Government cuts to make UK holidays more expensive

Hotel News - 25/10/2010

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Recently announced budget cuts will likely result in higher travel costs in the UK. This will lead to the cost of going on holiday in Britain rising. The latest Spending Review, announced Wednesday, will slash spending by the Department for Transport (DfT) by 12.6 per cent.

This could cause the prices of tickets on Britain’s railways to go up by as much as 10 per cent per year for the next four years. Additionally, higher tax rates and cuts in services will force air fares higher.

Britain’s Civil Aviation Authority announced last week that the number of domestic flights dropped by 25 per cent over the last five years. The Conservatives and Liberal Democrats have both given notice that they plan to increase the duty levied against domestic flights. They claim a travel option that produces less pollution is already available.

The British Hospitality Association represents the nation’s restaurants and hotels. A spokesman for the association said the tourism industry depends on quality transport links that are reasonably-priced. Anything that drives up transport prices or harms the quality of transport also boosts the cost of visiting the UK and is ‘highly undesirable’.

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