Solo traveller Pexels Archie Binamira

ABTA report: Outbound travel boosts the UK economy

ABTA has released Driving Growth – The economic value of outbound travel, a report on the contribution of the outbound travel sector to the UK economy.

According to the report − which aims to lay to rest the idea that outbound travel is not a fiscal multiplier for the country − the contribution to the UK economy from outbound travel has increased by a third since 2014. The overall contribution to the UK economy from outbound travel now stands at £37.1 billion and 1.8% of GDP, up 36% from £27.1 billion in 2014. This is the Gross Value Added (GVA) of the travel industry, which takes account of direct spend on travel services and holidays, as well as a range of associated products and services such as duty free, cameras and suntan lotion.

The analysis finds that travellers now spend more in the UK before they travel than they do while abroad. UK travellers spent £45.7 billion in 2017, compared to £44.8 billion overseas, an increase of almost £10 billion since 2014. This is the third report from ABTA of this nature and it demonstrates the significant contribution the sector makes to the UK, and highlights its strength, resilience and ability to grow amid global challenges and uncertainty.

The travel industry is a big employer within the UK, directly employing 221,000 jobs and supporting a further 526,000 jobs in the wider economy, including retail staff and manufacturers. Both have increased since 2014 – from 214,000 and 435,000 respectively. This represents a higher employment figure than the entire wholesale and retail distribution of motor vehicles and motorcycles, and adds up to more jobs than the UK’s iron and steel or electrical equipment manufacturing industries. 

“Too often the contribution of the UK outbound travel industry is overlooked in favour of a myth that overseas travel creates a ‘tourism deficit’ with money going overseas which could be spent in the UK,” said Mark Tanzer, ABTA chief executive. “The evidence is clear that this is not the case − the benefits of the outbound sector are being felt by the wider economy in terms of jobs, support for other businesses and tax contributions to the Treasury. In order to continue to grow and thrive, the government needs to make sure the right tax and policy framework is in place.”

The report is based on analysis by The Centre for Economics and Business Research (CEBR), based on 2017 figures, which is the most recent data available.


More News...

Food and fiesta in the s…

 Food and fiesta in the sunshine state

Seaworld Florida will be playing host Tampa Bay’s celebrated Food & Wine festival from March 16 to April 28.

Flybmi ceases operations,…

Flybmi ceases operations, passengers stranded

British Midland Regional Limited announced on Saturday that it has ceased operations and is filing for administration.

Thailand now offering 'eV…

Thailand now offering 'eVisa on Arrival' for 21 countries

Thailand is now offering eVisa on Arrival (eVOA) service for travellers from 21 countries, thereby enabling a faster and more convenient arrival into the country. 

Singapore Tourism celebra…

Singapore Tourism celebrates bicentennial with a year of events

The Singapore Tourism Board is commemorating the city state’s bicentennial year with a series of events running throughout 2019.

Carnival opens bookings f…

Carnival opens bookings for Mardi Gras voyages

Mardi Gras, the latest vessel for Carnival Cruise Line, is now open for bookings ahead of its inaugural schedule for 2020.

Premier Holidays partners…

Premier Holidays partners with Visit Isle of Man

Premier Holidays has partnered with Visit Isle of Man to market all-inclusive breaks to UK travel agents.

Agents advised to plan ah…

Agents advised to plan ahead to avoid taxing times

Agents who complete Self Assessment tax returns at the end of each financial year are advised to start planning early to avoid last-minute panic and late filing penalties which caught...

A quarter of Brits stroll…

A quarter of Brits stroll toward walking holidays

The days of Brits abroad lazing by the pool appear to be over, a new study has revealed.

Tauck announces 2019 savi…

Tauck announces 2019 savings for solo travellers

Tauck is welcoming solo travellers with special savings in 2019. 

Crystal Endeavor to sail …

Crystal Endeavor to sail from Anadyr to Norway in 2021

Crystal Expedition Cruises’ Crystal Endeavor will embark from Anadyr, Russia to Tromsø, Norway on August 18, 2021. 

Diversity of Italy ideal …

Diversity of Italy ideal for escorted tours says Newmarket Holidays

From the Northern lakes to southern outpost of Sicily, Italy has a lot to offer clients enthuses Newmarket Holidays’ commercial director Dave Sharman, who said: “Italy has so much more...

No1 Lounges reveals new l…

No1 Lounges reveals new lounge at Edinburgh Airport

No1 Lounges has opened a new lounge at Edinburgh Airport.

Prev Next

twn Are you sure that you want to switch to desktop version?