Dear Sir, The Forum of Regional Tourist Organizations is an organization that brings together Regional Tourist Organizations (ROTs) from all over Poland. Members of ROTs include local governments, entrepreneurs, non-governmental organizations and other entities working for the development of tourism. We are following with concern the increasingly difficult situation of the members of our organizations, especially entrepreneurs, caused by successive lockdowns. We are receiving disturbing information about the liquidation of tourist facilities and layoffs of employees, which prompts us to present to the Prime Minister our demands for support for the tourism industry. The dramatic situation of the industry is confirmed by CSO data: in 2020, 17.9 million tourists used tourist accommodation facilities in Poland with 10 or more beds, 49.9% less than in 2019. They purchased 51.4 million overnight stays, 45.0% less than a year earlier. The occupancy rate of lodging facilities was 26.8% last year, 13.8% less than in 2019. The first quarter of 2021 brought another crisis to the hotel industry. According to the Polish Hotel Industry Chamber of Commerce, in March this year. 17% of hotels in Poland remained closed, and in turn, occupancy at 57% of open hotels was below 10%. Already more than 100,000 people have lost their jobs in the hotel industry, and another 16,000 will soon be laid off in the absence of state financial assistance adequate to the companies’ losses.
Dear Sir,
The Forum of Regional Tourist Organizations is an organization that brings together Regional Tourist Organizations (ROTs) from all over Poland. Members of ROTs include local governments, entrepreneurs, non-governmental organizations and other entities working for the development of tourism. We are following with concern the increasingly difficult situation of the members of our organizations, especially entrepreneurs, caused by successive lockdowns. We are receiving disturbing information about the liquidation of tourist facilities and layoffs of employees, which prompts us to present to the Prime Minister our demands for support for the tourism industry.
The dramatic situation of the industry is confirmed by CSO data: in 2020, 17.9 million tourists used tourist accommodation facilities in Poland with 10 or more beds, 49.9% less than in 2019. They purchased 51.4 million overnight stays, 45.0% less than a year earlier. The occupancy rate of lodging facilities was 26.8% last year, 13.8% less than in 2019. The first quarter of 2021 brought another crisis to the hotel industry. According to the Polish Hotel Industry Chamber of Commerce, in March this year. 17% of hotels in Poland remained closed, and in turn, occupancy at 57% of open hotels was below 10%. Already more than 100,000 people have lost their jobs in the hotel industry, and another 16,000 will soon be laid off in the absence of state financial aid adequate to the companies’ losses.
Therefore, we present the most important problems and related demands of the tourism community, hoping for their positive consideration.
1 The need to support entrepreneurs with aid disks.
It is unacceptable to learn that the government – despite the restrictions extended until May 3, 2021 – has no plans to extend the so-called “support instrument” for virtually “closed” industries. Entrepreneurs further point out the insufficient funding provided to date under Shields 2.0 and 6.0. Non-refundable one-time loans, or the cancellation of ZUS premiums, excluding, for example, the month of November 2020, in the case of many companies in the tourism industry, is far from sufficient assistance. The self-employed, e.g.: travel agents, pilots, or field guides are struggling to survive and are largely excluded by the State from the possibility of real assistance. Entrepreneurs’ frustration is exacerbated by the constant changes in opening/closing dates and the fact that announced information on changes to COVID-19 restrictions is still made public too late. Doubts in the tourism industry are also often raised by the complexity of the regulations.
We appeal on behalf of entrepreneurs affiliated with Regional Tourism Organizations to extend the instrument of support for the tourism and tourism-related industry, in the form of covering up to 70% of the loss of small and medium-sized entrepreneurs (SMEs) – with an extension to micro-entrepreneurs – for the months of April, May and possibly June 2021. We call for financial compensation that would cover the loss of business stoppage caused by the strictures. Entrepreneurs point out that in the event of a long stagnation in the tourism industry, they should be exempted from paying social security contributions for each month in which it was not possible to conduct business due to the restrictions. We also ask to extend support to the self-employed, to simplify all formalities related to obtaining funds under aid disks, and to promptly publish regulations with precise provisions governing the possibility of opening facilities.
2 The need for greater support for tourism under the National Housing Program (NHP) and European funds.
As “Rzeczpospolita” reported in an article on March 12 this year. (https://turystyka.rp.pl/trendy/nowe/56551-branza-turystyczna-rozczarowana-programem-odbudowy-to-nie-rozwoj-to-przebranzowienie) the amount of support for tourism under the KPO was initially 5.3 billion zlotys. The current budget assumes that a total of 1.35 billion will be allocated for tourism, gastronomy and culture. This is a mere 0.5% of the entire NPO budget, while the contribution of tourism alone to the creation of gross domestic product is 6%.
We therefore call for a significant increase in funds to support the tourism sector under the NIP. We propose that the budget for tourism be 6% of the entire NIP budget.
In addition, we would like to signal the problem of insufficient funds, dedicated to tourism, which will come from European funds for Poland for 2021-2027. The Ministry of Funds and Regional Policy has developed preliminary assumptions for the distribution of funds at the central level. For example, the Financial Plan of the Eastern Poland Program assumes that the allocation of funds for increasing culture and tourism in economic development, social integration and social innovation will amount to 155 million euros (this amount does not include support for entrepreneurs, to whom a separate priority is dedicated). However, this is a drop in the ocean of the needs of the industry, which, as the most disadvantaged, needs far more funds for investment and promotion of tourism.
We ask for a much larger pool of funds to be allocated to tourism under the central aid programs available for 2021-2027. The industry, which has suffered the most severely as a result of closures or downsizing, must not be discriminated against in the distribution of European funds.
We are aware of the acceleration of the loosening of restrictions that the Government is currently announcing. Therefore, we recommend the development of transparent travel rules that would allow free movement of tourists after vaccination. We are convinced that the implementation of these demands is a chance to save the Polish tourism sector.
Forum of Regional Tourist Organizations
