Is it crisis time for the travel industry in Britain?
At a time when rising prices - particularly in London - and aggravating introductions of electronic visas to enter the country risk alienating potential visitors, the national tourism agency, VisitBritain, is this week hosting more than 120 international travel trade members.
The agents - including some from Australia - are on educational visits across the UK as part of the flagship ‘Showcase Britain’ event.
They will have to sell record-high hotel room rates and entice travellers to a destination that has seen some of the biggest menu prices increases in the world over the past 12 months.
A new report by global credit ratings business Morningstar DBRS using data supplied by restaurant.org shows that average prices at major national restaurant chains in the UK increased by an average of 20% between the third quarter of 2023 and the summer of 2024.
And prices are expected to climb higher still in 2025.
For instance, fish and chips at Manzi's in Soho: beer-battered haddock, mushy peas and pickled onions, already costs over $38 in Aussie dollars.
Two nights in my favourite London hotel, albeit in toney Knightsbridge, would cost me over $1,000 next week - and that's in the middle of winter - a quick check of booking.com reveals.
This could mean a potential total price hike on restaurant menus of 28% since mid-2023.
So if a two-scoop portion of gelato used to cost £6 ($11.80), it might set you back £7.68 (that's over $15) this year. Heaven forbid if you want a three-course meal.
"We expect it to be very challenging for restaurants to implement further meaningful price increases without sacrificing considerable volumes,” the report by Morningstar DBRS says.
But Tourism Minister Sir Chris Bryant is confident visitors will ignore high prices and the hassle of online registration before being allowed to enter the country, showcasing a campaign that highlights Britain's many movie and TV locations.
“Thanks to our stunning scenery, heritage and world-class screen industries, many of the unforgettable moments that have taken our breath away at the cinema were filmed in the UK," he said.
“We want more visitors from home and abroad to immerse themselves in British destinations made famous thanks to film and TV, and events like this will help drive growth in our £74 billion tourism industry.
“Through our Plan for Change we want to welcome 50 million international visitors a year by 2030, while creating opportunity in local communities and setting the scene for the UK’s thriving visitor economy for years to come.”
VisitBritain CEO Patricia Yates said: “With the upcoming launch of our Starring GREAT Britain screen tourism campaign, now is the perfect time to roll out the red carpet and welcome international buyers.
"Building product and destination knowledge broadens travel itineraries so visitors explore more, including through our regional gateways, driving visitor spending into local economies.
“From exploring our vibrant cities, world-class attractions and stunning countryside, to enjoying our exciting contemporary culture and hospitality, international buyers will have a front-row seat experiencing first hand why Britain is the real star of the show. I know that they will return home inspired to sell more British destinations this year.”
Yates believes Britain’s overall appeal will not be affected by a proposed move to hike the price of the new Electronic Travel Authority (ETA) from £10 to a whopping £16.
UK Hospitality estimates that its 740 members will need to increase their prices by an additional 8% this year to cover the UK Government’s incoming national insurance increase for employers.
This could mean a potential total price hike on restaurant menus of 28% since mid-2023.
So if a two-scoop portion of gelato used to cost £6 ($11.80), it might set you back £7.68 (that's over $15) this year. Heaven forbid if you want a three-course meal.
"We expect it to be very challenging for restaurants to implement further meaningful price increases without sacrificing considerable volumes,” the report by Morningstar DBRS says.
But Tourism Minister Sir Chris Bryant is confident visitors will ignore high prices and the hassle of online registration before being allowed to enter the country, showcasing a campaign that highlights Britain's many movie and TV locations.
“Thanks to our stunning scenery, heritage and world-class screen industries, many of the unforgettable moments that have taken our breath away at the cinema were filmed in the UK," he said.
“We want more visitors from home and abroad to immerse themselves in British destinations made famous thanks to film and TV, and events like this will help drive growth in our £74 billion tourism industry.
“Through our Plan for Change we want to welcome 50 million international visitors a year by 2030, while creating opportunity in local communities and setting the scene for the UK’s thriving visitor economy for years to come.”
VisitBritain CEO Patricia Yates said: “With the upcoming launch of our Starring GREAT Britain screen tourism campaign, now is the perfect time to roll out the red carpet and welcome international buyers.
"Building product and destination knowledge broadens travel itineraries so visitors explore more, including through our regional gateways, driving visitor spending into local economies.
“From exploring our vibrant cities, world-class attractions and stunning countryside, to enjoying our exciting contemporary culture and hospitality, international buyers will have a front-row seat experiencing first hand why Britain is the real star of the show. I know that they will return home inspired to sell more British destinations this year.”
Yates believes Britain’s overall appeal will not be affected by a proposed move to hike the price of the new Electronic Travel Authority (ETA) from £10 to a whopping £16.
Speaking to Travel Daily at the Showcase Britain trade event in London, Yates said it was more important that the ETA is easy to obtain rather than its price.
“The most important thing is to get something that’s really light-touch and that people can apply for easily,” said Yates.
Rather foolishly, she deflected concerns that the UK is an expensive destination. And ignored the fact that many cities, including Edinburgh, are planning to impose extra tourism levies on the visitors they are so keen to welcome.
“We have to remember it’s a competitive world, we’re competing for visitors and to be honest, we’re never going to be a cheap destination,” Yates said.
“So what we have to make sure is that our experiences are really first-class and that we give people more than they expect and experiences they can’t have anywhere else in the world.”
“The most important thing is to get something that’s really light-touch and that people can apply for easily,” said Yates.
Rather foolishly, she deflected concerns that the UK is an expensive destination. And ignored the fact that many cities, including Edinburgh, are planning to impose extra tourism levies on the visitors they are so keen to welcome.
“We have to remember it’s a competitive world, we’re competing for visitors and to be honest, we’re never going to be a cheap destination,” Yates said.
“So what we have to make sure is that our experiences are really first-class and that we give people more than they expect and experiences they can’t have anywhere else in the world.”
I think cheaper European destinations like Portugal and Albania might be waving rather loudly.
Image: Dana Veeder, Scop.io
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