Travel managers in Europe, Middle East and Africa face a mixed buying landscape in 2018, according to a new forecast from American Express Global Business Travel.
Long-haul business fares from Poland are predicted to rise by 3.0% this year while those from the UK will nudge up by only 0.25%, according to the latest Global Business Travel 2018 Forecast. Long-haul business fares from Germany will rise by 2.75% while they will rise by 2.0% in France.
The company said, "In Europe, the UK's decision to withdraw from the European Union (EU) — known colloquially as Brexit — could impact travel throughout the region as carrier operations and passenger demand potentially shift. British carriers will see airfares remain flat."
Hotel rates show a more aligned picture, except in the UAE where rates are expected to remain flat. The TMC's forecasts are shown in this week's chart below.
The TMC said, "In Europe notable increases in hotel rates are expected, except for the UK and Spain, with hotels across the region seeing growth in demand driven by tourism, which has outpaced limited increases in new supply. Ground transportation has benefited from increased demand as well with rental car demand expected to grow slightly. However, aggressive competition between rental car suppliers, as well as millennial shifts towards ridesharing and public transportation, will keep prices relatively flat."