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CONFERENCE


‘Brexit’s grinding uncertainty will go on even after UK exit’


I


ndustry leaders were warned to expect the “grinding uncertainty” of Brexit to continue whatever the outcome


of Boris Johnson’s push to leave on October 31. Peter Foster, Europe editor of Te


Daily Telegraph, told the convention the “full long-term impacts of Brexit have yet to emerge”. He said: “Te vote to leave has


relentlessly polarised British politics. It opened the door to a period of grinding uncertainty, which is likely to continue. “Teresa May’s version of Brexit


tried to preserve a frictionless trade relationship,” Foster said. “Johnson’s version would introduce significant frictions between the UK and EU.” He warned: “Te EU will not


allow a deregulated competitor on its doorstep. It means a long and grinding process. For now, they can’t even agree the divorce process that will begin the negotiation.” In the short term, Foster said:


In the run-up to the


March deadline we saw an industry slowdown, and the same pattern is repeating itself”


“Te British government’s proposals have been rejected. I don’t feel any optimism on either side. Tere is too much political risk. Te EU presumes Johnson will look to keep his hard Brexit credentials intact. “We’ll have the October EU


Council summit [on October 17-18]. Tere will almost certainly be an extension request – I can’t see a way the legal requirement can be avoided. “Te EU is going to groan and


express frustration, but will grant an extension. Ten we’ll head for a general election.” He acknowledged: “Tere


are some alternative possibilities, [but] it’s likely there will be a


general election.” Foster added: “Winter elections are unpredictable, [and] it will be one of the nastiest, most divisive elections of modern times.” Asked the likely outcome, he said:


“Polls suggest Boris is the only one capable of winning a majority. What we don’t know is how much a Brexit extension request would turbocharge the Brexit Party. “Recent elections have not been


delivering majorities. Te smart money is on a hung parliament. [But] whatever the result, the UK will face the same conundrum about what kind of Brexit it wants.” Foster insisted: “Te parameters


of the decision remain the same. [Even] a no-deal Brexit is not the end of Brexit. Te Brexit argument has barely begun.” Abta chief executive Mark Tanzer


told the convention: “In the run-up to the March deadline we saw an industry slowdown, and the same patern is repeating itself.”


Travelopia plans to invest in 10 ‘priority brands’


Te former Tui specialist holidays and activities division, now Travelopia, was an “orphan asset”, without investment and lacking “commercial acumen”, according to the man now running the group. Travelopia chief executive Andy Duncan


said the group “was not seen as a strategic asset and was leſt without investment” by Tui, which sold the business to private equity firm KKR last year for £325 million. Duncan said: “We had 50-odd businesses.


What was missing was commercial acumen. It was not making much money.” Now, he said: “We want to be the world’s


14 17 OCTOBER 2019


best experiential travel company. We plan to go from 53 brands to 10. We’re selling the sport and education businesses and we’ve closed loss-making businesses. Some divisions just didn’t fit. Other brands were quite weak. “In the areas we’ve picked we’re going


to put in money. All the priority brands are commercially healthy [and] KKR is investing. Te ones we’re selling are making money. Te ones not making money we closed or merged.” However, Duncan warned: “We are going


to have a messy situation in the UK for the foreseeable future [because of Brexit] and a no-deal would be very bad.”


‘Fly less to slow global warming’


Travel firms should encourage customers to fly less to help slow global warming, Responsible Travel marketing director Tim Williamson told the convention. Williamson (below) said reducing flying was key to


limiting warming and argued one in four flights should be cut. He urged companies to “act now” rather than be forced to do so, saying: “We’ve not done nearly enough in the last 10 years. “We need to encourage


our customers to fly less. Tat’s difficult…but if we’re going to stop the planet heating above two degrees, I can’t see how else we do it.”


Andy Duncan, Travelopia


Peter Foster, The Daily Telegraph


travelweekly.co.uk


PICTURES: Arif Gardner


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