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Businesses warn of collapse without cruise passenger traffic

Businesses warn of collapse without cruise passenger traffic

Wednesday 03 April 2024

Businesses warn of collapse without cruise passenger traffic

Wednesday 03 April 2024


The tourism industry has recognised that the “sharp decline” in cruise ship visitors has shaved millions off the economy in recent years, with some attractions warning their businesses will fail without the traffic.

The new vision for tourism published by the Tourism Management Board acknowledges the cruise ship industry “has been slow to recover locally” compared to the rest of the world since covid, and have been made more challenging due to Brexit, poor weather and “a move away from tender-only ports”.

While cruise passenger numbers have grown by between 5% and 9% globally, Guernsey has seen a 23% decline in ships arriving and a 31% reduction in passengers landing between 2019 and 2023. 

The board estimates that passengers contributed £3.4m to the economy in 2023, but this could’ve been an extra £1m if 2019 passenger levels were maintained.  

It attributes the decline to the reduction in visits from three major cruise lines which operate the largest ships – P&O, Princess, and MSC.  

P&O has relocated its larger ship to the Mediterranean and “substantially” reduced port calls in Guernsey, which has been blamed on post-Brexit rules which allow duty free sales anywhere around the British Isles. 

But Princess and MSC’s exit from the market in 2024 and 2025 is more significant, as between them they accounted for nearly two thirds of all passengers which came ashore last year.  

This sustained reduction in calls and landing passengers has businesses which depend on that traffic worried: “The Guernsey Tourism Partnership has advised that without cruise passengers, numerous attractions and local businesses would not be able to survive, and this would have an adverse impact on the island’s overall tourism offering,” the TMB said. 

“We are working proactively with the Committee for Economic Development and Guernsey Ports to safeguard this important industry."

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Pictured: A breakdown of stats from 2023. 

Express revealed last May that Princess planned to pullout of Guernsey for the coming two years with an ambition to reduce fuel consumption cited, and the Committee for Economic Development saying it would target smaller high-end cruise line instead. 

But now the States is back tracking on that after the TMB report said the reason for Princess and MSC choosing not to call at Guernsey was due to congestion and issues with the tendering between the island and the ships. 

“Princess Cruises’ issues were due to congestion with its small tender boats (particularly on days with other cruise ships calling). MSC Cruises’ issues were due to the lack of service reliability from the local shore-based tender offering, which they favour over using their own tenders.  

“Consequently, in 2024, the number of cruise ship calls is expected to decline by around 7%, and passenger volumes are expected to drop by around 43%.” 

The TMB said the States has already embarked upon several “operational actions” to attract these cruise lines back from 2026 onwards. These include a tender pontoon extension off Albert Pier to reduce wait times, setting up a dedicated shore-based tender service for ships, and investigations into “environmental sustainability initiatives and technology for the cruise sector”. 

It notes that of 34 British member ports only five are tender only, and the TMB says investment is needed in cruise ship infrastructure “if it is to remain an attractive port of call. 

“Despite the challenges, Visit Guernsey’s continued engagement and promotional efforts have generated valuable new business, with 9 ships making an inaugural visit to Guernsey in 2023. This is largely due to a new business focus on smaller ships for which tendering operations are more straightforward.”  

Currently 87 cruise liners are scheduled to visit the islands during the 2024 season, with 74 due to visit Guernsey. The first, the 230-passenger Hanseatic, will arrive on 7 April.   

You can read the TMB’s framework HERE. 

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