First Universal theme park in Europe to generate ‘£50bn of economic benefits for UK’

Published

11 months ago

June 26, 2024

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New details have been unveiled for Universal’s first UK theme park – including plans for the attraction to be open 365 days a year.

Universal Destinations & Experiences – which is owned by Sky’s parent company Comcast – has bought land near Bedford as it plans to build Europe’s largest theme park with millions of visitors per year, as well as a 500-room hotel and dining area.

Economic benefits

Universal’s economic impact analysis, produced in line with HM Treasury guidelines on economic appraisal and published today suggests the attraction will generate nearly £50bn of economic benefits for the UK.

It said the net economic contribution of the potential project for the UK was forecast to be £35.1bn over the construction period and first 20 years of operation.

Up to a further £14.1bn was expected to be generated in extra taxes for the exchequer over the same period.

The analysis suggests the project will generate 20,000 jobs during the construction period which, at its peak, will see 5,000 workers on the site.

Once operational, it is expected to create an initial 8,000 new jobs, rising over time. The company has made a commitment to pay the living wage to employees.

‘The best location we’ve ever seen’

Universal has acquired almost 500 acres for the site, which is just south of Bedford between Kempston, Wootton, Stewartby and Wixams, with an option to buy up to a further 200 acres.

The new park, which would have a construction period of around six years, would be built on land once occupied by Kempston Hardwick brickworks, once the world’s largest brickworks in terms of output, which closed in 2008 and which was demolished in September 2021.

“I can tell you it’s going to be a world-class park with all experiences that people will love based upon the most popular films, video games and stories that people have enjoyed for decades,” said Page Thompson, the company’s president in charge of new ventures.

“We’ve spent the last decade looking all over Europe and the United Kingdom for locations, and we think this is the best location we’ve ever seen.”

Universal Destinations & Experiences currently has five theme parks around the world – in the United States, Japan, China and Singapore.

Disneyland Paris, which with the associated Walt Disney Studios Park is currently Europe’s biggest theme park, attracts around 15 million visitors per year.

New details

“Our phase one plans consist of a theme park, a 500-room hotel and a dining area that people can come to even if they don’t have a theme park ticket,” Mr Thompson told Sky News.

“Over time, I would expect the number of hotels to grow.

“Our intention is that this park would be open 365 days a year, just like all of our other major theme parks.

“We have a whole series of special events, like our Halloween Horror Nights and carnival parties… and it just allows us to attract people throughout this time.”

Universal said evidence from its other theme parks suggested that for every job supported within the parks at least 1.5 further jobs could be supported in the supply chain and neighbouring parts of the economy – leading to its expectation of a net additional 20,000 jobs.

Plenty of competition

The investment is not without risks and not least because of its scale.

Of Europe’s 20 most visited theme parks, four – Legoland Windsor, Alton Towers, Chessington World of Adventures and Thorpe Park – are in the UK, all owned by the former FTSE-100 giant Merlin Entertainments. Their combined visitor numbers annually come to around half of what Universal is targeting.

There is also plenty of competition.

Locally, not far from the proposed Bedfordshire site is the Harry Potter Experience at the Warner Bros studio tour near Watford, while there is Woburn Safari Park to the immediate north and Whipsnade Zoo to the immediate west of Luton.

There is no shortage of quality options for family days out. Further afield Europe already has more than 1,000 theme and amusement parks, many of them owned by Merlin, renowned for its astute management.

The weather issue

A third factor, potentially, is the weather. This is something that already handicaps a lot of theme parks in northern Europe, such as Liseberg in the Swedish city of Gothenburg, the Tivoli Gardens in the Danish capital Copenhagen and the original Legoland, in the Danish city of Billund, which close for some or all of the winter. So does Phantasialand, one of Germany’s biggest and most popular attractions.

Universal Destinations & Experiences, however, is thought to be undeterred by the English weather and points to the fact that the weather is not always perfect in other parts of the world in which it operates, most notably China and Japan.

The Paris experience

The company also appears undeterred by the experience of Disney in Paris.

The original Euro Disney was loss-making for many years – partly due to mismanagement and partly due to a misunderstanding of what European and particularly French consumers were looking for – and it has only really been since it was fully consumed by the Walt Disney Company, in 2017, that it has been effectively run.

Transport challenges

Another big risk is the transport links. Universal Destinations & Experiences – the name was changed last year from Universal Parks & Resorts to better reflect the kind of services customers will be offered in future in both the physical and virtual worlds – has selected the site primarily for its rail and road links to London and, with one in three visitors expected to come from overseas, for its proximity to Luton Airport.

Yet those links are not currently up to handling the kind of visitor numbers Universal Destinations & Experiences is expecting.

The M1, the main road link to London, is frequently congested around the Luton turn-off at junction 10 and the road links from there to the site in need of improvement.

Accordingly, Universal Destinations & Experiences will be seeking government incentives to invest in local road and rail links.

Support could also come from East West Rail, the proposed new main line railway connecting East Anglia and South Wales, the first phase of which is a line between Oxford and Cambridge and for which a new station at Kempston Hardwick – whose existing station backs onto the land the park would operate – has been proposed.

The planning process

Riskiest of all, perhaps, is the planning process. Local businesses and MPs are supportive while both Jeremy Hunt, the Chancellor and Mark Harper, the Transport Secretary, have been briefed on the project. Planning proposals have been submitted and Universal Destinations & Experiences has held talks with Bedford Borough and Central Bedfordshire Councils.

However, Mr Thompson confirmed that Universal Destinations & Experiences is seeking planning permission via a so-called special development order – which would take the decision out of the hands of the local authorities and instead leave the final decision on planning consent with the Department for Levelling Up, Housing and Communities.

A roll of the dice

So this is a big roll of the dice by Universal Destinations & Experiences.

The investment – the first phase of which will be several billion pounds – will take many years to pay off while thrill-seekers should probably not expect the resort to be up and running much before the end of the decade.

However, starting with a blank sheet of paper as it opens its first European venue, Universal Destinations & Experiences has the opportunity to bring something genuinely new not just to the UK but to Europe.

The name change made by the business last year reflects the fact that, in future, the business expects to be offering branded entertainment, culinary, gaming and consumer product experiences that go a lot further than the traditional theme park and resort offerings.

There could even be experiences at the resort which have yet to be conceived. It could be quite the ride.

Business

UK-EU trade deal: What is in the Brexit reset agreement?

Published

3 hours ago

May 19, 2025

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UK-EU trade deal: What is in the Brexit reset agreement?

The UK and the EU have agreed a new trade deal – five years after Brexit kicked in.

Following six months of talks after Sir Keir Starmer promised a fresh deal when he became prime minister last July, the two sides have come to an agreement.

Here are the details:

eGates

British passport holders will be able to use more eGates in Europe to avoid the long border control queues that have become the norm since Brexit in many EU countries.

Pet travel

Pet passports will be brought back so cats and dogs coming from the UK will no longer need pricey animal health certificates for every trip. After Brexit, pet owners had to get a certificate from a vet in the UK then a vet in the EU before returning.

Red tape on food and drink sales

A new sanitary and phytosanitary (SPS) deal has been agreed to reduce red tape currently needed to import and export food and drink between the UK and the EU.

There is no time limit to this part of the deal, which the government says will reduce the burden on businesses and reduce lorry queues at the border.

The “vast majority” of routine checks and certificates for animal and plant products will be removed completely, including between Great Britain and Northern Ireland.

The government says this could lower food prices and increase choice on supermarket shelves.

Some British foods that have been prevented from being sold in the EU since Brexit will be allowed back in again, including burgers and sausages.

Fishing rights

The current fishing deal agreed in 2020 will continue for 12 years.

There will be no increase in fish quotas.

EU fishing vessels can fish in UK waters, but they require a valid licence, and there are annual negotiations on access and share of stock.

The UK government has announced a £360m investment into the fishing industry to go towards new technology and equipment to modernise the fleet, train the workforce, help revitalise coastal communities, support tourism and boost seafood exports.

Defence

A new security and defence partnership has been agreed so the UK defence industry can participate in the EU’s plan for a £150bn defence fund called Security Action for Europe (SAFE). This will support thousands of British jobs.

The UK and EU will also enhance cooperation over maritime security and accident reporting.

Carbon tax

The deal will see closer co-operation on emissions by the UK and the EU, linking their own emissions trading systems.

The UK’s scheme sets a cap on the total amount of greenhouse gas emissions allowed from the power generation sector, energy-intensive industries and aviation, with companies issued allowances that they can trade with each other.

Under the deal, UK businesses will avoid being hit by the EU’s carbon tax, due to come in next year, which would have handed £800m to the EU.

Steel

British steel exports will be protected from new EU rules and tariffs to save UK steel £25m a year.

Further talks:

Youth mobility scheme

The UK and the EU have agreed to more negotiations on a youth mobility scheme to allow people aged 18-30 in the UK and the EU to move freely between countries for a limited period.

The scheme would include visas for young people working, studying, volunteering, travelling and working as au pairs.

Erasmus

The EU and the UK have agreed they should work towards an Erasmus programme, the student exchange programme which was scrapped when Brexit took place.

Catching criminals

The two sides have agreed to enter talks about the UK having access to EU facial images data to help catch dangerous criminals.

Migration

The two sides have agreed to further work on finding solutions to tackle illegal migration, including on returns and a joint commitment to tackle Channel crossings.

Electricity

The UK and the EU said they should explore the UK’s participation in the EU’s internal electricity market, including in its trading platforms.

Business

Ryanair raises fares after profits hit by lower ticket prices

Published

4 hours ago

May 19, 2025

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Ryanair raises fares after profits hit by lower ticket prices

Europe’s largest airline has seen annual earnings drop by 16% after cutting air fares – but revealed a price hike as it seeks to return to growth.

Ryanair reported profits after tax fell to €1.61bn (£1.35bn) for the year to 31 March, down from €1.92bn (£1.61bn) in 2024, still the second highest on record.

On average, plane tickets were 7% cheaper during this period than the 12 months before, it said.

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There had been a 21% rise in fares in the year up to March 2024, which bosses had signalled was due to end.

Higher-for-longer interest rates and inflation in the first half of the year meant ticket prices had to come down, the budget carrier said.

But fares are already back on the rise, Ryanair’s chief executive Michael O’Leary said.

The airline “cautiously” expects to recover “most, but not all” of the fare decline, which he said will boost profits.

Demand for summer flights is “strong”, Mr O’Leary said, with peak fares “modestly” ahead of last year.

In recent months, that rebound has already been under way. Fares since April are on track to be “a mid-high teen per cent ahead” by the end of next month, compared with the same period last year.

That trend is expected to continue to July, August and September, Mr O’Leary said.

“While we cautiously expect to recover most, but not all of last year’s 7% fare decline, which should lead to reasonable net profit growth in 2025-26, it is far too early to provide any meaningful guidance,” he said.

“The final 2025-26 outcome remains heavily exposed to adverse external developments, including the risk of tariff wars, macro-economic shocks, conflict escalation in Ukraine and the Middle East and European air traffic control mismanagement/short staffing.”

Read more from Sky News:
UK and EU agree ‘Brexit reset’ trade deal

Passenger numbers grew to a record 200 million on the back of cheaper fares, hitting a target that had been reduced due to delays in delivering new Boeing planes.

The US manufacturer has struggled with increased regulatory oversight after a door panel blew off an Alaska Airlines plane mid-flight in January last year. Strike action by staff had added to the delays.

The forecast for passenger numbers has been reduced again. Ryanair now aims to transport 206 million passengers in this financial year.

It hopes to reach 300 million passengers by 2034 and on Monday said it still expects to receive 300 new Boeing planes by 2033.

Business

UK and EU agree ‘Brexit reset’ trade deal

Published

6 hours ago

May 19, 2025

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UK and EU agree 'Brexit reset' trade deal

The UK and the EU have agreed a new post-Brexit “reset” trade deal after months of negotiations.

A UK government source said: “All in all, a good deal for all.”

The talks were the first since Boris Johnson agreed the initial Brexit deal in January 2020, when the UK left the EU.

Politics latest: Details of UK-EU deal emerge

Talks went “down to the wire”, with a breakthrough at about 10.30pm on Sunday ahead of a Monday 10am deadline, as UK fishing rights were, yet again, a major sticking point negotiators had to work through.

Sky News understands the EU wanted permanent access to UK waters for fishing, but they have agreed to access for 12 years.

There will be no change to the current access for UK fishing communities, with no reduction in British quotas or increase in the amount the EU is allowed to catch.

Fishing rights were a major part of the Brexit “leave” campaign, although fishing only accounts for 0.4% of GDP.

Details are expected later today on defence and security, which could feature an agreement allowing British firms access to a £125 billion EU defence.

The two sides were also looking at deals allowing British travellers to use e-gates at European airports and cutting red tape on food exports and animal/plant health for trade.

Sky News understands talks are continuing on a youth mobility scheme to allow people aged 18-30 in the UK and the EU to move freely between countries for a limited period of time.

Sir Keir Starmer promised in his 2024 election manifesto he would sign a new trade and security deal with the EU, and has embarked on a charm offensive across Europe since winning power.

Chancellor Rachel Reeves told a meeting of business leaders it had “not been easy” to reach a deal but said it would “make it easier” for UK businesses.

EU relations minister Nick Thomas Symonds said it was a “historic day”.

“Good for jobs, good for bills, good for borders,” he posted on X.

“And more…Britain back on the world stage, with a government in the service of working people.”

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Conservative leader Kemi Badenoch called the deal “very concerning” and said 12 years EU access for fishing is three times longer than the government wanted.

“We’re becoming a rule-taker from Brussels once again,” she said.

“And with no details on any cap or time limits on youth mobility, fears of free movement returning will only increase.”

Reform UK leader and Brexiteer Nigel Farage described the deal as a “surrender”.

Business Secretary Jonathan Reynolds told Sky News details were still being worked out just three hours before the deadline.

With just over an hour to go before the 10am deadline, the EU ambassadors’ committee approved the deal, ahead of a summit with EU leaders in London this morning.

A news conference to announce the details of the deal is set for later.

This breaking news story is being updated and more details will be published shortly.

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