Flambards closure sparks fears over NI impact

Flambards announced on Monday it was closing after 48 years

Cornish tourist attraction bosses said a rise in National Insurance (NI) is putting extra pressure on the industry.

Helston's Flambards theme park said on Monday it was closing due to rising costs and falling visitor numbers, with the announcement coming shortly after both Dairyland and the Dingles fairground museum shut their doors for good.

Other tourist attraction managers in Cornwall said it was terrible to see large sites such as Flambards close and pointed towards NI contribution increases revealed in the latest Budget as having a "crippling" effect on the industry.

HM Treasury has been contacted for comment.

During the Budget, Chancellor Rachel Reeves announced employers would have to pay NI at 15% on salaries above £5,000 instead of the current rate of 13.8% on salaries above £9,100.

Ms Reeves said the move would raise £20bn a year, but a number of business owners have criticised the decision.

Dairyland near Newquay also recently announced it was to close for good

Nick Reynolds, director of Paradise Park in Hayle, said Flambards' closure was "tragic" and the NI changes had given another burden to deal with after years of struggles.

Mr Reynolds said: "The National Insurance increase from the Budget is just going to cripple us and we're all struggling with the new rate."

Mr Reynolds said his business was one of many who were "struggling a lot" and their future was not secure.

He said: "We've got 55 staff here and 1,300 birds, and we're looking down a tunnel which we hope to come through next year."

'Difficult to absorb'

Trevor Broome, joint non-executive chair of Visit Cornwall and general manager of Land's End Landmark, said it was a very challenging time due to the "perfect storm" of issues, including recent poor weather, a fall in visitor numbers and costs rising.

Mr Broome added the increase in NI might be the final straw for businesses already facing difficulty.

"The Budget has not been kind to some of the small businesses, particularly the National Insurance rise, which is going to be very difficult for a lot of businesses to absorb," he said.