HCA urges government to reconsider ‘excessive’ Auckland marketing cuts

New Zealand’s hotel sector industry body Hotel Council Aotearoa (HCA) has labelled Auckland Council’s proposed cuts to destination marketing and event attraction “excessive” and “ill-timed”.

In its draft budget, Auckland Council revealed plans to effectively de-fund its destination marketing and events attraction team, Tātaki Auckland Unlimited – a move which HCA says will likely slow the city’s economic recovery.

HCA has formally advised Auckland Council to retain all relevant staff and provide reduced, but adequate funding.

“New Zealanders often talk about how Melbourne has created a calendar of exciting events and attractions,” said HCA Strategic Director, James Doolan.

“In the year to June 2022, Visit Melbourne was provided with more than AU$130 million in funding for destination marketing and event attraction, or equivalent to $40 million when adjusted for Auckland’s population size. Auckland Council’s draft budget essentially proposes eliminating this work in Auckland and taking the spend down to zero.”

“Without destination marketing and event attraction work being funded by Auckland Council, it will be much harder in future for Auckland to attract private investment into international-standard tourism infrastructure.

“Auckland Council is facing some tough choices, but Councillors shouldn’t abandon international best-practice.”

HCA says the industry wants to help find a lasting solution to Auckland’s funding squeeze and has been working on ways to reduce the burden of tourism on Auckland ratepayers.

In anticipation of a funding squeeze, Hotel Council Aotearoa wrote to the Minister of Tourism and Minister of Finance prior to the reopening of New Zealand’s borders in September 2021, requesting that central government fund Auckland’s destination marketing and event attraction work for three years to assist the post-COVID recovery.

“We wish this was solved 18 months ago, but industry was ignored at the time,” said Doolan.

“The problem in Auckland grows increasingly urgent with each passing day. Since Auckland is the gateway city for 70% of international travellers to New Zealand, this is fast becoming an issue that could adversely affect tourism throughout the country.”

While HCA acknowledge that funds are limited, it is calling on central government to provide “urgent interim support”.