ABTA Chief Executive Mark Tanzer said today that the travel industry was hit by the pandemic ‘like no other sector’.
During a roundtable for the ongoing COVID inquiry, ABTA pointed out that, unlike other businesses, travel companies were unable to ‘pivot’ to other ways of making money.
It said that while it recognised the Government’s priority during COVID was to protect public health, ‘measures were often applied without full consideration of how the industry operates, and the different businesses within it’.
The evidence provided by ABTA during the roundtable features in a new report published today (16 February).
ABTA also told the inquiry that travel businesses couldn’t maximise the opportunity for furlough because of the need to process cancellations.
The association also highlighted how it was only due to its own lobbying that agents were eventually included in the scope of grants support when retail was closed.
Other sectors, such as coach and tour operators, were not offered any national support packages at all, despite being ‘effectively closed down’.
“The travel industry felt the impact of the COVID-19 pandemic like no other sector,” said Mark.
“When travel shut down, unlike most other businesses, travel companies couldn’t pivot – no international travel meant no revenue.
“We know some of our members are still feeling the effects, particularly the pressure of loan repayments,” he added.
“Of course, we recognise the immense challenge the pandemic posed the Government, and the need to protect public health. However, as recognised in today’s report, often measures adopted were impractical and did not reflect business realities.
“For example, the traffic light system to get travel going again – while designed to support the industry – resulted in frequent changes to travel rules which caused operational problems and damaged consumer confidence.
“This is why it has been really important for the COVID-19 Inquiry to hear from the industry, and we were pleased to have been able to share our insight and members’ experience.
“If a similar situation arises in future, we need a policy response that protects public health but also recognises the impact on business, providing tailored measures and commensurate support.
“It’s encouraging to see that the report also recognises the role of the Refund Credit Notes, an initiative which was instigated by ABTA, and where we were able to secure the backing from the Civil Aviation Authority and Government.
“This helped to save many travel businesses, as well as providing confidence for consumers that they wouldn’t lose out financially.”
