Housing crisis in South West worsens hospitality staff shortage

Owner Giles Fuchs told The Caterer local accommodation was "just too expensive" for staff to buy and there were not many rooms to rent due to tourism.

"Half of the homes in the area are holiday lets and the other half are lived in by people who don't have children of a suitable age to work in a hotel.

"If I want to have a robust, sustainable hotel I need to solve the problem, or this will forever be a hotel that goes up and down in its fortunes."

Burgh Island was built in 1929 and inspired the setting of Agatha Christie's novel Evil Under the Sun. It employs around 65 staff, some of whom have lived in permanent accommodation at the hotel for 13 years.

At high tide, the property is cut off from the mainland and can only be accessed by sea tractor (pictured).

Plans have been submitted to South Hams District Council for new staff accommodation, which will consist of timber-frame housing set behind dry stone earth shelter walls designed to be energy efficient.

The hotel also wants to construct a café and undergo a refurbishment to make it more sustainable.

Fuchs said attracting and keeping staff was his "number one issue" going into the summer. Burgh Island has 25 suites and is running at 98% occupancy but expects to be completely full until the end of August.

Wider issue

Other hospitality business owners in the area told The Caterer they had faced similar issues.

Michael Caines (pictured below), chef owner of five hotels and restaurants in Devon and Cornwall, including Lympstone Manor, said: "It is very difficult for local people and those moving to work in the hospitality venues to get accommodation and in my opinion [it is] the biggest limiting factor to the hospitality industry in the South West."

Emma Stratton, owner of the Scarlet hotel and Bedruthan Hotel & Spa in Mawgan Porth, Cornwall, said the lack of affordable housing was having major impact on all local industries.

She said: "It is up to counties across the UK to work cross sector and cross party to come up with solutions. We need structural changes to the system by which housing gets approved and then funded to reach a solution."

Fuchs said the situation could be helped by businesses building better relationships with hospitality departments of universities and colleges, which is something Burgh Island is "working on".

He is also applying to sponsor staff from the European Union, but said the process was "difficult and complicated".

The council has yet to approve Burgh Island's plans, but Fuchs is optimistic. "If the council are serious about helping us as an employer in the region, then they're going to support us."

Council response

Councillor Judy Pearce, South Hams executive member for housing, said the local authority was working to improve the situation after declaring a housing crisis last year.

Plans include a scheme to offer up to £5,000 to anyone currently renting a social housing property to help them purchase a shared ownership home.

South Hams residents renting through a housing association or social housing provider will also be offered up to £5,000 to downsize their homes to try and free up more three and four-bedroom properties for families.

Pearce said: "Burgh Island is an unusual case, because it has never been easy for staff to live ‘nearby' unless they live on the island or just across on the mainland. All local hotels are coming up with different strategies to house their staff."