The Cumberland has invested more than £45m into Scotland’s tourism sector in the last two years
Support from The Cumberland is needed now more than ever as 52 percent of Scottish businesses are still in survival mode amid the cost-of-living crisis and rising interest rates
Scotland’s tourism sector has faced increasing adversity in the last few years. The pandemic saw tourism nationwide face significant pressures and the recovery from this has been hampered by the cost-of-living crisis. Meanwhile, rising interest rates, increasing from 4.5 percent to 5 percent in June, are putting Scotland’s hospitality businesses under further pressure as they cope with the prospect of higher mortgage repayments.
Tourists have tightened their purse strings with a more cautious approach, and an unclear ending to the crisis brings further difficulties for those in Scotland’s tourism sector who are looking to weather the storm. Indeed, the latest statistics from Scottish Tourism Alliance reveal more than half, some 52 percent, of businesses within the hospitality sector are still in ‘survival’ or ‘consolidation’ mode as a result of the financial crisis.[i]
Meanwhile, almost half state that they do not have enough cash reserves for the next quarter, whilst 39 percent said that domestic bookings for June to September this year are lower compared to the same period in 2022.[ii]
With Scotland’s tourism businesses a key part of the country’s economy, it has never been more important to provide support for the sector to navigate the challenges ahead and to help businesses fulfil their potential. The Cumberland Building Society continues to support business owners nationwide, with over 20 years’ experience in hospitality lending and as an award-winning Platinum Feefo trusted service.
Implementing a relationship managed service, The Cumberland puts people at the heart of what it does, regardless of the size of the business. Their personal service allows them to understand the needs of the customer and their business, supporting them during the good times and the bad. As a result, The Cumberland has helped businesses nationwide in navigating challenges at the times which matter most.
The relationship managed approach is something The Cumberland has strived to hardwire into its genetic makeup. Offering a more personal and genuine approach, its customers have direct access to a relationship manager and associate who understands the needs of their business, as well as a comprehensive knowledge of their operating area.
The Cumberland has been lending to the hospitality industry for over 20 years and has invested more than £45m in the Scottish hospitality sector in the last two years.
Alasdair Swan, Senior Commercial Manager at The Cumberland said: “Supporting people and businesses across Scotland has been at the core of what we do at The Cumberland for the past 170 years. We want to make a positive difference to people’s lives now and in the future, and we do this in a number of ways.
“Alongside offering financial support and business guidance to our customers, we are also among the top 2 percent of organisations in the world that donate 1.5 percentage of profits to actively support charitable causes and projects.”
[i] https://scottishtourismalliance.co.uk/sta-update-latest-industry-survey-reveals-majority-of-scottish-tourism-and-hospitality-sector-financially-fragile-and-still-in-survival-mode/
[ii] Ibid
