Phildelphia
http://admin.travelmole.com/images/stories/2009/images/ledger-page-1258244-639x369.jpg

Published on Thursday, May 21, 2020

Many agents and operators will go under, warns accountancy group




Travel agencies and tour operators are the worst hit of all major industries by the coronavirus crisis, according to a national accountancy group.

UHY Hacker Young says it is likely many travel agents and tour operators will not survive the coronavirus after the lockdown ends.

"The UK's travel agents and tour operators have been hit hardest by the double whammy of the lockdown and a collapse in discretionary consumer spending," said Peter Kubik, partner at UHY Hacker Young.

"The lockdown is a particularly hard blow to high street travel agencies who have been struggling for years against the shift to the internet and the huge DIY sites like Booking.com and Expedia.

"There will be a rush of people booking holidays once lockdown ends but that may come too late for some in the sector. Many are likely to be effectively insolvent already and only surviving because of the help the government has put in place."

UHY Hacker Young says many business will go under once the temporary support from the Government, such as the CBILS scheme, the ban on evictions and winding up petitions and business rate relief, ends.

It pointed to a 56% drop in turnover for the sector, falling from £2.6 billion in March 2019 to just £1.2 billion in March 2020.

UHY Hacker Young has 90 partners and more than 500 professional staff working from 22 locations around the Uk.
 

Story Image



Your Comments

, be the first to post a comment.
Your email:






Email other comments made to this story


NOTE: Comments are subject to admin approval before being posted.
Mole Poll
Has the announcement of a UK quarantine further hit bookings?
YES 59.68 %
NO 40.32 %

Thank you for your vote



What is GoodtoGo?

Submit your news
or special offer


Current UK Special Edition



Current US Special Edition



Current Asia/Pacific Special Edition



LATEST 'MOLE VIDEOS

Longwoods Research points to a problem for the tourism comeback

Atlantic City Tourism Stakeholders detail next steps

New cruise business launches amid travel and tourism crisis

Air Mauritius will fly again. The MTPA details its plans to welcome back European visitors

UPCOMING EVENTS
\m