The euro is coming!

SAY phooey to the introduction of the euro to Europe from January 1 at your peril - particularly if you have a tourism-related business in York or North Yorkshire.

Put on your (Sterling) little Englander hat and declare that the last thing you want to do is undermine our currency by accepting theirs, and you will quickly find out that there are at least 356,000 reasons why you are wrong.

That is how many Europeans annually arrived in York alone at the last count in the year 2000.

And given the latest massive push to attract more EEC tourists to the region, expect a lot more to arrive brandishing euros galore.

Never was it more crucial to make them welcome. The region needs to make up the shortfall left by a drop of 20 per cent in the number of American tourists following the terrorist attacks in the US on September 11.

Yet hundreds of businesses in York and beyond have not prepared (or possibly even cared) to train staff to accept and understand euros, convert their computers and cash registers to receive the new currency, find methods of regularly updating their rate of exchange information or even to price their wares in both sterling and euro.

They have not thought about changing their marketing literature or even opening a separate euro bank account.

No, there is no legal reason why they should. But it's good business.

The apathy for the euro is disheartening news for York Tourism Bureau which has just stepped up its bid to woo more Germans, Dutch and Belgians by launching a new campaign, First Stop York By Ferry, linking arms with P&O North Sea Ferries.

Any Benelux tourist who uses the shipping line to travel to York between now and the end of March can claim a voucher booklet offering half price entrance to the city's attractions and can book three night's accommodation for the price of two.

A leaflet mailed to 200,000 homes in the lowlands is hoped to increase visits to North Yorkshire by 10,000 next year.

On top of this will be big promotional "meet the media" events by Kay Hyde, the public relations manager of the First Stop York Tourism Partnership, events in Frankfurt, Brussels and Amsterdam. In short, the new Euroland.

The need to inject more urgency into British businesses about the imminent arrival of the euro has prompted the British Tourist Authority to publish its own euro Guide For Small Tourism Businesses.

It urges those small businesses not to think of the euro as "just another foreign currency". As the legal tender of 12 European countries and 300 million people, many businesses, large and small, were now beginning to feel its impact on how they do business.

And the tourism industry would be particularly affected. From January 1 "travellers within the euro area are expected to quickly realise the benefits of using a common currency and may expect businesses outside the euro area to follow suit," it warns.

Gillian Cruddas, chief executive of York Tourism Bureau concurs. "The danger is that Europeans will arrive in York expecting to spend their euros and we won't be able to accommodate them.

"We are competing with Paris, Florence and Brussels, not only other British tourist resorts. We don't want to be seen to be left behind.

"We urge any business in York related to tourism to urgently seek advice from their banks."

But not everyone in York is lax. Marks & Spencer stores in the city have staff trained, ready and waiting to accept euros, with till points on every floor, and software linking it to regular updates on the rate of exchange between the euro and Sterling.

Rick Buckland, M&S manager at York, says: "As a business our tills have always been able mechanically to accommodate European currencies. It used to be a paperwork exercise in which our head office would give us, say, Deutchmark conversions.

"Staff would send people with European currency to the customer service desk and we would operate as a bureau de change against a rate fixed two or three times a week. This was clumsy and not particularly user friendly. Administrative costs meant that the exchange rate was not particularly attractive to customers."

Then the store contracted out its bureau de changes in 20 tourism centres, including York, to a firm called Corporate Foreign Exchange which provided the software and exchange rate updates.

Now, instead of 16 European currencies staff would be dealing with one and the exchange rate would be automatically updated overnight. While euros would be accepted, change would be given in sterling coins.

Mr Buckland, who used to be based at the store's Paris head office, said: "Once you make 'think customer' your basic premise then it becomes obvious that you have to accommodate the euro.

"There is, of course, the added advantage that whether or not you want Britain to adopt the euro, if it comes you will be ready. It is a sound investment either way."

York's hotels also appear to be gearing up for payments in euros. Chris Wilson, general manager of the York Marriott, said: "Between now and January 1 staff will be trained in the look and validity of euros with samples sent us by our foreign exchange company. About ten per cent of our guests are from the continent.

"We will encourage Europeans to charge all aspects of their stay with us to their room and when they check out they can pay either in sterling or euros, with the bill expressed in both currencies.

"There are huge advantages. Previously we had to deal with 13 currencies and the opportunity for fraud or mistakes was much greater."

But the lack of action elsewhere in the wider business community of North and East Yorkshire has prompted David Dickson, chairman of the small business group of the Yorkshire and Humber Institute of Chartered Accountants, to sound the alarm.

He said: "It is now vital that customer-facing enterprises really make sure that they - and their staff - are up to speed.

"There are 14.5 billion new notes and 40 billion new coins coming into circulation and it is possible that some outlets - probably the larger ones it is true - may be faced with foreign visitors with Euro currency in their pockets.

"Even if tourists have Sterling, they may also wish to know the equivalent 'euro cost' and hotels in particular may need to be aware."

Mr Dickson, of Garbutt and Elliott in York, added: "Whatever one's view on the euro it will soon be a reality for 12 of the EU member states - and local businesses need to be able to deal with it."