The United Kingdom’s Travel and Tourism sector is expected to surpass the levels achieved in 2019 this year, according to the latest World Travel and Tourism Council (WTTC) analysis.
The same source also predicts that the sector will contribute £252.4 billion to the country’s economy, surpassing the pre-pandemic peak of £248.5 billion recorded, VisaGuide.World reports.
Data provided by the WTTC shows that the sector will generate nearly 380,000 jobs in 2023, which means that total employment in this sector will reach up to four million, employing over one in nine UK workers.
In addition, spending by international visitors to the UK is estimated to reach £26.18 billion, a notable achievement, just off 2019’s peak of £38.6 billion by six per cent.
Based on this data, the Travel and Tourism sector in the UK also made significant progress last year. As a result, its GDP contribution witnessed an increase of 65 per cent, exceeding £237 billion and accounting for 9.5 per cent of the country’s economy. This achievement brought the sector to the highest level in 2019, representing 9.9 per cent of the economy.
In terms of employment, the sector created 1.1 million additional jobs compared to the previous year, reaching a total of 3.6 million jobs nationwide. At the same time, the industry recovered 1.5 million of the 1.7 million jobs lost during the pandemic.
International travel also made a remarkable comeback, with spending by overseas visitors increasing by over 300 per cent from 2021, reaching nearly £30 billion.
Furthermore, domestic visitor spending fully recovered in 2022, matching the pre-pandemic high of £165 billion.
“The recovery and long-term growth of the sector are at risk with the self-axing of VAT-free shopping for international tourists. We will continue to see high-value tourists choosing France and Italy over the UK and taking economic value and jobs with them,” WTTC President & CEO Julia Simpson points out.
Moreover, the Global Tourism Organization has predicted that by 2033, the UK sector will significantly expand its GDP contribution to nearly £315 billion, representing almost 11 per cent of the UK economy.
Last year, the European Travel and Tourism sector also made a significant contribution of €1.9 trillion to the regional economy, only seven per cent below the peak recorded in 2019. Thus, WTTC forecasts reveal that this year, the contribution of GDP- of the sector in the region will exceed two trillion euros, coming very close to the highest point observed in 2019.
As WTTC data points out, the sector employed almost 35 million people across the region in 2022, marking an increase of 2.9 million from the previous year. However, this employment figure was still 3.2 million jobs below pre-pandemic levels.