Latest update for the travel industry

What is currently happening in the travel industry?

24 March 2023
While restrictions due to the pandemic have been lifted in the UK, restrictions were re-introduced for those returning from some overseas locations – so it’s always best to refer to the Foreign Commonwealth and Development Office (FCDO) guidance as countries may restrict travel without notice (FCO foreign travel advice)
Travel providers continue to follow advanced cleaning procedures. Some may continue to ask travellers to adopt measures such as face coverings as a condition of service.
The pandemic saw over 600,000 redundancies in 2020 and a loss of nearly £115bn in sales during 2020 and 2021, and 2022 has seen the industry impacted by new challenges. Unfortunately, the hospitality industry continues to be severely impacted for the following reasons:
  • Discretionary business travel continues to be greatly reduced due to home working and virtual meetings, typically reducing business travel days of the week from Monday to Thursday per-pandemic to Tuesday and Wednesday now. This is further not aided by ongoing rail and airport disruption.
  • The ongoing uncertainty in the hospitality industry makes recruitment harder, and unfortunately a lot of skill and experience was lost before and during the pandemic – consequently the new employees are far less experienced than their predecessors.
  • With the cost of recruitment, utilities and food remaining very high, this has created the perfect storm – with travel requirements reduced, many hospitality companies are struggling.
  • These two scenarios make government funded schemes around asylum and immigration far more attractive than they would have. Recent reports indicate that at least 500 venues are closed to general availability for this reason, reducing the number of rooms available and further driving rates up.
  • Where it is possible for you to save money is to consider holding meetings on Mondays and Thursdays as prices may well be lower.
PRIORITY is here to help you overcome these challenges, continue to meet your travel policy requirements, and keep you informed about issues and help.
Should you require any assistance or guidance to help reduce your costs, please contact your travel team or get in touch PRIORITY.
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