorabilia, from coins and flags to teapots and jewellery, with £847m spent on celebrations such as street festivals.
The retail industry is hoping for an uptick in shopper visits, similar to the 9 percent uptick seen at the platinum anniversary.
A spokesman for the British Retail Consortium said: “We expect a royal surge in footfall and a significant increase in retail sales.”
The latest data from restaurant booking platform OpenTable and travel website Kayak indicate a sharp increase in searches for available flights and hotels to visit London.
Simon Wells, chief economist for Europe at HSBC, said the economy had shown resilience, although households were facing a lot of pressure on their incomes and higher interest rates would potentially slow the recovery.
He added: “The British lion may not quite roar after the coronation. But it keeps its head high.’
Comments are closed.