Winchester in a Nutshell
Winchester’s credentials as a major UK tourist destination are well known, with over four million visitors a year. In addition to its ancient cathedral and attractive shopping streets, it is a gateway to the South Downs and surrounded by traditional countryside and farming communities. Against this appealing backdrop it is also a prosperous modern city where service industries thrive and the creative industries – from high tech to modern art - are rapidly making a name for themselves (both IBM and NTL have headquarters close to the city). One hour by direct train link from London, Winchester is also well positioned for access to the south coast and New Forest and is only a 20 minute drive from the fast-expanding Southampton International Airport. Whilst planning policy, competition for office and housing sites and land prices do not favour hotel development in the centre, there is clearly good potential for hotel development here in a city which is at present relatively poorly served but which can well sustain both overnight leisure and business trips.
Key Facts
District Profile
The Winchester District is one of 11 shire districts in Hampshire and is home to over 109,000 people. One third of residents live in the Winchester City area, while two thirds of the population are spread across rural areas including the main country towns and villages of Alresford, Bishops Waltham, Denmead, Wickham and the new communities of Whiteley and Knowle. Centred on the old capital city of England, the District extends to about 250 square miles, with the whole centre of the city being an area of archaeological Importance.
Economic Profile
Holding one of the most consistently low unemployment rates in the UK (around 0.9%), and average earnings in Winchester District are significantly higher than national, regional and county levels. The workforce is generally highly skilled. Employment is mainly based in public administration, the service sector, defence administration and education. Tourism features highly as a source of employment in and revenue to the area and there is a growing and vibrant presence of the media, creative and knowledge industries.
Economic Growth and Forecasts
A ‘State of the District’ assessment was carried out by the Local Futures group in March 2004. The report concludes:
“Winchester presents an excellent economic development profile…the local economy is entrepreneurial, productive and knowledge driven, with healthy employment rates and a well educated workforce.”
It continues:
“The district’s strengths are its natural environment, the quality of local services and growth in industrial and commercial floorspace. However, Winchester will need to focus on improving the quality of local amenities, connectivity and housing affordability for key workers and those on lower incomes.”
The city council has recently approved an economic action plan. Further information about this and the State of the District study can be found on City Council website below.
Major Companies
The largest employers in the city centre are the county council, police and health authorities and city council. The newly established University of Winchester (originally King Alfred’s College) is also a significant player, with a growing influence on the city. The other major employer from the private sector based in the city itself is Denplan, with the headquarters of both IBM and NTL a short way out Hursley and Crawley respectively.
Main Business Parks
Within the city, Winnall Trading Estate is the most notable business park. To the south of the district, however, lies the Solent Business Park (just north of Fareham) which is a major centre of business activity and housing development. See below under ‘Whiteley’ for more information on the Solent Business Park area.
Recent/Proposed Inward Investment
Winchester is going through a significant period of change, and the advent of the Silver Hill Renaissance Project will change the face of the east end of the city. Covering about two hectares, the project will completely demolish and rebuild the area to create a new mixed use development (housing and retail) with new bus station, post office, medical practice, restaurants and public art. A planning application is expected from developers Thornfield Properties plc shortly, with a view to completing the scheme by 2010.
Already in progress are two smaller projects which will enhance the Jewry Street end of the city (west). A state of the art library (discovery centre) is being constructed for completion by August 2007, and a private developer is refurbishing the adjacent building to form two new restaurants. Together, these will add to the attractions of what is already a popular leisure – or cultural – quarter of the city, with bars and restaurants along its length and the popular Regency Theatre Royal next to the library.
Both Hampshire County Council and Hampshire Police are intending major refurbishment to their central headquarters in the coming years, and the city council is actively looking to bring all its staff into one, purpose-built premises in the same timescale.
All in all, the next five years will see a period of major development up and down the centre of the city resulting in a city with an improved retail offer, an enhanced evening economy and a (still) more appealing appearance.
Tourism
An established centre for tourism, the Winchester District attracts over 4 million visitors per year spending around £225 million and supporting 3,754 jobs. A full assessment of the economic impact of tourism on the Winchester District can be found at www.visitwinchester.co.uk/researchfindingssubmenu.shtml?openMenu=m14s1
Whilst the traditional seasonal variations exist, leisure visiting is year-round because most of the city’s attractions do not tend to be seasonal (eg the cathedral, which is the most popular attraction) and much of the interest lies in the shopping and cultural offer. Weekend occupancy of hotel rooms ran at an average of 58% in 2005.
Weekday business visits are also strong, and conference tourism is valued at over £9 million pa. Weekday occupancy of rooms ran at an average of 66% in 2005. The Conference Winchester initiative exists to support the marketing and servicing of this important sector and has high levels of support from local hotel and meeting venues.
Winchester’s cultural offer is a year-round one, with major historic attractions such as Winchester Cathedral (around 300,000 visitors a year) and the Great Hall (remains of Winchester Castle housing the celebrated Arthurian round table which receives 100-130,000 visits per annum). Its scenic streets, attractive architecture, independent shops and green spaces all add to the quality of a visit and the compact city centre makes for easy exploration on foot. In the summer, the streets come to life with a programme of outdoor festivals and events ranging from the Hat Fair (the UK’s longest running festival of street theatre) in July and Mayfest (folk and world music) to luxury opera evenings at nearby Northington Grange. The Hat Fair alone contributes around £500k to the local economy in visitor spend.
There is steady investment in the district by tourism businesses, such as:
- Q Hotels’ Norton Park – increasing size of hotel from around 90 to 190 rooms, and making major improvements to facilities from spring 2006;
- King’s Royal Hussars Museum in the city centre – complete overhaul to become Horsepower, the south’s only cavalry museum. Royal opening in July 2006;
- New hotel development at Morn Hill (1 mile out of city centre) for 130 budget bedrooms now under construction.
Thanks to the filming of four major movies in and around Winchester over the winter/spring of 2005/06, the city is increasingly in the national spotlight – supported by a year-round PR campaign. The tourist information centre has just been named TIC of the Year in a national competition run by VisitBritain.
Out of City Hotel Investment Opportunities
The rapidly growing urban settlement at Whiteley, just to the north of Fareham at junction 9 off the M27, also falls within the jurisdiction of Winchester City Council. A major business park (Solent Business Park), popular outlet shopping village and growing residential development provide good scope for further hotel investment. Excellently located between Southampton and Portsmouth, the shopping village has 50 retail units, is open seven days a week throughout the year and provides 1,400 free car parking spaces for customers.
Masterplanning for a new major development area (MDA) to the West of Waterlooville (west of the A3(M) to the north of Havant) also provides for a mix of housing and business use, and one of the two developers is interested in the possibility of a hotel presence. The MDA, which falls across the Winchester City Council and Fareham Borough Council districts, will accommodate around 2000 new homes, 30ha (74 acres) of employment land, and community facilities and services to meet the housing needs of the area to 2011. Land for a further 1000 homes is held in reserve.
Links:
Winchester City Council: Planning
Winchester City Council: Business
Visit Winchester - Tourism policy and research papers (eg economic impact assessment)
PDFs:
Hotel Development Sites: