p4 news Dec11 9/12/09 22:08 Page 4
news
11.12.2009
In brief
Climate body calls
■ Royal Caribbean to woo family market
Royal Caribbean International hopes to help
agents bring more families onboard by offering
big child discounts as part of its turn-of-year for tax on flights
campaign. Agents can win a place on the Oasis
sister ship Allure of the Seas launch event in
Chris Gray.
proposal it risked being an environmental leader
Fort Lauderdale next year, plus 50 smaller prizes. THE TRAVEL industry faces more taxes on flying but hurting its own economy. “We could slow
Celebrity Cruises’ turn-of-year campaign will give and an end to growth at most regional airports down the whole of the UK and it would make no
agents the chance to offer stateroom upgrades, under proposals made by a government-backed difference to global emissions,” he added.
early booking savings and onboard credit. committee this week. Ridgway added that after the worst year in the
The Committee on Climate Change called for industry’s history, airlines needed no encourage-
■ EasyJet boss Harrison to leave next June a carbon tax to be levied on flying on top of ment to be more fuel efficient and governments
EasyJet chief executive Andy Harrison will leave anything that airlines have to pay in a European should be encouraging technological progress
the airline “to seek new challenges” at the end carbon trading scheme. rather than trying to limit passenger numbers.
of June. Harrison has led the airline since 2005, And it said that if the government were to British Airways chief executive Willie Walsh,
when he joined from motoring group RAC. His meet its targets for cutting carbon emissions by speaking at the same event, accused politicians
departure follows that of chief finance officer 2050, only Heathrow, Edinburgh and Stansted of taking the economic contribution of the
Jeff Carr, who left in May. Sir Michael Rake will airports would be allowed to grow. industry for granted.
take over as chairman in January, after joining Demand for flights would have to be restricted “Politicians expect that contribution to
the board in the summer. to 60% growth between 2005 and 2050, rather continue, yet they tax an industry that is in
than the 200% predicted if it were not checked. severe financial distress,” he said.
■ Jet2holidays appoints Heapy as MD The report’s acceptance that Heathrow should Tui UK managing director Dermot Blastland
Jet2holidays.com has appointed Steve Heapy as be allowed to expand was welcomed by the signed a letter sent by the Sustainable Aviation
managing director. He has previously worked for industry, but leading airlines were bitterly group to the committee chairman Lord Turner
MyTravel, Thomas Cook and Libra Holidays. opposed to more taxation. saying that the UK’s national targets could be
Virgin Atlantic chief executive Steve Ridgway, achieved without limiting demand.
■ Coventry airport closure hits 70 jobs speaking at the Air Operators’ Association con-
Coventry airport has closed at the expense of ference, said if the UK adopted the committee’s ■ Airlines back progress not limits: Analysis, p10
70 jobs. The owner, West Midlands Airport Ltd,
had faced financial difficulties since Thomsonfly
scrapped services in November 2008. The airport
has been operating as a cargo terminal and a
Budget report
“VAT returning to 17.5% is not good news.
Many businesses will be unable to pass that
base for executive jets since then. extra cost on in the present market. It may not
■ Swindon agents hope for Disney magic ‘to hit spending’
cause major casualties, but it won’t help.”
Andrew Burnham, principal at accountancy
Agents in Swindon are hoping for a boost to firm McIntyre Hudson, said the recent recovery
bookings after the town was twinned with Walt PUBLIC SECTOR cuts announced in the looked to be “out of steam” and called for a more
Disney World in Florida. Sandra Colbourne, chancellor’s pre-budget report could have a meaningful budget in April.
owner of Florida specialist Charter Travel, said negative effect on 2010 bookings, according to “The prospects for summer and winter 2010
she would run promotions based around the two of the industry’s leading accountants. bookings will be adversely affected by the
twinning, which she was sure would help Stephen Broome, a hotelier turned adviser for expected public sector cuts and tax increases,
business. Astral Travel manager PricewaterhouseCoopers, said the cuts would hit with real danger of a relapse into recession going
Sue Sheppard added it was people in the pocket and lead to an inevitable into 2011, especially if UK interest rates rise.”
likely to help business rise in unemployment. Broome said PwC’s economists expected the
because Disney would be He warned that the return to 17.5% VAT would economy to return to positive growth in the
in local people’s minds. also create difficulties for owners of independ- second half of 2011.
ent travel agencies. “Cuts mean job losses which The pre-budget report failed to mention Air
ttglive.com
For the latest news, reviews and comment
hits disposable income and dents consumer Passenger Duty, despite calls for the chancellor
from the travel industry, visit
ttglive.com confidence. It may affect bookings,” he said. to reform the tax, which increased last month.
04 11.12.2009
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