A long, hot summer helped make Brighton and Hove one of the ten most profitable postcode districts in the country.

Glorious weather last year attracted millions of tourists to the city who spent money in shops, bars, restaurants and hotels.

As a result, the city's BN code finished eighth in the Royal Mail's Barometer of Business Success (BBS) survey, which measures the profitability of 121 postcodes.

The city came higher than the swanky SW and WC districts of London and every other coastal resort except Torquay.

The survey is backed by latest figures which show how important tourism is to the economies of Brighton and Hove and Sussex.

More than five million tourists add £2.4 billion to the Sussex economy each year with £360 million - 15 per cent - going to Brighton and Hove. A typical visitor to the city spends £172, slightly more than the south-east average.

Other successful coastal towns included Torquay (fifth) and Portsmouth (29th).

In terms of employment growth, Brighton and Hove ranked 64th in the survey - beating Leeds, Manchester and Sheffield.

But the city's reputation as a hotbed of young enterprise may be waning. It slipped nine places to 57th in a table counting new businesses.

Steven Gauge, of business support group Sussex Enterprise, said: "Brighton and Hove is an important and popular tourist destination both nationally and internationally.

"However, strong economic performance in recent years is down to a number of factors, not simply long, hot summers. Brighton has a thriving economy with a wide spectrum of businesses.

"If there is a levelling-off in the city's economic performance this will be down to a number of factors and not just the weather.

"Competition from other holiday destinations, particularly cheap European flights, is as likely to affect the tourist trade."

Some experts have suggested Brighton and Hove should be trying to attract fewer visitors - but bigger spenders - to preserve the environment and ease congestion.

The research, carried out by Wegener Direct Marketing, used a combination of three indicators - profitability, growth, and new business, to develop its survey.

Thursday August 05, 2004