Chief executive Julia Lo Bue-Said welcomed the move and described the UK’s travel testing regime as the "bane of the industry".
"The step announced today to scrap all remaining tests for vaccinated travellers on arrival into the UK is without a doubt going to stimulate the industry even further including inbound and business travel," she added.
"Consumer confidence is rising incrementally with every relaxation of the rules. Tests have been the bane of the industry adding confusion, added stress and, of course, additional cost for travellers."
Lo Bue-Said also welcomed the change for unvaccinated travellers returning to the UK, who will now only be required to take a pre-departure test along with a Day 2 PCR test – removing the need to isolate for 10 days or take a Day 8 test.
She predicted the move would lead to a further increase in bookings for the half-term holiday in February, the Easter break and the summer holidays.
"The most popular destinations are offering that all-important winter sun, and we are seeing strong demand for the Canary Islands, with Tenerife being the front runner," she concluded.
Meanwhile, Ailsa Pollard, chief executive of Gold Medal parent dnata, said after an "increasingly positive" January, the overhaul could be "just the boost" would-be holidaymakers needed to make a booking. "There are still deals and availability, but consumers should move fast to avoid disappointment," said Pollard.
"It’s important now that the industry and the relevant authorities work together to ensure a plan is in place to prevent disruption in the event of future variants, so travellers can once more trust they can enjoy the many benefits of getting away again without hassle or interruption."