Ahead of the new Chancellor’s first Budget, ABTA represents members’ needs to government

Next month we’ll have the first Budget under the new Prime Minister and new Chancellor, which is likely to tell us more about what we can expect from this government. 

Ahead of the Budget, and as part of our ongoing public affairs activity, ABTA is working to make sure the government understands that the travel industry plays a vital role in supporting economic growth, jobs and prosperity across the country, and the policies needed to help our industry thrive. 

This week we submitted our representation to the Treasury ahead of the Budget, which makes the case for policies that support our members’ businesses and the wider travel industry. In our submission, we called for businesses to be extended the same “breathing space” that the government has said it wants to offer consumers, with several practical measures outlined that would help maintain the competitiveness of UK travel businesses whilst ensuring travel remains accessible and affordable for consumers.

Included in these measures are avoiding further rises in APD; instead we are calling for a freeze to rates for the remainder of the Parliament. We’ve also proposed taking all children out of the tax and removing premium economy passengers from higher rates. 

Elsewhere, ABTA is calling for targeted support for high street travel businesses, recognising the value agents bring to their local communities and the pressures many high street businesses are under.

We also continue to push for the government to deliver on its commitment to strike a Youth Experience Scheme with the EU - which would go some way to addressing skills shortages and supporting the future travel workforce. 

Meanwhile, while stressing ABTA’s continued support for decarbonisation of aviation, the representation also stresses the importance of keeping travel affordable and ensuring people are not priced out of holidays.

Travel is a strategically important industry for the UK, delivering economic value in every region of the UK. There is also huge growth potential for our industry – with forecasts the sector could be worth £10bn more a year by the turn of the decade. 

This can only be achieved if government adopts policies that support growth and investment. We look forward to continuing our constructive engagement with government as it considers the measures needed to strengthen the UK's long-term competitiveness. As well as making this point in our Budget submission, we’re also making the case for the travel industry at the political party conferences, attending six events this year.

You can read ABTA's full Budget submission in the Member Zone and our press release.

Mark Tanzer, Chief Executive