I definitely think people are still afraid of flying after 11 September and they're staying in Britain

Margaret Walker, Guesthouse owner

The Wales Tourist Board put the losses at �280m.

However, evidence from the regional tourist information centres indicates that the situation is improving.

Many places are seeing an increase in enquires due to the recent spell of good weather, which is expected to continue into the holiday period.

Guesthouse owners in north Wales have reported a boom in business this easter.

Special activities have been put on in Erddig

Margaret Walker has run a bed and breakfast in Llandudno for 17 years.

"We're already full up for the Easter holiday," she said.

"We didn't suffer to much following foot-and- mouth last year, I think being by the seaside helped us.

"People still came here but they couldn't go on the Orme and they couldn't go to Llanberis.

"I definitely think people are still afraid of flying after 11 September and they're taking their holidays in Britain."

As with all events, we do expect visitor figures to increase

Ruth Williams, National Trust

Llanberis tourist board has recorded a massive change in fortune.

A spokeswoman told BBC News Online that the area is nearly fully booked from Friday until at least Monday.

Forecasts of the level of overseas tourists to the UK in 2002 - estimated by the British Tourist Authority (BTA) - indicates that visitors from abroad are getting over their fear of flying.

The BTA concluded that there will be a 5% increase in overseas visitor levels and a 7% increase in expenditure by overseas tourists compared to 2001.

This will almost bring visitor and expenditure levels up to the overseas visitor levels achieved in 2000.

Visitor figures

The Welsh economy receives an injection of �260m from overseas tourism every year.

For many organisations, the Easter break is an indication of visitor figures for the year ahead.

Many National Trust properties opened their doors for the first time on Good Friday.

Ruth Williams said they have lined up specific activities.

"Easter egg trails have been organised at Erddig in Wrexham and Chirk Castle."

She added: "As with all events, we do expect visitor figures to increase."