Brexit could stop London from being top retail destination

London could soon lose its crown as the world's top tourist and retail destination if the UK votes to leave the European Union in its referendum next month.

London recently came out on top as the UK's tourism hotspot, with tourists spending 36 billion pounds a year in the capital.

"For years London has been the world’s prime tourist destination precisely because we are renowned for our openness and welcoming of visitors," Labour's London Assembly economic spokersperson Fiona Twycross warned.

Tourists would be discouraged from visiting

"Leaving the EU would effectively signal that we are pulling up the drawbridge and that London is closed for business. Not only would this diminish our great city, it would discourage the tourists who contribute so much to our economy. For London’s tourism sector Brexit could mean a devastating loss of billions of pounds and put at risk thousands of jobs."

Twycross' warning was echoed by business organisation London First, whose director of tourism, Matt Hill, added that voting to leave could mean "our rivals in Paris or Rome could reap the benefits at our expense".

Flagship stores will suffer from loss of tourism

"Cutting ourselves off from Europe is not in the interests of the tourism industry. Any new barriers which add complexity and expense to holidaying or doing business in London will put at risk investment in the capital’s attractions, flagship stores and hospitality venues."

According to the capital’s promotion agency London and Partners, in 2014 the capital's tourism industry handled 17.4 million visitors, contributing 11.8 billion pounds to the UK's economy economy. Of these visitors 11.5 million, 66 per cent, originated in Europe showing the importance of continental tourists to London’s tourist economy.

Image:London West-end