Schools return is ‘long-shot’ hope Lucy Huxley
The restarting of schools this week may allow government the chance to consider sector-specific support for the outbound travel industry, according to the chair of Aito Specialist Travel Agents. Gemma Antrobus, managing
director of Haslemere Travel in Surrey, admitted it was a “long shot” but hoped that once children were back in classrooms the trade might get a look-in at government level. Speaking on a Travel Weekly
webcast, she said: “I’m slightly hopeful that once the kids go back to school, and we’re over GCSEs and A-levels, that perhaps we then might get a window of opportunity to find
some stability with the government, but that’s a long shot.” Agencies and trade bodies have
been calling for tailored support for the industry since the winding down of the furlough scheme was announced. From September 1, businesses have had to pay 10% of furloughed staff ’s wages, with the government paying 70% of their overall 80% salary. In October, government will pay 60% and businesses 20% before the scheme closes at the end of next month. Antrobus accepted that any
sector-specific help would be too late to save the summer, but said: “On a wider scale, beyond our individual little businesses, what happens, from the government’s perspective, when
VIVID suspends operations and closes office
Lucy Huxley
Tour operator VIVID Travel has “suspended operations until further notice”, blaming the effects of Covid-19. Founder and managing director
Kane Pirie said he was “uneasy” entering into contracts with customers that may not be fulfilled, and said the current market was “not compatible with our 100% commitment to refunds”. He said uncertainty around
quarantine requirements for arrivals 6 3 SEPTEMBER 2020
and “associated difficulties” in the short-haul market were also contributing factors and confirmed all future bookings had been cancelled with full refunds provided. VIVID employed 10 members
of staff, whose contracts have been terminated. Pirie said: “We have not been
able to operate any trips since March and our destination countries remain closed to arrivals. I am uneasy entering into new contracts with customers which we cannot fulfil until the crisis is resolved. It feels like speculation.
“We now have airlines and other
suppliers operating regardless of FCO advice. In this market, trading is reduced to gambling. If the trip runs we might make a small margin, but if it does not we could incur a significant loss.” Asked if his intention was
to ‘hibernate’ the business and resume selling again, he said it was “impossible to predict” but cited “very positive feedback from customers” that was “really encouraging”. VIVID Travel was established
in 2017 by Pirie, the former boss of
pounds to the Exchequer – that’s more than farming and fishing together. If they don’t have that, who’s going to plug that hole?” Antrobus called for more joined-
up thinking from government as fears grow of more redundancies. “What happens when more Atol-holders fail?” she asked. “Who pays for that?” Charles Duncombe, director of
Clockwise from top: Tony Mann, Idle Travel; Lucy Huxley, Travel Weekly; Charles Duncombe, Holidaysplease; and Gemma Antrobus, Haslemere Travel
we come to the end of furlough? “The UK outbound travel
industry contributes £37 billion
homeworking agency Holidaysplease, said: “We’re now at a stage where we need to be looking strategically and long-term for this industry because it is hugely valuable to the government. They can’t just let the industry die.” But he did not hold out much hope,
adding: “It’s a case of hope for the best but plan for the worst. You’ve got to assume we’re not going to get state aid.”
Kane Pirie: ‘In this market, trading is reduced to gambling’
Travel Republic. It sold direct and via agents and had an Atol licence. It resigned its membership
of Abta in April in protest at the association’s stance on refunds and the issue of refund credit notes. Pirie founded the ‘Right to
Refund’ campaign, claiming travel firms were “fundamentally undermining trust in the travel industry” by withholding payments. In April, he said VIVID was
targeting £10 million in sales in 2021 and that he hoped to float the company on the AIM market.
travelweekly.co.uk
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