Trade body UKinbound has written to chancellor Rishi Sunak pleading with him “not to abandon” the inbound sector when it was “on the cusp of recovery”.
The latest plea comes after UKinbound’s latest member survey showed one-third of businesses did not expect to survive until next spring – risking the loss of thousands of jobs.
The research also revealed that 82% of inbound operators had seen revenue plummet by more than 90% since the start of the pandemic in March 2020.
More positively, nearly half (48%) of members were now “confident” about the next 12 months – the highest level seen since the Covid crisis began.
UKinbound wants the government to extend the furlough, currently due to end at the end of September, until the end of April 2022 specifically for the UK tourism industry, as well as to create a tourism recovery fund.
Joss Croft, chief executive UKinbound, said: “Inbound tourism businesses such as tour operators and DMCs face a cliff edge on 1 October when furlough ceases due to the government’s misconception that these businesses have been in recovery for many months and have large levels of new revenue coming in.
“Businesses that sustain the UK’s fifth largest export industry – inbound tourism – have only just managed to survive the last 19 months. They’ve lost out on the valuable 2021 summer season and are facing a winter with minimal income.
“Removing support measures would be absolutely counterintuitive, given the investment government has already made in the industry since the start of the pandemic and the potential for recovery.”
Croft said the next nine months would be “critical” for the inbound sector and the government needed to take measures to ensure the survival of the UK’s 230 inbound tour operators and DMCs through the winter.
“2022 presents a tremendous global opportunity for the UK as it hosts and celebrates the Commonwealth Games in Birmingham, Festival UK 2022 and the Queen’s Diamond Jubilee,” added Croft.
“These events will bring vast economic, cultural and societal benefits to the country which will play a vital role in the UK’s economic recovery, but they will only be realised if we have a thriving inbound tourism industry in place.”
