ABTA's reponse to the Budget
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dhewitt@abta.co.uk Wed, 11/26/2025 - 11:57
Mark Tanzer, ABTA Chief Executive, said:
Against a difficult economic and fiscal backdrop, it will take some time to assess the impact of today’s Budget. But what is clear, is that the success of the travel industry has never been more critical to the overall health of the UK economy.
As such, the move to support high street businesses, including travel agencies, through a permanently lower level of business rates, is very welcome. However, ABTA remains concerned about the cumulative impact of taxes and levies on travel businesses and consumers.
The introduction of a wide range of new taxes and tax increases, largely targeted at middle- and higher-income earners, is something that will need to be monitored carefully. With travel powering the UK economy over recent years, any negative impact on consumer demand for holidays would directly contradict the Chancellor’s own growth agenda.
Similarly, changes to employment and business taxes, including further increases in the National Living Wage, especially for younger workers, will increase the cost of employment. The government must be careful not to deter businesses from hiring staff, especially those younger people who are looking to start their careers in travel. However, there were also some positive moves in this area, including enhanced access to apprenticeships for SMEs.
Continue reading...
Full Page image
dhewitt@abta.co.uk Wed, 11/26/2025 - 11:57
Mark Tanzer, ABTA Chief Executive, said:
Against a difficult economic and fiscal backdrop, it will take some time to assess the impact of today’s Budget. But what is clear, is that the success of the travel industry has never been more critical to the overall health of the UK economy.
As such, the move to support high street businesses, including travel agencies, through a permanently lower level of business rates, is very welcome. However, ABTA remains concerned about the cumulative impact of taxes and levies on travel businesses and consumers.
The introduction of a wide range of new taxes and tax increases, largely targeted at middle- and higher-income earners, is something that will need to be monitored carefully. With travel powering the UK economy over recent years, any negative impact on consumer demand for holidays would directly contradict the Chancellor’s own growth agenda.
Similarly, changes to employment and business taxes, including further increases in the National Living Wage, especially for younger workers, will increase the cost of employment. The government must be careful not to deter businesses from hiring staff, especially those younger people who are looking to start their careers in travel. However, there were also some positive moves in this area, including enhanced access to apprenticeships for SMEs.
Continue reading...
