NEWS IN DEPTH | FACE TO FACE Giving hospitality a unified voice


Kate Nicholls is chief executive of UKHospitality – formed from the merger of the Association of Licensed Multiple Retailers and the British Hospitality Association


Q: What is your background?


A: I worked in the European Parliament and House of Commons, focusing on food additives and employment legislation. This led to negotiations with


hospitality businesses and I was approached by Whitbread to work for them as poacher-turned- gamekeeper to influence the legislative process. I advised the boards of the


operating companies for hotels, leisure, pubs and restaurants.


Q: What was the main reason for the merger of the British Hospitality Association and the Association of Licensed Multiple Retailers?


A: The key driver was a desire to secure a recognition of the size, scale, importance and contribution of the sector to UK plc, as well as our cultural and social life – and to get better leverage to secure a more supportive regulatory framework. Both boards recognised that


leverage was enhanced by a single strong message and increased immeasurably by a single strong unified voice. The merger made perfect sense as the ALMR and BHA had been


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working increasingly closely on several issues. It also allowed us to create


a single, authoritative voice to champion the interests of the entire sector, bringing together businesses and expertise from across the broad spectrum of hospitality.


Q: How did you become chief executive?


A: There was a rigorous process to make sure we got the best person. There was an extensive competitive process involving a large number of external candidates at the end of which I was appointed.


Q: How can one large organisation represent a wide range of members?


A: Issues faced by the sector apply to all sorts of members across the entire spectrum of hospitality. The knock-on effects of


restrictive legislation can be just as detrimental to a community pub as a town centre hotel. It is not only possible for such


a diverse sector to have a single voice, it is in its interests to have a single representative with the ear of government.


Q: What are your priorities?


A: We have been pushing the government to provide clarity for employers to plan for life outside the European Union. We liaised with the Migration Advisory Committee, highlighting the need for access to labour from the EU. We also continue to push for


a reduction in the cost of doing businesses. We secured business rates relief for pubs and we are pushing to repeat it at this year’s Budget Statement and extend it to the wider hospitality sector.


Q: How can you tackle the challenge of the sharing economy?


A: The sharing economy has brought greater choice and convenience for customers, but also a host of problems. There are rules governing the


home-sharing economy, but, in practice, there is almost no way of effectively enforcing them. This puts other businesses at a


disadvantage, and potentially puts customers at risk.


Q: What do you think about tourist taxes?


A: We have been vocal in our opposition to the introduction


The sector is extremely valuable. We create £130 billion in economic activity and generate £38 billion in taxes


of a bed tax in Edinburgh and anywhere else. Businesses are already facing


a mountain of costs and any additional tax would present employers with a significant barrier to growth. The UK is one of only three EU


countries that does not have a reduced rate of VAT on hotel and tourism services. The rate of VAT on hotel rooms


in EU countries is about half of the 20% rate in the UK.


Q: What is your message to politicians about the value of hospitality?


A: The sector is extremely valuable – it is the largest private sector employer in the UK; double the size of financial services and bigger than automotive, pharmaceuticals and aerospace combined. Arguably, parliamentarians do


not appreciate just how big we are, so it our job to highlight the value, not just as an economic asset, but a social one as well. We create £130 billion in


economic activity and generate £38 billion in taxes. We provide 10% of UK employment, 6% of businesses


and 5% of GDP. ukhospitality.org.uk


October 2018 | TravelGBI 11


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