Underlying demand justifies optimism despite challenges, says Abta chief

Abta chief executive Mark Tanzer has said there is cause for the travel industry to be optimistic despite the “maelstrom we are living in”.

In an on-stage interview with broadcaster Jonathan Samuels at the association’s annual convention in Calvià, Majorca, Tanzer outlined some of the major challenges facing the industry, including the growing threat of climate change.

“We’re very aware of the challenge [that climate change presents],” he said. “Its impact is evident and we’re seeing the increasing frequency of natural events.

“If places get too hot, where are we going to put tourists? That’s the long-term challenge.”

More: Third of Britons booked through travel professional in past year, says Abta

He added: “And of course, we have to be able to make the case that what we’re doing is climate friendly; that we’re reducing our carbon impact not just in the aviation sense but in destinations as well.”

Tanzer cited consumers’ growing awareness of overtourism protests across Europe, the rising threat of cyber-attacks and a “flat UK economy” among other hurdles posing a threat to the industry’s growth.

He also said he thinks it is “probably a question of when rather than whether” there is another global pandemic due to a “globalised world”.

“We are living in a time of huge disruption,” he told delegates. “There’s social, economic and technological change all interacting with each other and also huge political change with the arrival of President Trump for his second term.”

However, Tanzer expressed numerous “reasons to be cheerful” – which was the theme of the conference – pointing to research highlighting overseas travel is an essential expenditure for UK consumers despite ongoing economic uncertainty.

“The underlying demand is still very strong,” said Tanzer. “Travel is now a staple and such an important part in people’s lives.”

He added that “great businesses are born out of disruptive times”, going on to say that while some “giant oaks have sadly disappeared, other businesses have taken their place” in times of innovation.

Tanzer also said the current UK government “gets outbound travel in a way some previous governments haven’t”.

Earlier in the conference, Abta unveiled the findings of its annual Holiday Habits survey, which revealed 71% of the 2,000 people surveyed were planning to go on holiday in the next 12 months, with 46% already having booked overseas travel.

Of those surveyed who went on holiday over the past 12 months, 34% booked through an agent or tour operator.