Britain’s economy will lose £18 BILION if international travel restrictions remain in place until the summer, MPs warn
- Aviation group found lack of tourists would cause loss of £7.5bn to hospitality
- Outbound travel is expected to be hit with losses of £10.5bn with restrictions
- Bosses have said that government needs to offer significant support package
The UK economy is set to lose £18billion if restrictions on international travel aren’t lifted before summer, according to research by an aviation group.
The all party group on the future of aviation conducted a study which found that a lack of international tourists would cause a loss of £7.5billion to shops, restaurants, hotels and tourist destinations.
Outbound travel is expected to be hit with losses of £10.5billion if travel restrictions remain in place and keep passenger numbers at low levels.
The all party group on the future of aviation conducted a study which found that a lack of international tourists would cause a loss of £7.5billion to shops, restaurants, hotels and tourist destinations. Pictured: Heathrow today
The Conservative MP who chairs the group, Henry Smith, told The Telegraph: ‘Our aviation, travel and tourism industries have faced the hardest twelve months in their history and have been devastated by a collapse in passenger numbers and delays to the promised recovery package.
‘These figures lay bare the brutal reality that without further financial support and a clear pathway out of the restrictions, these industries who are already running on empty will be left in a battle for survival.
‘The pandemic has been disastrous for our aviation, travel and tourism sectors and the consequences of a lost summer season will be beyond devastating not only to the businesses involved, but their employees, their communities and the UK economy as a whole.’
He added that it was vital for the government to create a clear roadmap out of the restrictions and offer a significant package of support to protect the industries.
Outbound travel is expected to be hit with losses of £10.5billion if travel restrictions remain in place and keep passenger numbers at low levels. Pictured: Heathrow today
The chief executive of international trade consultancy UKinbound, Joss Croft, said that the removal of travel corridors combined with the introduction of quarantine hotels has led to a significant number of cancellations.
He too said it was essential for Boris Johnson to create a roadmap detailing how the tourism sector will be able to reopen.
Mr Croft told the publication: ‘The Chancellor needs to recognise that we have a long road to recovery and that tourism businesses need support today to ensure they’re able to survive long enough to support the UK’s economic recovery.’