Foot-and-mouth wrecks British tourism industry

The rural tourist industry in the UK is losing about £100m a week because of foot-and-mouth.

The British Tourist Authority says the UK is being inundated with cancellations from France and the US.

The Federation of Small Businesses has urged the Government to set up an emergency compensation fund for the industry.

Hundreds of jobs have been lost and some hotels have been forced to close because of safety restrictions and dwindling trade, reports The Observer.

Rural tourism normally generates around £150m a week at this time of the year.

Cumbria Tourist Board says it is getting 20-30,000 cancellations a week. It is a similar story across the rest of the country.

Philippa Swaine, of the British Tourist Authority, said: "This is also the time of year that people are planning holidays for the summer, and they are thinking they will give Britain a miss this year."