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Gloucestershire Business News

Travel needs help to keep moving warns ABTA

Travel industry trade body ABTA has called for "tailored support" to stem the flow of job losses.

Around 65 per cent of travel firms have been affected by redundancies with about 39,000 jobs lost to date, according to the Association of British Travel Agents.

And after STA Travel became the latest big-name casualty of the pandemic, ABTA warned things will get worse without help.

It has written to Chancellor Rishi Sunak to ask for further support with moves such as a suspension of Air Passenger Duty for next summer, warning that 96 per cent fear a second lockdown would have a serious impact on their ability to survive.

Chief executive Mark Tanzer said: "Travel desperately needs the government in its next review to provide tailored support or tens of thousands more jobs will be lost.

"We have already seen well-known and respected businesses that would normally be successful falling into administration, and more are sadly set to follow."

Five hundred jobs are at risk after STA Travel, which specialises in long-haul trips for young people and students, ceased trading on Friday.

Earlier this month, Hays Travel said it was cutting almost 90 jobs while the UK's largest tour operator Tui is shutting 166 high street stores in the UK and Ireland with 900 jobs affected.

The company had previously announced 8,000 jobs would go worldwide.

Mr Tanzer said: "With the government's stop start measures, the restart of travel has not gone as hoped for the industry, and sadly businesses continue to be adversely affected and jobs are being lost at an alarming rate.

"Coming towards the end of the traditional period for peak booking, we have hit a critical point as existing government measures to support businesses begin to taper off."

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