Travel bodies, including ABTA, are warning the Government that the winding down of the furlough scheme could lead to up to thousands of job losses.
In yet another letter to the Chancellor and the Business Secretary, the Save Future Travel Coalition urged them to recognise the unique circumstances travel faces and provide specific sector support.
The group says the return of international travel has been too slow for businesses to be able to capitalise on the peak summer months.
And it pointed out that many restrictions still remain and the lifting of others has come too late in the summer season.
From 1 August, travel firms will see their wage bills increase as their contribution to the cost of the furlough scheme will rise from 20% to 40%. They’ve also seen a reduction in business rates relief since June in England.
The Save Future Travel Coalition, made up of 16 leading travel associations, is asking Chancellor Rishi Sunak and Business Secretary Kwasi Kwarteng to help the travel industry by:
- Providing full furlough support and other income support schemes
- Provide 100% business rates relief for the full financial year as many of the Devolved Adminstrations have committed to
- Introduce a dedicated grant scheme
ABTA said it is still considering legal action against the Government if it doesn’t provide specific industry financial support.