10 Sep
2026

ABTA submits its representation to the Treasury ahead of the Autumn Budget

This week ABTA submitted its representation to HM Treasury ahead of the Autumn Budget, the first since Andy Burnham became Prime Minister.

ABTA has called for businesses to be extended the same “breathing space” that the government has said it wants to offer consumers, together with a range of other measures that support issues that matter to members and support the future growth and development of the industry.

Amongst its asks ABTA has urged the Chancellor to avoid further inflation-busting rises in APD and called for a freeze to APD rates for the remainder of the Parliament. ABTA has also proposed other APD reforms, including taking all children out of the tax and removing premium economy passengers from higher rates.

ABTA has also called for targeted support for high street travel businesses to recognise the value agents bring to their local communities. In addition, it has asked that the UK Government should deliver its commitment to agree a Youth Experience Scheme with the EU – historically an invaluable source of labour as well as a well-recognised and successful route into the travel industry.

ABTA also reminded the Chancellor that UK's travel industry plays a vital role in creating economic growth, jobs and prosperity across the country with ABTA research showing that outbound travel alone supports more than 818,000 jobs and contributes £52 billion in annual Gross Value Added to the UK economy.

Luke Petherbridge ABTA Director of Public Affairs said:

“Travel and tourism is a vitally important industry supporting hundreds of thousands of jobs and contributing billions of pounds to the UK Economy each year.

“The new Prime Minister and his cabinet have an incredible opportunity in their first budget to support the industry by avoiding further travel tax increases and help hard pressed families by removing children entirely from the tax regime.

“Young people could also benefit immensely if the Government were to follow through on its commitment to a Youth Mobility scheme. This would once more give the opportunity for those starting out on their careers to work on the continent which would also help to address a skills and staffing shortage in the travel industry.”

ABTA’s Budget policy asks to help support members and the wider industry:

  • Take a fair approach to tax:
    • Freeze Air Passenger Duty (APD) rates for the remainder of this Parliament.
    • Reform the treatment of Premium Economy passengers within APD.
    • Remove children entirely from APD regardless of travel class.
    • Assess the cumulative impact of taxation, sustainability costs and regulatory burdens on the competitiveness of UK travel and tourism.
    • Ensure any visitor levies introduced in England are transparently administered and ringfenced for reinvestment into the visitor economy. 
  • Support decarbonisation:
    • Continue supporting the development of a domestic Sustainable Aviation Fuel industry.
    • Ensure the UK's approach to aviation decarbonisation remains internationally competitive.
    • Maintain support for maritime decarbonisation. 
  • Continue working with European partners to reduce practical barriers to travel, including:
    • Prioritise solutions that support school and educational travel.
    • Deliver the UK-EU Youth Experience Scheme as quickly as possible. 
  • Support high street travel businesses:
    • Deliver a business rates system that supports high street businesses.
    • Extend the principle of targeted rates support currently available to parts of the hospitality sector to other tourism-related businesses where appropriate. 
  • Support a more flexible skills and training system.

 

Notes to editors

ABTA is a trade association for UK travel agents, tour operators and the wider travel industry. We’re the largest travel trade body, with over 3,500 travel brands in membership who have a combined annual UK turnover of over £41 billion. We work closely with our members to help raise and maintain standards and build a more sustainable travel industry, and provide travellers with advice, guidance and support.

Our members sign up to a code of conduct and commit to agreed service standards and fair trading. When you need clear travel information, and accurate and impartial advice relating to your trip, we’re here for you. When you book with an ABTA member, reliable advice comes as standard. This means that booking with our members brings peace of mind.

All this together means we help you travel with confidence. www.abta.com