p2 Contents jan30 28/1/09 21:02 Page 2
Travel’s so-called lack
of creditworthiness news
hits home hard
NO ONE would begrudge the CAA doing all it can
to make sure it is not paying out on claims from
collapsed companies it is not legally obliged to.
But suspicions in the industry are that its
eagerness to shift as many claims as possible on to
credit card companies is more about its financial
plight than playing by the rules.
The problem is that the financial institutions
this week
behind credit cards are waking up to the fact
that they are becoming the de facto travel industry
financial protector of choice.
They are unlikely to embrace an activity that Abta,
Aito and the PSA are keen to extricate themselves
from and that has left the CAA tens of millions of
pounds in the red. Couple that with evidence banks
are downgrading the industry’s creditworthiness, no
sector is liable to feel the crunch as much as travel. Life’s a pitch
Thankfully, Gordon Brown came to the rescue this The English cricket team arrived in the Caribbean this week to be greeted by
week with his £20 billion package of guaranteed St Kitts & Nevis’s prime minister, Dr Denzil Douglas (centre). Report from the
loans for small business. Or did he? CHTA Caribbean Marketplace and the latest on our Fair Fares campaign p9-10
Apart from the difficulty expected in obtaining this
help, the outbound travel industry has never been Payouts. Visitor numbers.
considered a particularly good cause for government CAA rejects agent claims p4 Caribbean sees decline p10
support in the corridors of Westminster. The CAA is rejecting thousands of Caribbean leaders fear any further
Indeed, Labour made it clear this week where its claims from agents owed money decline in tourist arrivals could
priorities lie with its £2.3 billion bailout of the car following company collapses, after devastate many islands’ economies.
manufacturing industry. taking legal advice that credit card Philippa Jacks reports from the
But as one agent based close to the Nissan plant in companies should foot the bill Caribbean Marketplace in St Lucia.
the north-east pointed out, the average car produc-
tion line worker takes less time to train than an agent. Co-op. Interview.
And this “skilled” work may constitute little more Homeworking on the rise p6 Willie Walsh in India p12
than button pressing on, admittedly, some very The Co-op’s Future Travel home- BA boss Willie Walsh claimed
high-tech equipment. working division has reported a the airline had been one of the
So we’re now in a situation where skilled 90% increase in enquiries from “least aggressive” in its switch to
travel retailers are, through taxes, going prospective members after launch- zero commission, as the UK
to be subsidising probably better paid ing a revamped recruitment drive flag-carrier promoted its new
workers in arguably a less-skilled sector. route to Hyderabad
Oh for a strong lobbying voice for the Marketing.
travel industry, with the power to Another ‘chav’ scandal? p7 Luxury.
influence policy makers. Operator Activities Abroad Deilmann branches out p22
The financial crisis means we generated £700,000 worth of River cruise specialist Peter
are in extraordinary times re- free publicity this week after Deilmann is planning to work
quiring extraordinary meas- touting its holidays as “chav-free”. with other luxury niche brands
ures, so maybe the retail Travel Republic responded with a to raise its profile among agents.
sector as a whole should special “chav” discount offer. See our latest preview of this
learn from the car sector year’s UK Cruise Convention.
and rethink antagonism Fair Fares.
to trade unionism. Or is Petition list growing p9
that too ridiculous a notion? Almost 400 people, including SECTORS.
tourist ministers, prime ministers Cruise p21
and industry bosses, have signed Business travel p24
Lee Hayhurst News editor TTG’s Fair Fares campaign demand- Operators p26
ing a change in plans for APD Hotels & resorts p30
02 30.01.2009
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