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    WTTC calls on government to pay for Covid-19 PCR tests

    The World Travel & Tourism Council (WTTC) has argued the government should bear the cost of “hugely expensive” and unnecessary PCR tests for fully jabbed citizens.
    The body claims the tests are deterring Britons from travelling.
    Over the weekend, the UK health secretary, Sajid Javid, requested the Competition & Markets Authority (CMA) step in to investigate ‘excessive’ pricing and ‘exploitative practices’ among PCR Covid test firms.
    This follows widespread reports of vast differences paid by travellers for PCR tests by different companies.
    Currently, the cost of PCR tests varies enormously between providers, with the average costing around £75. ADVERTISEMENTHowever, some firms are offering express PCR test results within 90 minutes at a cost of up to £400.
    This makes UK PCR tests among the costliest in Europe – partly due to the 20 per cent VAT charge applied on top.
    Now WTTC, which represents the global private tourism sector, says it is time the government stepped up to pay for people’s PCR tests in full, if they are fully jabbed.
    This would remove the huge financial burden, which is depressing demand for travel, effectively halting the revival of international travel.
    Genomic sequencing data from PCR tests is harvested by the government to rapidly identify variants of concern, understand transmission and slow the spread, however WTTC challenges why consumers should have to pay for this.
    Virginia Messina, WTTC acting chief executive, said: “For many people –especially families and small businesses on a budget – the crippling added cost of the unnecessary PCR tests makes the difference between being able to travel or not.
    “It’s clear that many British adults simply can’t afford to travel overseas at all if they have to pay the excessive cost of PCR tests.
    “More affordable antigen tests, with PCR tests for those who do test positive, will help keep travellers safe and make taking a trip overseas within the budget of most people.
    “But if the government wants extra information for genomic sequencing – they should pay for it.
    “If they don’t pay, then consumers will vote with their feet and avoid international travel altogether, further damaging the already struggling UK tourism sector.
    “At the very least, we support the investigation by the CMA to look into the excessive pricing of PCR tests which is deterring the revival of international travel.”

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    New leadership for dnata Travel Group in Europe

    Ailsa Pollard has been appointed as chief executive of dnata Travel Group in the UK and across Europe.
    She will start in her new role in November.
    Pollard will report in to the previous holder of the role, John Bevan, who now oversees all aspects of the global travel business for dnata in the role of divisional senior vice president for travel.
    Commenting on the appointment, Bevan said: “We’re delighted that another part of the dnata family will now be able to benefit from Ailsa’s expertise and leadership.
    “I’ve had the pleasure of working with her for a number of years and know our team in the UK – as well as our valued industry partners – will enjoy working with her and will go on, together, to achieve great things.ADVERTISEMENT“These are challenging times for all UK travel businesses, and need clear headedness, agility, honesty and commitment to navigate.
    “Ailsa has all of those qualities, as well as decisive strategic vision, a passion for the customer and operational know-how.
    “Our UK organisation couldn’t be in safer hands.”
    Pollard will assume responsibility for all of dnata Travel Group’s UK-based brands, including Gold Medal, Travel Republic, Travelbag, Netflights and Sunmaster.
    She will be head of a leadership team and workforce numbering nearly 800 people.
    Pollard said: “I’m looking forward to working with the UK team to emerge stronger from the pandemic.
    “I know how tough the last 18 months have been on our people, our brands, our customers and our partners, but we have very strong foundations and the support of a global business on which we can collectively build an exciting future.”

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    Financial recovery continues at Expedia

    The Expedia Group has reported a net loss of $301 million for the three months to June.
    The figure is, however, a substantial improvement on the loss of $753 million reported in the same quarter of 2020.
    Expedia reported a $132 million operating loss for the quarter, took $2.1 billion in revenue and saw gross bookings worth $21 billion.ADVERTISEMENTThe half-year operating loss was $501 million, reduced from $2.1 billion in 2020, but this still left a $907 million net loss for the six months to June.
    Expedia Group chief executive, Peter Kern, argued: “The second quarter saw continued improvement in many global travel segments, with North America in particular showing strength.”
    Releasing the financial results for the period, he added: “Strong vacation rental performance and improved conventional lodging.”
    However, this was “offset by continued softness in international travel, corporate travel and consumer interest in smaller markets and lower-end accommodation”.
    “The road to full travel recovery remains bumpy until more of the world is vaccinated,” he concluded.

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    IATA confirms 2020 was worst year for aviation

    New figures from the International Air Transport Association (IATA) have confirmed last year was the worst on record for the aviation sector.
    Releasing the annual World Air Transport Statistics publication, the organisation said 1.8 billion passengers flew in 2020, a decrease of 60 per cent compared to the 4.5 billion who flew in 2019.
    Industry-wide air travel demand (measured in revenue passenger-kilometres, or RPKs) dropped by 66 per cent year-on-year.
    Total industry passenger revenues fell by 69 per cent to $189 billion in 2020, and net losses were $126 billion in total
    IATA added air connectivity declined by more than half in 2020, with the number of routes connecting airports falling dramatically at the outset of the crisis and was down more than 60 per cent year-on-year in April 2020. ADVERTISEMENTThe decline in air passengers transported in 2020 was the largest recorded since global RPKs started being tracked around 1950.
    “Last year was a year that we’d all like to forget.
    “But analysing the performance statistics for the year reveals an amazing story of perseverance.
    “At the depth of the crisis in April 2020, 66 per cent of the world’s commercial air transport fleet was grounded as governments closed borders or imposed strict quarantines,” said IATA director general, Willie Walsh.
    “A million jobs disappeared.
    “And industry losses for the year totalled $126 billion.
    “Many governments recognised aviation’s critical contributions and provided financial lifelines and other forms of support.
    “But it was the rapid actions by airlines and the commitment of our people that saw the airline industry through the most difficult year in its history.”
    China became the largest domestic market in 2020 for the first time on record, as air travel rebounded faster in the domestic market following efforts to control Covid-19.
    More Information
    Take a look at the full World Air Transport Statistics document here.

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    ABTA launches new direct debit system

    ABTA will launch a replacement version of its Single Payment System to members later this year.
    The technology has been developed by Travel Ledger.
    The direct debit system allows fast online payments between travel agents and tour operators. 
    Transactions are consolidated by the payment scheme, so that each week only a single payment is made in or out of each member’s bank account.
    Under the new, more efficient scheme ABTA members will have control over their payments, not only who they transact with, but also by facilitating deposit and balance payments from travel agents to tour operators, and refunds from operators to agents.ADVERTISEMENTOver time, members who join the scheme will have the opportunity to process payments more frequently with the potential for more than the one cycle per week that the current scheme allows.
    After evaluating multiple systems, ABTA chose to partner with Travel Ledger because of its technology knowhow and understanding of the travel industry. 
    The new system has been tested by ABTA member focus groups over the last few months, allowing Members to review and refine the scheme and ensure it works for their requirements.
    It will use the same process as on the older platform, to avoid disruption to existing users’ back-office functions.
    John de Vial, special adviser at ABTA, said: “The new scheme will use the latest technology to allow fast, accurate and secure consolidated payments and refunds.
    “We’re confident that it will greatly support users’ businesses and make payments easier.”
    Travel Ledger is an electronic invoice and remittance system which is connected to UK and European banking for easy and secure payments between travel buyers and suppliers, providing secure transaction processing and reconciliation.
    Once live, Travel Ledger will provide user and technical support to ABTA Members, who will be able to review their own data, as well as identify potential problems with transactions in advance, before payments are authorised or transactions fail – making the system more risk-free for all parties.
    Travel Ledger founder, Roberto De Ra, added: “Having tested the Travel Ledger system successfully with a large focus group of ABTA members, we’re delighted to offer the system across the entire ABTA membership in the coming weeks and look forward to fruitful collaboration with them.”
    ABTA members in 2019 settled more than 600,000 bookings to the value of more than £900 million.

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    AITO pleads with government for further support

    AITO has launched a highly critical attack on the UK government over what it claims are persistent failings to help the travel sector in the country.
    The trade body decried the lack of support or comprehension for the huge problems faced by 500,000 travel industry employees.
    AITO chairman, Chris Rowles, said these issues had the potential to hit to the economic recovery if they were not addressed. ADVERTISEMENTHe said: “Many families’ livelihoods are on the verge of being destroyed. 
    “AITO members, and many others in travel, are long-established small- and medium-sized businesses – which have delivered hugely over many years in terms of employment, superb customer service and significant tax take – yet which are now at severe risk of being dumped on the scrap heap of failed companies because the government has denied travel the right to trade for the second successive – and vital – peak summer holiday season.”
    The association is a 45-year-long alliance of some 200 specialist tour operators and travel agents in the UK.
    It argues three key problems exist:

    The mental strain involved of existing on zero income for 17 months without proper financial support that works for this particular sector is immense; it has been, wrongly, completely ignored by government to date.
    Unlike hairdressers, who have had up to £18,000 in government aid to kick-start their businesses, and who start to earn immediately they are permitted to trade, travel businesses do not earn anything until their customers depart on holiday, which could be a year or more later. Yet travel businesses have been awarded a paltry £2,500 in government aid – up to £15,500 less than the hairdresser next door which is overrun by customers delivering them an immediate cash flow boost, totally unlike the situation with travel companies, which are prevented from trading by government.
    Travel customers’ confidence to book has been destroyed by stealth as countries are moved from the green, amber and red lists each week.

    “Added together, it all makes for a pretty big kick in the teeth for the entire travel sector,” stated Rowles.
    He continues:  “The global travel taskforce review gives government a key opportunity to redress these key issues and, finally, to support the safe return of international travel. 
    “Now is the last opportunity to save our travel companies from collapse, and to protect other linked sectors such as inbound travel and the retail industry, alongside the huge tax take delivered by outbound travel. 
    “We will repay such support in bucket loads over decades to come – we are worth saving!”
    AITO called for more updates to the travel lists, cheaper testing and mutual recognition of vaccination certification as ways the government could help the sector.

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    Abou-Haydar takes up new role with UKinbound

    UKinbound has confirmed the appointment of Morganne Abou-Haydar as events manager.
    A seasoned events professional, Abou-Haydar brings with her a passion for planning, creativity and communications, having spent over three years as events manager at Wedgewood DMC Group in both London and Paris.
    More recently, she worked for Actineo Consulting as events producer on the Lean Agile Global 2021 virtual conference, coordinating international speakers and assisting with all aspects of the two-day event.
    Abou-Haydar will be responsible for managing UKinbound’s diverse programme of virtual and in-person events, alongside head of events Saara Vuorela-Valladares, beginning with the association’s annual convention taking place in Manchester in September.
    Commenting on her appointment, UKinbound chief executive, Joss Croft, said: “Morganne brings with her fantastic experience in the events sector and will be a real asset to the UKinbound team and the membership. ADVERTISEMENT“I’m delighted to have her onboard.”
    Abou-Haydar began her career in Paris as a travel consultant for Voyages Menara and holds a bachelor’s degree in international tourism from Université de Cergy-Pontoise in France.
    Abou-Haydar added: “I am so thrilled to join UKinbound.
    “I am very hopeful for the future of our great industry and can’t wait to work on many exciting events with such an amazing team.”

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    TUI Group rolls over €4.7bn in bank lending

    TUI Group has extended its existing credit lines until summer 2024 as the company seeks to insulate itself from the ongoing impacts of the Covid-19 pandemic.
    The company said the decision gives it more time and flexibility and strengthens TUI in a market environment with continued travel restrictions.
    The objective remains a rapid repayment of the government loans as soon as more holiday destinations can be travelled to in a stable manner again and the successful relaunch of tourism continues in a sustainable manner,” explained a statement.
    As expected, the summer business, which has got off to a good start, is currently focused on a few holiday destinations such as Greece, Spain and Cyprus, domestic tourism and cruises by TUI Cruises.ADVERTISEMENTThe major hotel and club brands of the group – RIU, TUI Blue and Robinson – are also doing good business, TUI added.
    TUI has agreed with the 19 private banks and KfW to extend the maturity of the credit line totalling €4.7 billion by two years to summer 2024.
    As of July 26th, TUI had pro forma liquid funds of around €2.9 billion at its disposal (considering the announced sale of 21 properties to the Riu family an in the form of undrawn credit lines).
    TUI chief executive, Fritz Joussen, said: “TUI is returning to the growth path.
    “We are well positioned with our tour operators, hotel and cruise brands and we will be more efficient and digital after the Corona crisis.
    “We are now financed in the medium term until summer 2024.
    “This creates stability and flexibility as long as coronavirus restrictions still affect the business and markets.”

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