Dunoon the popularity of overseas travel increased. In 1961, during the height of the Cold War, Dunoon became a garrison town to the United States Navy. In 1992, they closed their Holy Loch base, and Dunoon suffered an economic downturn. Since the base's closure, the town and surrounding area are again turning to tourism, marketing to outdoor enthusiasts and wildlife lovers as well as promoting festivals and competitions. The largest annual event held in the town is the Cowal Highland Gathering. The Royal National Mòd has been held in the town seven times and in 2018 will again be held at
Highland Scottish Initially, upon deregulation, Highland continued to enjoy the monopoly position across much of its operating area. Competition started around Fort William with the arrival of a new company, Gaelic Bus, owned by Alexander MacConnacher, Brecklet, Ballachulish. However, it was the competition in the biggest town in the Highland Scottish network that was to prove controversial. Highland Scottish was the sole operator in Inverness and provided all bus services in and around the town. However, in May 1988, a group of ex-Highland drivers formed Inverness Traction Ltd, operating a fleet of leased minibuses and operating in parallel to Highland's Inverness network.