Is Brexit having a negative impact on UK business travel?

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The UK's decision to leave the European Union has had wide-ranging impacts on a variety of sectors, and Travel Management Companies (TMCs) are proving no exception to this trend.

Recent data from the Office for National Statistics has offered evidence that corporate travel in and out of the UK is facing a slump, despite the sharp fall in the value of the pound since the June 2016 Brexit referendum offering financial incentives for overseas travellers to visit.

Indeed, the number of foreign travellers arriving in the UK on business was shown to have fallen by four per cent during the quarter that ended on June 30th and three per cent for the first half of the year, while business travel from Britain was down by seven per cent for the quarter and one per cent for the year to date.

With the UK's path to Brexit still uncertain, it would appear that shaky business confidence is having a negative effect on the number of companies willing to book corporate trips to and from the country.

However, a representative from the GTMC - the body representing TMCs and the business travel community in the UK -  told Skift that there may be other mitigating factors in the most recent quarterly downturn, such as Easter falling in April this year and the added disruption caused by the June general election.

The spokesperson added: "On a more positive note, our own transactional data demonstrates a similar level of performance year on year during the same period.

"Reassuringly for the business travel and TMC community, this would suggest that more companies are using the services and expertise of a TMC during this same period. In turn, business travel has remained constant, which is good news for the wider economy."

For information on how your TMC can automate its mid and back-office systems with ProTAS, contact ProCon Solution now.

 
ProCon Solution A/S
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DK-2620 Albertslund
Phone: +45 4363 2266
Email: procon@procon.dk