UKinbound has launched a fresh plea for the creation of a recovery fund to save inbound tourism.
The £47 million Tourism Export Recovery Fund would help businesses totally reliant on international visitors to survive until the return of the market in spring 2022, and support the UK’s economic recovery.
UKinbound submitted its proposal to the Treasury last November for the fund, which would allow inbound tour operators and destination management companies to apply for a capped grant award based on their 2019 revenue levels.
The trade association has continued to lobby regularly for funding from government to help the UK’s inbound tourism sector. There are around 230 inbound operators and DMCs in the UK.
UKinbound said the fund would allow the sector to rebuild, retain tens of thousands of jobs nationwide, provide export earnings, help drive the UK’s recovery, support the government’s levelling up agenda, retain skills, knowledge and relationships in the sector, and maintain’s the UK’s global competitiveness.
It added that the fund would also allow businesses to benefit from events due to be held in 2022, including the Commonwealth Games in Birmingham, Festival UK 2022, and the Queen’s Platinum Jubilee.
The inbound sector is facing a second year of no business and no revenue due to restrictions on international travel. Many have seen revenues drop by at least 90% during the pandemic and been unable to access current financial support schemes.
Operators and DMCs are estimated to bring in around half of the £28.4 billion in export earnings from inbound tourism, which is not expected to fully recover until 2025, according to projections by Oxford Economics.