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The Travolution Innovation Report 2022 was launched last week at the Travolution Start-up Summit in London


Sector’s spending on IT set to hit record £1.98bn


Travel’s investment in tech tipped to surge by 44% this year. Lee Hayhurst reports The ONS data also covers


UK travel sector spending on technology is forecast to hit record levels in 2022 having bounced back from a slump during the pandemic. According to latest government


data analysed by Travel Weekly sister title Travolution for its annual Innovation Report, the sector will increase IT budgets this year by 44% on 2021. That would take the industry’s


annual spending on technology to £1.98 billion, the most in the 15 years in which the Travolution report has been compiling data.


64 27 OCTOBER 2022 Annual IT budgets in travel were


slashed by 28% to £1.33 billion in total at the height of the pandemic in 2020 and recovered only marginally by 4% in 2021 to £1.38 billion. The previous spending highs in


the sector were in 2016 and 2019 when the industry’s annual total IT spending hit £1.84 billion. The Travolution Innovation


Report analyses Office for National Statistics (ONS) data for IT spend in five sub-sectors of travel – travel agents, tour operators, hotels, aviation and water transport.


expenditure across five categories of IT spend – hardware, software, telecom services, IT staff, and computer services including outsourcing, consultancy, training and support. The hotel sector overtook


travel agencies as the industry’s second-largest IT spender in 2021 as hospitality benefited from a domestic travel boom as restrictions were


Continued on page 62 travelweekly.co.uk


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