UK Outbound Travel Industry Expected to Grow Twenty Percent by 2030 as ABTA Urges Government to Unlock Regional Potential and Safeguard Airport Connectivity
The United Kingdom’s outbound travel sector is positioned to achieve a significant 20% growth by 2030,
The United Kingdom’s outbound travel sector is positioned to achieve a significant 20% growth by 2030, according to newly released findings from the Association of British Travel Agents (ABTA). In its latest report, Outbound travel: a catalyst for jobs, growth and wellbeing, ABTA highlights the critical economic role outbound travel plays, not only in fueling international leisure journeys for British residents but also in reinforcing the health of domestic and inbound tourism and sustaining regional airport infrastructure.
As the government focuses on expanding economic output and public service delivery, the outbound travel industry stands out as an underutilized engine of national growth. ABTA asserts that this revelation should be “music to the Government’s ears” and urges policy makers to align with the industry to fully capitalize on its potential.
A Sector Anchoring Jobs and Regional Development
The outbound travel industry in the UK delivers impressive economic returns. Currently, it generates £52 billion in Gross Value Added (GVA) annually and contributes around £10 billion in taxes to the Exchequer. Beyond its direct fiscal contributions, outbound travel supports broader economic activity by sustaining thousands of jobs, driving demand for high-street travel services, and enabling regional connectivity that is vital to communities across the UK.
The ABTA report underscores that outbound travel isn’t an isolated economic entity. It plays a synergistic role with inbound and domestic tourism, bolstering infrastructure and employment opportunities that benefit the UK tourism ecosystem holistically. This interconnectedness makes outbound travel indispensable to national and regional development plans.
Regional Airports Depend on Outbound Travel
A central theme of the report is the pivotal importance of outbound travel in maintaining the viability of regional airports. These gateways serve as lifelines to global mobility, business access, and local tourism development. Data reveals the high dependency of airports such as East Midlands (90% of passengers), Manchester (78%), Birmingham (78%), Bristol (75%), and Exeter (75%) on outbound leisure travelers.
Without sufficient volumes of UK residents traveling abroad, many regional airports would face financial instability. This could cause a ripple effect, threatening inbound tourism from international markets and disrupting economic activity in areas already reliant on tourism-related income and employment.
Turning Opportunity into Reality Requires the Right Framework
Despite promising forecasts, ABTA warns that reaching the projected 20% growth by 2030 is not guaranteed. The report cautions that the UK must avoid the pitfalls of previous administrations, where critical travel and infrastructure policies languished without implementation.
To prevent history from repeating itself, ABTA lays out a clear framework for enabling growth, emphasizing that the government must act decisively and in a timely manner. These recommendations are especially relevant as they coincide with the Government’s Spending Review and the annual ABTA Travel Matters conference in London.
Mark Tanzer, Chief Executive of ABTA – The Travel Association said: “This Government has been clear that it wants to secure growth for the economy and towns and cities across the UK. With the Spending Review today, we’re urging the Government to capitalise on the growth potential presented by outbound travel.
“One of the things that we are highlighting is the opportunity for the UK to be a leader in sustainable travel, recognising that the industry needs to grow in a responsible way. This means accelerating progress towards decarbonisation; something that can’t be done without the support of Government.
“We’re also keen to remind Government that the travel industry is an important facilitator of growth in other sectors, whether that’s through business travel and exports carried in passenger planes for example.”
Policy Recommendations for a Thriving Travel Sector
In its report, ABTA outlines three essential policy development areas that must be advanced to unlock the full potential of outbound travel:
1. Leading in Sustainable Travel
The UK has a unique opportunity to position itself at the forefront of sustainable tourism and travel innovation. ABTA calls for:
- Acceleration of policies like the Sustainable Aviation Fuel (SAF) mandate.
- Introduction of a Revenue Support Mechanism to help scale the SAF industry.
- Investment in shoreside power at UK ports to support green cruising and shipping practices.
These initiatives will ensure the outbound sector aligns with the UK’s broader climate commitments while simultaneously enhancing global competitiveness.
2. Strengthening Business Competitiveness
UK travel businesses operate in an increasingly competitive global marketplace. To thrive, ABTA recommends:
- Reforming the business rates system to protect the high street and reduce operational burdens.
- Avoiding excessive taxation on tourism services, which could make UK travel businesses less attractive.
- Supporting educational and vocational pathways to ensure a skilled, future-ready workforce in the travel sector.
These changes would enable businesses to scale and innovate while attracting new talent into the industry.
3. Enhancing UK-EU Travel Relations
As Europe remains the UK’s largest outbound travel market, fostering smoother relations with the EU is vital. ABTA urges:
- Removal of existing trade and regulatory barriers, particularly those affecting qualification recognition and service provision.
- Improved coordination on new electronic border regimes to simplify travel logistics.
- Rapid negotiation of a youth mobility or experience scheme to maintain cultural and educational exchange.
A more harmonized travel relationship with the EU will enhance traveler confidence and business continuity, supporting long-term growth on both sides.
Momentum Already Building, But Action Still Needed
The report does recognize some forward movement by the UK Government on aviation-related issues. Notable developments include progress on airport expansion approvals, airspace modernization, and support for building a domestic SAF industry. Additionally, the recent UK-EU summit agreement included a joint commitment to exploring youth travel schemes—an encouraging signal for future mobility initiatives.
However, ABTA remains cautious, pointing out that such initiatives often falter during execution. The Association, which celebrates its 75th anniversary this month, highlights that past failures to act promptly on transport and tourism policies have led to missed economic opportunities and stunted industry advancement.
A Call for Partnership and Progress
As the UK looks toward 2030 with ambitious economic targets and regional revitalization strategies, outbound travel offers a proven, scalable, and inclusive growth path. ABTA’s message is clear: outbound tourism is not just about holidays. It’s about jobs, regional resilience, global connectivity, and fiscal strength.
To achieve the projected 20% growth, the government must treat the travel industry as a strategic partner and provide the policy environment needed for it to thrive. With the right investment, tax strategy, and regulatory support, the outbound travel sector can become a linchpin in the UK’s economic future.
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