The Travel Association reveal the UK’s outbound travel industry generated £51.6bn1 for the UK economy in 2023 – an increase of 5% from 2019’s figure of £49bn2.

ABTA says the economic contribution, as well as the 818K jobs the industry supports across the UK, shows the importance of the outbound travel industry to national and local economies and shows that – with the right policy support - the sector can help the Government achieve its growth agenda.

However, the Association warns that the industry’s growth is at risk of stalling if the right policy framework isn’t in place, and has expressed reservation about consumer and business confidence levels following the Budget.

As well as the additional employment costs travel businesses will face because of employer national insurance increases, Air Passenger Duty on flights is also due to increase by 14% on a short haul economy flight from April 2026 and by £12 on an economy flight long haul.

ABTA says it is keen to work closely with the Government to ensure the industry’s potential is realised, with a particular focus on the following policy areas:

Support for the decarbonisation of aviation and cruise, delivered through policies that seek to avoid pricing people out of travelling.

Business rates reform, which recognises the value of high street businesses and addresses the current financial disadvantages faced by travel agents with high street premises.

Enhanced trading arrangements with the EU, including a youth mobility deal that will restore the opportunity for UK nationals to work in temporary tourism roles overseas.

Mark Tanzer, Chief Executive of ABTA said: “The new Government has placed delivering growth at the top of its agenda, and today’s figures clearly show that travel can play a leading role in stimulating the growth we all want to see.

“Communities up and down the country are benefiting from the revenue and jobs created by outbound travel and we want that to continue.

“The last few years have not been easy for our industry, but travel has proven remarkably resilient to date. Whilst we should celebrate that fact, with the effects of the pandemic still being felt by travel businesses and the ongoing cost of living challenges facing consumers, we cannot simply take our future success for granted.

"There are notable obstacles to businesses operating in travel, including travel to the EU – home to the UK’s largest holiday destinations – and increased costs of doing business at home.

“However, I remain optimistic about the ability of travel to continue to drive growth. With the right tax and policy framework the industry can support the Government in delivering its growth ambitions, and today I am asking ministers to work with us to that end.” 

The figures were released to coincide with ABTA’s Travel Matters event, held in Westminster today, and are the headline findings from a full report that will be published in early 2025.