David Burt, the Premier, celebrated the recovery of Bermuda’s tourism industry, but announced that the grant for the Bermuda Tourism Authority would be cut by almost $2.5 million.

According to the Budget, the BTA will receive a $16.54 million grant for the upcoming fiscal year, compared with the $19 million allocated last year.

Mr Burt said in the Budget statement that funding had been “redirected towards increasing funding in other priority areas”.

He added: “The ministry has increased funding for grants for cultural and entertainment events to enhance interaction between visitors and locals, increased funding for elite athletes through grants and increased access to the National Sports Centre, increased funding to expand the availability and accessibility of affordable summer camp programmes, and increased funding for sports development in line with the National Sports Policy.

“As promised in the Throne Speech, Capital Account Funding has been awarded for the establishment of maker spaces to create collaborative workspaces for artists and creatives.

“Operational funding has also been allocated to support this initiative.”

The Budget book listed $840,000 for culture and entertainment support, up from $540,000 last year.

A total of $350,000 was allocated for elite athlete support, up from $250,000, while $1.35 million was earmarked for National Stadium trustees, up from $1.1 million.

The Budget also includes a $500,000 capital investment from the Ministry of Tourism, Culture and Sport for maker spaces for creatives.

Earlier in the speech, Mr Burt highlighted the recovery of the island’s tourism sector in the aftermath of the Covid-19 pandemic.

He noted that leisure air arrivals had increased by 21.9 per cent and cruise arrivals were up by 30.5 per cent compared with 2022.

“Total air visitor spend reached $341 million, up 26.4 per cent from 2022, and total cruise visitor spend totalled $151 million, up 46.8 per cent from 2022, surpassing pre-pandemic levels,” he said.

“Further, the superyacht sector attracted 56 visits, with an estimated economic impact of $2.9 million.

“Revenue per available room increased by 22.6 per cent, driven by an increase in hotel occupancy of 15.5 per cent and a 6 per cent increase in the average daily rate.

“This uptick in overall tourism activity has also resulted in the second consecutive year of job growth in the sector, which added 339 jobs, bringing the total number of jobs to 3,636.”