CONVENTION The Travel Convention: Budget fears, consumer confidence and AI were amo
Government urged not to tap sector as a ‘cash cow’
J
et2.com and Jet2holidays chief executive Steve Heapy has urged the government not to use
the travel sector as a “cash cow” as anxiety grows about next month’s Autumn Budget. He voiced concerns that more
consumers would be forced into a higher income tax bracket. “I am quite worried,” said Heapy.
“The government wants to raise £30 billion to £50 billion in tax; it’s going to come from the ‘squeezed middle’.” He added: “I think there are a lot
of things to be worried about. The increases in national insurance cost us [Jet2] £25 million. Future rises [in taxes] will impact us again. “I think more people will be
dragged into a higher tax bracket. The number of people in the higher rate has [already] doubled in 12 years.” Heapy called on the government
to treat the industry with respect, citing travel as a “force for good”. He
People need some
certainty of no tax rises. Businesses do not need additional costs – we need help to grow
stressed: “I think the government has to be careful about reverting to the travel industry as a cash cow to fill government coffers. We put an enormous amount of money into the UK Treasury.” Fellow panel member Neil
Swanson, Tui UK and Ireland managing director, also raised fears of further tax rises. “People need some certainty of no tax rises,” he said. “Businesses do not need additional costs – we need help to grow.” On the market, Swanson said
the company would “love to see” consumers booking earlier but admitted: “At the moment there is a lot more competition [on price].
People want to travel but are being pushed to book late, which isn’t great for anyone.” Both Jet2 and Tui reported “some
shift” in sales to the shoulder seasons but said it was not clear if this was due to cost or climate change. Heapy said: “I am not sure there is
a massive shift to cooler destinations; there’s been some shift into the shoulder seasons, [but] whether it’s climate or cost, I don’t know.” Swanson said there was evidence
of families choosing to go on holiday in the half-term breaks on either side of the main school summer holiday. But he said: “What we are not seeing is people changing [their holiday choices] massively at the moment; people still want that Mediterranean holiday in the summer.” Meanwhile, Swanson said Tui was
weighing up a return to Doncaster Sheffield airport when it reopens. “It is something we are looking at
and working on. It’s part of ongoing discussions,” he said.
Industry ‘doesn’t need hobbyists in it for their own needs’
The managing director of Cruise118 parent World Travel Holdings UK shared her frustration at “hobbyists” joining the travel sector who are “just in it for their own needs and purposes”. During a panel discussion, leaders
were asked how the industry can ensure it maintains quality when “more people than ever are becoming travel agents”. Lisa McAuley, who took the helm of World Travel
Holdings this month, replied: “We can’t – and are fooling ourselves if we think we can. That, for me, is a concern.” She added: “It’s incumbent upon all of us to invest
in our people and ensure they stay with us, because longevity equals productivity.
10 16 OCTOBER 2025 Lisa McAuley “What we don’t need is hobbyists; what
we don’t need is people who are just in it for their own needs and purposes, because that doesn’t do the industry any good.” Steve Witt, co-founder of
homeworking agency Not Just Travel, who was also on the panel, said: “I think it drives us to be better, as there’s more competition. Our training gets better and
the quality of training from suppliers gets better. Across the industry, we’re all upping our game all the time.” Judith Alderson, commercial director of Dawson &
Sanderson, said: “Influencers are becoming travel agents and then recruiting others. I don’t think that’s a good thing because you can’t become an agent overnight.”
‘AI might be the worst thing
Using AI to create emotional marketing aimed at building brand loyalty “might be the worst thing you can do”, according to a behavioural psychologist. Nathalie Nahai encouraged travel
businesses to maintain a human voice in their consumer messaging to build trust and keep a strong brand voice. “When you’re thinking about crafting
emotional messages to raise trust and loyalty, using generative AI might be the worst thing you can do,” she told delegates. “In an age when it’s easy to reach for AI tools because we’re overworked
From left: moderator Jonathan Samuels, Steve Heapy and Neil Swanson
Nathalie Nahai
travelweekly.co.uk
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