The United Kingdom lose 78 million pounds every day (90 million euros) because the companies that work with tourists who come to the country have not restarted their activity at this point in the summer.
The association that brings together almost all of them, UKinbound, has again asked the Government of Boris Johnson to extend the ERTE beyond the summer – until March 2022 – and to grant subsidies and tax aid to companies that have not been able to restart their activity due to political decisions, and that “will not survive to winter “without help. The government’s forecast is that the ERTEs will end in September.
This sector has been closed and without activity since March 2020.
According to a UKinbound survey, 95% of tourism businesses within the UK have lost out to their competing destinations, because they have had neither activity nor income since the Covid crisis began, in March 2020.
75% of these companies still have employees in ERTE, and the most worrying thing for them is that at the moment international trips do not have an expected date of reopening in the short term
Joss Croft, executive director of UKinbound, has remarked that the companies that form the association and that work in the tourism sector of the United Kingdom “They are effectively facing their fifth consecutive winter”, because they have not had a summer since 2019 and they will not, predictably, until after spring 2022.
Croft has also criticized that not even when the rest of the economy is reopening and recovering activity, such as nightlife as of this Monday, is the country reopened for international tourism. “They are not allowing our companies to have a part in the recovery,” he lamented.
What the companies are asking for, and which for the moment the Government of Boris Johnson is denying them, are 47 million pounds (54.4 million euros), for an industry that generates 32,000 million euros a year for the British economy.
Closed to tourism
And is that the supposed “freedom” has not reached the travel sector. The quarantine has been lifted for the English traveling to countries in amber, but not for tourists from other countries who want to visit the UK. Although they are fully vaccinated, they must self-isolate for 10 days, as we explained in the United Kingdom, it is kept closed to tourists even when they are vaccinated.
For practical purposes, the UK remains closed to tourism. In fact, the connection between the country and the United States has not been reopened, despite the success of both in the vaccination strategy
And this week, in addition, the US State Department has recommended to Americans do not travel to the UK because of the high risk of contagion due to the spiral of new cases that the country is experiencing.
The United States has placed the United Kingdom in the highest alert level for international travel, the 4 “Do Not Travel”, and warns that even people who are fully immunized are in danger if they travel thereAs we have explained in the US, travel to the United Kingdom is discouraged due to the high risk of contagion.
The ruin of the sector
We talked about the paradoxes of a closed United Kingdom precisely when the rest of the world begins to open up: United Kingdom: a non-EU country that closes when the world opens up.
The UK anticipated that this year the International tourist spending will reach 6.2 billion pounds (7,200 million euros), less than a quarter of the 28,400 million pounds of 2019 (33,000 million euros), according to estimates from the national tourism office VisitBritain. (see United Kingdom: foreign tourism spending will be 25% of 2019 this year).
These estimates are from May 28, before the traffic light fiasco and before it became a reality that even in July the country remains closed to international tourism.
Regarding national tourism spending, they expect to reach 51,400 million pounds (about 60,000 million euros), just over half of the 91,600 million pounds of 2019 (more 106,000 million euros)
Last year, the national tourism sector lost about two-thirds of its value, representing a loss of 58,000 million pounds (67,500 million euros) for the economy.