Travel organisations have called for incoming UK prime minister Liz Truss to be “innovative” and “take action” quickly as businesses face up to rapidly rising energy bills.
Current foreign secretary Truss won the vote to become the new leader of the ruling Conservative party on Monday (5 September) and will officially take over as the UK’s new PM from Boris Johnson when she meets the Queen in Scotland on Tuesday (6 September).
Leading travel associations offered their congratulations to Truss but they also urged her to act quickly in response to double-digit inflation and an imminent huge increase in energy bills for businesses.
Clive Wratten, CEO of the Business Travel Association (BTA), said: “This is a grave time for our country and we urge the prime minister to be innovative in tackling the challenges ahead. Work with industries such as travel, transport and hospitality to get Britain thriving again.
“We look forward to working with your new team and making the case for business travel’s vital contribution to our economy.”
Mark Tanzer, chief executive of UK travel association Abta, said it was “now time for action” from the new prime minister after a long leadership campaign over the summer.
“As it stands, members have no protection from rising bills – they are feeling the impact now, at a time when they are also still trying to recover from the worst two years in the industry’s history,” stressed Tanzer.
“It is particularly important this government takes account of the extreme pressure small and medium sized businesses are under.
“Introducing a cap on energy rates for businesses, extending business rates support and offering more headroom with the repayment of business loans taken on during the Covid crisis are all things the government should be considering to help businesses weather the cost of living crisis.”
UKHospitality also welcomed Truss’s election but called for a package of measures to protect the sector from “crushing cost rises”.
“The new government must act quickly and decisively to address the soaring energy bills that are facing consumers and businesses,” added Kate Nicholls, the CEO of UKHospitality.
“With the right package of support – including a reduction in the headline rate of VAT for the sector to 12.5 per cent, a business rates holiday, the deferral of all environmental levies, the reinstatement of a HMRC Time to Pay scheme and the reintroduction of a trade credit insurance scheme for energy – the sector will be well placed to aid growth through generating jobs and local investment.
“We desperately need a package of support put in place if we are to be able to play our part in the UK’s economic recovery and growth.”
Julia Lo Bue-Said, CEO of The Advantage Travel Partnership, said she hoped that the travel industry would “not go unnoticed” by Truss’s new government.
“The significant importance both economically and socially that the travel industry contributes has a ripple effect across many industries and local communities, alongside the many thousands of small businesses who are currently evaluating how to keep the lights on throughout this winter,” added Lo Bue-Said.
“At Advantage we will continue to raise awareness of the issues facing the industry, and doing all we can to get ourselves heard, whilst supporting our members through what will continue to be very difficult times.”