Tourism industry reaction after UK votes to leave the EU
![Tourism industry reaction after UK votes to leave the EU](https://www.tornosnews.gr/en/files/british_tourists_219009341_171804953.jpg)
Tourism industry leaders reacted to the vote to leave the EU by insisting it should have little immediate impact on travel, travelweekly.co.uk reports.
EasyJet, which identified strongly with the campaign to remain, issued a statement saying it is confident the vote "will not have a material impact on its strategy or its ability to deliver long term sustainable earnings growth and returns to shareholders".
British Airways’ parent IAG said the same but also downgraded its profits forecast for the year.
In a statement IAG said: “IAG believes the vote to leave the EU will not have a long term material impact on its business. However, in the run up to the UK referendum during June, IAG experienced a weaker than expected trading environment.
"While IAG continues to expect a significant increase in operating profit this year, it no longer expects to generate an absolute operating profit increase similar to 2015."
An easyJet spokesman said: "EasyJet has been preparing for this eventuality in the lead up to the referendum vote and has been working on a number of options that will allow it to continue flying in all of its markets.
Carolyn McCall, easyJet chief executive and a business advisor to David Cameron, said: “We have today written to the UK Government and the European Commission to ask them to prioritise the UK remaining part of the single EU aviation market.”
Economic and political stability
TUI group chief executive Fritz Joussen, said: “The EU without the UK is barely conceivable but we respect the democratic decision of the British people and trust the UK government will take all steps necessary to ensure economic and political stability.
"We are well prepared and confident that TUI Group will not be significantly affected by the decision. It remains to be seen how the decision will affect consumer sentiment."
Heathrow Airport issued a statement saying: "Anyone travelling through the airport will find it operating normally with no changes to security and immigration."
Deirdre Wells, chief executive of inbound travel association UKinbound whose members voted overwhelmingly to support the Remain campaign, described the result as "disappointing".
She said: "Inevitably it will have far-reaching consequences for our members. However, we have proved time and again that we are a resilient industry and the Government must now work hard to secure a deal which supports our vibrant industry, which relies on the EU for two-thirds of its business."
Pound plunges to 1985 levels
The referendum result saw the pound plunge to levels not seen since 1985 and prime minister David Cameron announced he would resign in October.
Tim Alderslade, chief executive of the British Air Transport Association (BATA), said: “The Government must urgently confirm that the UK will seek to remain a member of the European single aviation market once we leave the EU.
"We also call on the Government to prioritise all aviation-related negotiations, agreements and decisions during the EU withdrawal process."
Airline BMI Regional warned that it may quit the UK. Chief executive Peter Simpson described the vote as creating “a lot of uncertainty”.
He said: “For a business such as BMI Regional, being heavily influenced by the freedom of trade and traffic, this uncertainty will undoubtedly add a layer of complexity to our business.
“Our continued business domicile as a UK entity is less than clear at this point in time.
“Should the dynamics that unfold prove too challenging to pursue these opportunities, our base as a UK airline may have to be reviewed.
“Any decision regarding a move to another domicile will not be taken lightly and will be carefully considered. Ultimately, the best interests of our customers, employees and shareholders will guide that decision.”
Difficult to predict the exact impact
Travelzoo UK managing director, Joel Brandon-Bravo, said: “With so many variables in play it’s difficult to predict the exact impact the Leave vote will have on the tourism industry, but research suggests it will be a negative one.
“In order to ensure UK travellers and the UK tourism industry do not suffer as we enter the busiest months for travel, the UK government has got to enter negotiations with Brussels immediately over the EU policy which impacts travel.”
He described the next 24 months of negotiations as being crucial for British travel - particularly if the government wants to maintain inbound tourism from the EU and avoid a price hike for Britons wanting to travel abroad for holidays.
“Obviously top priority is dealing with the impact the referendum result will have on the value of the pound, but there are other factors that could make the result a big blow for the travel industry,” Brandon-Bravo cautioned.
“As such, we’re now urging the government to act quickly to renegotiate how an independent UK operates in The European Common Aviation Area.
“UK airlines seem unanimous in the opinion that a Brexit will lead to reduced competition, reduced routes and higher travel prices. A concern shared by UK consumers with over a quarter (28%) saying they’re worried a Brexit will lead to more expensive holidays.
“Other factors now also up for negotiation, that could lead to a price hike for British tourists include the loss of the EHIC card - which gives EU members the right to health treatment in any EU country, a potential increase in roaming charges following a recent EU initiative cap on charges, and, inevitable changes to visa regulations for Britons travelling to the EU.”
Last low fares for a very long time
Meanwhile, a presumptive plan by Ryanair last night to run a 24-hour sale of seats from £9.99 to ‘celebrate remain in Europe’ backfired as the final results counted in the early hours of this morning resulted in a ‘leave’ vote with a turnout of 72%.
Chief executive Michael O’Leary, a vocal supporter of the Remain campaign, said: “If the Leave side do win, then these will be the last low fares the UK will enjoy for a very long time.”
The hospitality sector is well placed to remain in a robust position following the Brexit vote, a hotel chief claimed this morning.
John Brennan, chief executive of Amaris Hospitality - one of the UK and Ireland's largest hotel investment and hospitality groups - admitted that there would be an immediate period of uncertainty after the vote to leave the European Union.
"We are now entering a period of uncertainly as Britain prepares the ground for exit,” he said.
“While the negotiation period could have an affect on the markets overall in the short-term, the hospitality sector is well-placed to remain robust during this period.”
Most rapidly growing sectors
However, Brennan added: "International tourism is one of the most rapidly growing sectors of the UK economy as disposable incomes increase around the world.
“With sterling weakening on this news, the rest of the world will get more pounds for their currency, making the UK a cheaper destination to visit, and conversely making it expensive for Britons going abroad.
"We would, however, encourage government to provide clarity on the exit process and address the areas of uncertainty prompted by this decision as soon as possible."
The trade body representing regional airlines in Europe has voiced concern over the UK Brexit vote.
Simon McNamara, director general of the European Regions Airline Association, said: “Aviation is a global industry that works best in a borderless environment where the free movement of people allows airlines to move passengers seamlessly and without complication.”
He added: “Time will tell what this vote will mean for the UK and wider European aviation sector.
“As a European association, ERA represents both EU and non-EU member airlines and has associate and affiliate members from across the globe.
“ERA represents its 53 member airlines at the highest levels in Europe.
Bilateral aviation agreement with the EU
“Our airlines face similar challenges and ERA protects and safeguards their interests whether they are members of the EU, European Common Aviation Area, or have chosen to negotiate a bilateral aviation agreement with the EU or another European country.
“Through our extensive experience ERA will continue to support our members flying to, from and within the UK as it becomes clearer what the implications of the vote are for the aviation industry.”
Meanwhile, British Airways, Aer Lingus, Iberia and Vueling owner International Airlines Group followed easyJet in claiming the ‘Out’ vote “will not have a long term material impact on its business”.
But the company said: “In the short term, however, in the run up to the UK referendum during June, IAG experienced a weaker than expected trading environment.
“Following the outcome of the referendum, and given current market volatility, while IAG continues to expect a significant increase in operating profit this year, it no longer expects to generate an absolute operating profit increase similar to 2015.”
Read more here.
RELATED TOPICS: Greece, Greek tourism news, Tourism in Greece, Greek islands, Hotels in Greece, Travel to Greece, Greek destinations , Greek travel market, Greek tourism statistics, Greek tourism report
- 1) Greek Deputy Foreign Minister highlights efforts to counter brain drain
- 2) UN Tourism members promote agenda for Europe as region leads global recovery
- 3) Greek Interior Minister to visit United States and Canada on postal vote
- 4) WTTC data show Greece and Portugal lead league for growth in tourist arrivals
25/07 23:18
Greek banks and EIB join forces to enhance access to finance for mid-cap firms
25/07 23:10
Hotel occupancy in Athens reaches 75.5% during the first half of 2024
25/07 23:01
25/07 21:07
Fifty-two municipalities throughout Greece embrace digital transformation
25/07 14:22
Bank of Greece: Loans and deposits by households and institutions rise in June
24/07 23:04
St. Irene Chrysovalantou Astoria marks its Annual Festival from July 25-28
24/07 22:46
Greek Finance Ministry enforces beach regulations after 4,500 citizen complaints
24/07 21:13
Greek president organizes reception for 50th anniversary of restoration of democracy
24/07 19:53
Guards at e-ticketed ancient sites, museums announcing work stoppage Thursday
24/07 16:08
Minister: Disbursement of €2.3 billion from the loan part of the Recovery Fund
22/07 23:29
Cyprus displays in Nicosia once-looted antiquities dating back thousands of years
22/07 23:25
Greek high school students clinch 6 medals at International Math Olympiad
22/07 21:37
Greek Climate Crisis Minister meets with visiting British Minister of State for Europe
22/07 21:33
Hellenic Parliament indowntown Athens undergoes energy upgrades
22/07 18:19
Book of condolences for Nguyen Phu Trong to open at Vietnamese embassy in Athens
21/07 18:05
Sharp hike in the viral load of SARS-CoV2 in the Greek city of Thessaloniki
21/07 15:29
Events for 50-years from democracy restoration in Greece start at the Presidential Mansion
21/07 14:14
Deputy Tourism Minister: Greece can emerge as a protagonist in diving tourism
21/07 13:24
19/07 00:18
UN Tourism and TUI Care Foundation jointly support African artisans in rural areas
16/07 14:47
16/07 11:55
Very high risk of fire for nine regional units across Greece on Tuesday
15/07 23:28
AADE implements mandatory digital export notification system beginning September
15/07 23:26
Hellenic Land Cadastre to be the first Greek state service to implement AI tools
15/07 21:06
US Embassy event marking July 4th: Embracing inclusion and accessibility
15/07 19:13
Athens Municipality opens air-conditioned halls during heatwave
14/07 14:39
National Tourism Organization and Netflix ink cooperation memo to promote Greece
13/07 23:31
OECD report: Greece makes significant strides in competition strengthening
10/07 22:53
Greek-American congressmen meet Greek Prime Minister in Washington DC
10/07 22:50
Greek National Gallery's 'Democracy' looks at Southern European history and art
10/07 21:56
10/07 19:59
Cypriot President visits Athens for event on 50th anniversary of Turkish invasion
10/07 15:44
09/07 22:28
The SFGFF comes to Athens in cooperation with Feelgood Entertainment
09/07 20:34
09/07 18:30
Deal for development of Sani-Kassandra property in Chalkidiki is inked
09/07 14:57
Golf & Maritime for a Good Cause at the 10th Greek Maritime Golf Event
09/07 11:56
The Ultimate Sports Event of Santorini Experience Coming to Santorini on October 3-6
08/07 22:53
Capital Link Invest in Greece webinar series continues on July 9 and 16
08/07 22:25
08/07 20:43
New data on the burial site of Lord Byron's illegitimate daughter Allegra
08/07 15:37
German ambassador: 'To live and work in Greece has always been my dream'
05/07 22:14
Greek port of Piraeus approves distribution of highest dividend in its history
04/07 23:09
Culture Minister inaugurates renovated theater at Dion in Central Macedonia
04/07 19:17
The 43rd Thessaloniki Book Festival opens at the waterfront Friday until July 21
04/07 17:20
Piraeus Port greenlights distribution of highest dividend in its history
03/07 00:24
03/07 00:02
Hotrec reveals digital trends in tourism: Hotels, Booking.com and DMA
01/07 19:28
Higher June temperatures in Greece compared to 2010–2019 average
01/07 19:13
More firefighting aircraft to reinforce firefighting efforts in Greek island of Kos
01/07 17:26
SNF extends support for the Greek National Opera in Athens with an €11 million grant
01/07 12:31
Amendment extending duration of measures against high prices tabled in Greek Parliament
28/06 19:18
Mount Pelion steam tourist train resumes daily service beginning July 1
27/06 14:36
Minister: Mycoast app received 8,911 complaints of illegal activities on beaches
26/06 22:56
Significance of OECD anti-bribery report for Greece's good image highlighted
25/06 19:08
FTI insolvency: Operational business of hotels remains unaffected
25/06 16:19
FinMin urges Greek banks to emulate European counterparts regarding commission charges
25/06 12:12
AEGEAN elected "Best Regional Airline in Europe" at the World Airline Awards 2024
25/06 10:16
Platform for Greece's 'Thessaly & Evros Pass 2024' opens on Tuesday
23/06 14:52
State Minister: Greece is the 8th cheapest country in the European Union
22/06 22:49
Bank of Greece: Travel receipts increased by 22.0% during January-April 2024
22/06 18:11
Greek Tourism Ministry and embassies cooperate to address sector issues
22/06 18:05
Wyndham inked deal with Oikos for the first Ramada Residences in Greece
21/06 17:57
Event organized to present 'The Ilisian' - the new name of the former Athens Hilton
19/06 23:47
Greek state ten-year bond auction concluded with yield at 3.56%
19/06 23:41
Shipping Minister: Greece supports EU's efforts to modernise maritime safety rules
19/06 22:32
Culture minister reviews NSRF projects on the Greek island of Lesvos
19/06 19:41
US Ambassador to Athens applauds Greece’s comeback and investors interest
19/06 11:44
Minister: Reforms must follow investments to boost regional competitiveness
18/06 18:15
ARF 2024: US Ambassador to Athens on Greece's economic miracle
18/06 16:33
Capital Region AHEPA organizes 5th Annual Golf Outing in New York
18/06 14:58
18/06 14:24
Greek Minister refers to multiple benefits from the restoration of the Athens Riviera
18/06 13:35
Regional Governor of Attica: Greeks living abroad are the most important ambassadors
17/06 19:02
Conference focuses on Sifnos and sustainable development on Greek islands
17/06 18:56
Council of State discusses relocation of Mount Parnitha casino to Marousi again
17/06 18:56
Ministers and Super League chief talk digital tickets for upcoming soccer matches
17/06 15:59
Forecast: Very high risk of fire in two Greek regions including Attica
17/06 13:42
Passenger traffic in Greek ports records an increase of 11.1% during Q4 2023
14/06 22:58
14/06 22:03
14/06 17:58
Athens and Thessaloniki added 250 new electric buses to their urban transport networks
13/06 22:43
National Theater to perform Aristophanes at ancient Greek theaters over the summer
12/06 11:48
Athens Acropolis site closed down from 12:00 to 17:00 due to high temperatures
12/06 00:01
'Poor Things' costumes exhbition at Benaki Museum in downtown Athens
11/06 15:53
Schools in Athens to stay closed on Wednesday and Thursday due to heatwave
11/06 00:10
Greek Port Authority to acquire 11 boats for transfer of patients from remote islands
11/06 00:03
Greece's Interior Ministry issues directions for remote work during heatwave
10/06 23:45
Digital app for travellers to Greece 'mAIGreece' goes live on Monday
10/06 22:28
Greek Interior Ministry issues directions for remote work during heatwave on Tuesday-Thursday
10/06 19:38
Traffic restored on new Greek national highway leading to Corinth after truck explosion
10/06 14:42
09/06 22:47
High prices of consumer goods in Greek supermarkets are on a downward trend
09/06 11:18
UK Tourism 2024: Greece named top destination in the world with best value for money
08/06 00:22
Insolvency: FTI Touristik GmbH cancels all trips up to and including 05 July 2024
07/06 02:54
ERTFLIX International takes part in the Los Angeles Greek Film Festival
07/06 02:42
NBG: Greek tourism to break record in 2024 with 35 million arrivals and €22 billion in revenue
06/06 20:50
Greece elected to UN Security Council for 2025-26 in a 'historic day'
06/06 13:57
Hellenic National Archaeological Museum presents "The last Aphrodites" exhibition
05/06 22:00
FTI provisional insolvency admin strives for fastest possible solutions for clients
Hotel occupancy in Athens reaches 75.5% during the first half of 2024
Greek banks and EIB join forces to enhance access to finance for mid-cap firms
St. Irene Chrysovalantou Astoria marks its Annual Festival from July 25-28
Greek Finance Ministry enforces beach regulations after 4,500 citizen complaints
Bank of Greece: Loans and deposits by households and institutions rise in June
Guards at e-ticketed ancient sites, museums announcing work stoppage Thursday
Fifty-two municipalities throughout Greece embrace digital transformation
Minister: Disbursement of €2.3 billion from the loan part of the Recovery Fund
Greek president organizes reception for 50th anniversary of restoration of democracy
High risk of fire for Attica, Viotia and Evia regions in Greece on Thursday
FM: Procedures underway to repatriate 149 Greeks in Israel and Palestinian territories
Greece and Turkey agree to implement or reactivate CBM activity in 2024
Greek Tourism minister meets with Swiss, Albanian ambassadors in Athens
Media report: Cheap airfares aren’t coming back according to airline execs
PM at Axia discussion: Greece offering great investment opportunities in 2023
Bill lifting restrictions for Greeks voting from abroad greenlighted by majority vote
Minister: Greece will continue to demand the return of the Parthenon Marbles
ERTFLIX International takes part in the Los Angeles Greek Film Festival
The SFGFF comes to Athens in cooperation with Feelgood Entertainment
Tri-city winter luncheon unites upstate New York Philoptochos chapters