London,

August

2020

13:36

Europe/London

LOTUS CORONAVIRUS UPDATE (14.08)

DESTINATIONS

France

Six destinations have had their quarantine-free travel corridors revoked – France, Malta, the Netherlands, Monaco, Turks & Caicos, and Aruba.

The announcement by the UK Government was made at 2130 on Thursday 13 August and gave Brits 30.5 hours to return to the UK from those destinations if they didn’t want to quarantine.

The Foreign Office is also now advising against all but essential travel to the six countries. Anyone already in-destination need not return to the UK immediately, the FCO has said.

Grant Shapps, the Transport Secretary said that countries that had about 20 cases per 100,000 on a seven-day rolling average were likely to have air bridges revoked.

Shapps said that the information that France’s cases went up by 66% came out on the evening of the announcement.

The Government said that 160,000 British people were currently in France at the time of the announcement. However, the Advantage Travel Partnership said that removing Malta from the ‘safe list’ of destinations will have more impact on agents. It’s a destination more likely to be booked by an agent as a package holiday.

Oldham, which is in the borough of Greater Manchester, is on the brink of a local lockdown after it recorded the highest rates of Covid-19 infection in the UK.
The Guardian reports that dozens of holidaymakers have had their trips cancelled at the last minute after Cottages.com and Hoseasons re-let the accommodation they had booked to new customers. Awaze UK, which owns more than 20 holiday rental brands, blamed unprecedented demand for overwhelming its systems and a technical error that prevented balance payments being collected last month. It also denied cancelling longstanding bookings to sell on at a higher price.
UK hotels are not shouting loud enough about the extensive measures they are taking to keep guests safe in the post-Covid era.
The i newspaper has reported that teachers have been told not to go on overseas holidays for fear of quarantine and staff shortages.

Germany

Germany has registered its biggest daily increase in new coronavirus cases for more than three months.

Spain

The Telegraph reported on Wednesday that Spain has again the worst infection rates in Western Europe.

Balearics

Abigail Lowe reported on her own trip to Ibiza in The Telegraph and reported on the low levels of infection and the queries from tourism insiders as to why the Balearics continue to be in the UK’s restrictions.

Canary Islands

The Canary Islands are offering tourists free insurance covering coronavirus-related incidents in an attempt to reassure holidaymakers.

The policy, launched by the Canaries’ Department of Tourism, Industry and Commerce in partnership with insurance firm AXA, will cover Spanish and foreign visitors alike, provided they are staying in tourist accommodation (rather than with friends or family).

All medical expenses, health repatriation and extended stays necessitated by quarantine will be covered for those who test positive for Covid-19 while staying on the islands.

Mallorca

The hotel Fergus Style Soller Beach in Puerto de Soller announced on its Facebook page that it was shutting its doors just shortly before tourists were due to arrive this week. Its website is not accepting any further bookings for stays until mid-February 2021.

Head of the Mallorca hotel federation Maria Frontera warned earlier this month that hotels on the island were only 37% occupied in July, 5% below expectations. This was despite the fact that only 57% of hotels were open.

An estimated 90% of British bookings were cancelled when the UK government reintroduced its warning against holidays in the whole of Spain - including the islands - on the weekend of 25 July.

Greece

Greece registered its second highest number of new cases on Monday and has imposed a curfew on bars, restaurants and cafes in several regions. The Greek government has warned the ban could be extended depending on the development of the rise in cases.

The Consumer Affairs Editor of the Telegraph said: “British tourists are gambling on Greece for their holidays despite a spike in cases as the country has overtaken Spain in popularity for the first time.”

Data from Skyscanner, the flights booking website, revealed that in the week after quarantine measures were announced, searches for Spain and its islands which were consistently in the top ten, were replaced by Greek destinations including Crete, Corfu and Santorini, which became the top sought after routes.

Portugal

The Daily Telegraph reported that it had been hoped that Portugal might form a "travel corridor" with the UK as early as this week, but an unnamed industry source warned it was “looking extremely unlikely” based on the latest data.

“While cases have been dropping overall, the case incidence remains high. Removing Portugal would be a bit of a gamble at this point,” the source added.

The nation registered fewer cases on Wednesday than last week.

However, in the past 14 days the cumulative number of Covid-19 cases per 100,000 rose to 24.6, its first increase in weeks.

Turkey

Many airlines and holiday operators are trying to tempt tourists back to the country with cut price deals. Travel Supermarket recently reported that a week in Marmaris, Turkey, in September, is available for £155 per person, for example.

Switzerland

Switzerland will allow events with more than 1,000 people from 1 October so long as organisers agree to strict hygiene measures and have authorization from regional authorities, the government has decided.

Malaysia and Brunei

Malaysia and Brunei have been added to the list of destinations exempt from England's quarantine rules.From Tuesday 11 August, arrivals from both countries will no longer have to self-isolate when they arrive in England.

Barbados

British Airways will restart a direct daily service between Heathrow and Barbados from 17 October, after a hiatus of over 15 years.

BA also offers direct flights from Gatwick to Barbados.

Jamaica

British Airways is starting a twice weekly route from Gatwick to Montego Bay on 13 October with fares from £427 return. The airline is operating a reduced-frequency service to Kingston, Jamaica, plus Antigua, Barbados and St Lucia.

Dominican Republic

The Caribbean Island will welcome the USA Secretary of State Mike Pompeo to Santo Domingo, on 16 August to discuss their diplomatic partnership and economic recovery plans.

Mauritius

Tourist operators in Mauritius fear that an oil spill from a Japanese ship will further damage their businesses and could cost jobs if their pristine beaches are effected.

Hong Kong

Bloomberg reports that there is news that Hong Kong’s airport may restart transfer flights to mainland China.

New Zealand

New Zealand has locked down its nursing homes after 102 days without any coronavirus cases ended with four people in Auckland testing positive.

Italy

Italy, which has one of the best coronavirus rates in Europe, has introduced quarantine measures for travellers returning from certain countries including Spain and Greece.

Norway

The Nordic country has extended a general advice against non-essential travel to 1 October, and added Iceland and Poland to its “red” list, along with parts of Denmark, meaning travellers from these countries are subject to quarantine on return.

Japan

In Japan, virtual flights have gained popularity with holidaymakers as coronavirus keeps real travel grounded.

A Japanese company is providing a virtual travel experience complete with a realistic aircraft cabin, projections of cloud and sky and VR goggles. Although the service started years ago, the business is seeing a jump in the number of customers as the coronavirus sets back real-world travel plans.

Sri Lanka

Sri Lanka’s Covid-19 measures have received the World Travel and Tourism Council’s Safe Travels stamp.

The UK Foreign & Commonwealth Office has named Sri Lanka in its list of places deemed as ’’no longer presenting an acceptably high risk to British people travelling abroad”.

However, Sri Lanka’s main airport in the capital Colombo has remained closed to international commercial flights since March. The country’s government had planned to re-open it on 1 August, but it will first be used to repatriate about 30,000 workers currently abroad.

The island has seen only 11 Covid-19 deaths and none since the start of June.

Australia

The Northern Territory in Australia is likely to remain closed to visitors from abroad and Australia’s two biggest cities until 2022 in an attempt to protect remote communities from infection, putting some of the country’s top tourist attractions off limits.

Michael Gunner, the chief minister of the Northern Territory, said that he expected the region’s strict border controls, aimed at keeping Covid-19 out of vulnerable Outback Aborginal communities, would remain in place until 2022. Australia remains closed to international tourists.

ECONOMY

The UK officially entered into recession on Wednesday 12 August for the first time in 11 years due to the impact of the coronavirus pandemic. TTG reported that hospitality and accommodation sectors are bearing the brunt hardest.

Gross Domestic Product (GDP) fell 20.4% in the three months to June compared with the previous quarter, as knock-on lockdown effects were felt. It was the biggest slump since records began in 1955. At the height of the 2008 crisis, the economy shrunk by 2.5%.

Jonathan Athow, the Office for National Statistics’ deputy national statistician said: “The recession brought on by the coronavirus pandemic has led to the biggest fall in quarterly GDP on record.

“It is clear that the UK is in the largest recession on record. Our latest estimates show that the UK economy is now 17.2% smaller than it was in February, the effects of which have been most pronounced in those industries that are most exposed to public health restrictions and the effects of social distancing.”

During the April-June period, the contribution to GDP from accommodation and food services fell 86.7%, the highest of any part of the economy. The next biggest slump was seen in construction, which fell 35%.

“Overall, productivity saw its largest fall in the second quarter since the three-day week. Hospitality was worst hit, with productivity in that industry falling by three quarters in recent months,” the ONS said.

There were some grains of comfort, said the Financial Times. Activity picked up in June - GDP rose by 8.7% and retail sales figures this week showed shoppers are gradually returning to stores. The government’s “Eat Out to Help Out” deal, subsidising restaurant meals during August, was also off to a good start, being used 10.5m times in its first week.

But the results show that the UK suffered its biggest quarterly fall ever and was the largest in any of the world’s major developed economies.

Business groups have called for the Government to take “bold action”, especially as job support schemes begin to wind down.

Europe

Global economy Eurozone industrial production bounced back in June but less than expected by analysts and still far below its pre-pandemic position. European economics commentator Martin Sandbu warned the EU not to repeat the mistakes of the global financial crisis, urging the bloc to suspend its fiscal rules.

Employment

On Wednesday, separate data revealed that employment in the UK suffered its biggest fall since 2009. There were 220,000 fewer people working in the UK in the three months to the end of June, according to official figures. Separate tax data shows that the number of employees on company payrolls has fallen by 730,000 since March.

At the end of July, the National Trust announced that it expects to lose £200 million this year and would be making up to 1,200 redundancies.

Data from the Office for National Statistics for the quarter to June showed total nominal pay fell by 1.2% year on year and regular nominal pay fell by 0.2% - the first negative pay growth since records began in 2001.

Ultimately, the size of the second quarter drop is less important than what happens next, said the FT Editorial Board. “Coronavirus has opened a new chapter in Britain’s economic history, but it is by no means over. The months to come will determine how the story eventually plays out.”

Deloitte

Speaking to Travel Weekly Alistair Pritchard, Deloitte lead partner for transportation, said that the UK economy is unlikely to see a V-shape recovery and the travel industry’s rebound could be “elongated”.

He said, “You have people who are desperate to get away and those who, for the moment, won’t travel. For those who want to get away, the announcements around Spain and the Canary and Balearic Islands [caused] significant disruption.”

BONDS VS TRUST ACCOUNTS

In an opinion piece in Travel Weekly, industry veteran Noel Josephides, former ABTA chairman; chairman of Sunvil Holidays and director of industry affairs for AITO, the Specialist Travel Association has said that bonding has kept prices low while protecting holidays.

Defending bonding against trust accounts, Josephides points out these companies “pay airlines out of the trust account as and when required to do so – certainly well before clients travel.

“So when it comes to refunding clients in an emergency, there may not be enough money to pay out in full and companies have to promise payment in stages.

“How can this be termed a proper trust account, when the operator is using the client’s money?”

Josephides insists: “If we’re to have trust accounts, they must be operated properly. But can anyone afford this?

“Many operators would have to substantially increase the amount of capital in their business. Prices would rise dramatically.”

Josephides suggests it’s “worrying that merchant acquirers are pushing tour operators towards trust accounts” and argues: “To restrict tour operators’ ability to manage their businesses is a recipe for disaster,” and warns against the sector being “shoehorned” into a financial protection system “which suits some but not all”.

AIR PASSENGER DUTY

Train companies are urging the Government to consider raising taxes on road and aviation fuel to cut carbon emissions and promote rail travel.

Industry body the Rail Delivery Group (RDG) wants a shake-up of transport tax policy to reflect “how polluting a journey really is”.

In a submission to the government’s transport decarbonisation plan, it stated that road fuel duty has been frozen since March 2011 and jet fuel is exempt from tax.

The proposals called on the government to consider using increased taxes on air routes that are in direct competition with trains to reduce long-distance rail fares.

This would incentivise people to make greener choices when travelling in Britain or to international destinations easily accessible by rail such as Paris or Amsterdam, the RDG said.

ASSOCIATIONS

UKInbound

UKInbound has demanded that the government extend or replace the furlough scheme despite chancellor Rishi Sunak confirming it will end in October. Inbound association UKinbound called on Tuesday for the scheme to be extended to March and for a Tourism Resilience Fund “to help businesses reliant on international visitors survive until spring”.

ABTA Convention

ABTA has confirmed this year’s Travel Convention will be a virtual one-day event on Wednesday 14 October.

Dnata Travel Europe chief executive John Bevan is among the first speakers confirmed, along with World Travel & Tourism Council president and chief executive Gloria Guevara and Dr Paul Redmond, Liverpool University director of student experience who has enlivened the last two conventions.

KPMG chief economist Yael Selfin will give an economic overview as the convention once more examines ‘our world, our sector and your business’ in light of this year’s theme – ‘Rebuilding Confidence in Travel’.

WTTC

Travel Weekly reports that The World Travel & Tourism Council is urging prime minister Boris Johnson and the UK government to work with other countries to “save the struggling travel and tourism sector”.

More than 100 of the world’s major travel and global business leaders have backed the move.

They are calling on the UK government for “strong leadership and unprecedented international collaboration” to rescue the sector and millions of jobs.

A joint letter from the industry leaders has been sent to Johnson and nine other heads of state of the G7 group of countries – Germany, Canada, France, Italy, Japan and the US – as well as Australia, South Korea and Spain, the world’s major source markets.

TRAVEL AGENTS & OTAS

Hays Travel

In order to keep staff with no work to do, Hays Travel took on government contracts during the Covid-19, reports Travel Weekly from a statement from the company.

Hays Travel fulfilled a number of Covid-related functions, including a ‘shielding’ helpline, NHS Track and Trace, and the Foreign Office’s repatriation programme at the beginning of the crisis.

Hostelworld

Hostelworld plans to add more options beyond accommodation as the global OTA moves towards recovery from the Covid-19 pandemic.

The firm “will continue to evaluate internal and external opportunities that will deliver value for shareholders, in particular the significant potential to enhance future growth primarily through building out a broader catalogue of experiential travel products beyond hostel accommodation”, Hostelworld said while issuing interim results.

Hostelworld plans to add more options beyond accommodation as the global OTA moves towards recovery from the Covid-19 pandemic.

The disclosure came as the company reported a loss of €8.3 million for the six months to 30 June against a €8.9 million profit in the same period last year.

On The Beach and Love Holidays

ABTA has confirmed that members must offer full refunds on package holidays when the Foreign Office advises against all but essential travel to a destination.

The UK’s two largest online travel agents On the Beach and Love Holidays continue to refuse full refunds to customers choosing not to travel to Spain against Foreign Office (FCO) advice.

The OTAs are telling clients booked for Spain they won’t refund the money for flights unless the airlines cancel and provide refunds.

On the Beach argues: “FCO advice against all but essential travel has previously meant there is a clear and present threat to life resulting in a total shutdown of that destination.” But it says: “If this were the case currently, flights from the UK would not remain operational.”

Love Holidays tells clients: “Airlines are currently not providing a cash refund if the flight is going ahead.”

Following a board meeting, ABTA issued a statement saying: “The board agreed unanimously that ABTA members should offer refunds to their package holiday customers where the Foreign Office advises against travel at the time the customer is due to travel.”

The Package Travel Regulations state a traveller can terminate a package booking “in the event of unavoidable and extraordinary circumstances occurring at the place of destination” and is entitled to a full refund.

The EU Package Travel Directive on which the PTRs are based specifies “significant risks to human health such as the outbreak of a serious disease at the destination” as unavoidable and extraordinary circumstances.

AVIATION

Refunds

Consumer rights organisation Which? said on Wednesday that it has seen evidence that the airlines are reneging on promises they made to the Civil Aviation Authority about how they would improve their refund processes, including from some passengers who have been left out of pocket since March.

The findings come after the CAA reviewed airlines’ behaviour and identified several carriers that weren’t paying refunds “sufficiently quickly”, including Virgin Atlantic.

However, the government body opted not to take enforcement action after receiving commitments from the airlines to improve their performance.

Despite this, Which? found that Ryanair, TUI and Virgin – all identified by the CAA as not processing refunds fast enough – are falling short of the promises they made to the regulator, prompting concerns from Which? that the regulator’s enforcement powers may not be fit for purpose.

The findings come after the CAA reviewed airlines’ behaviour and identified several carriers that weren’t paying refunds ‘sufficiently quickly’, including Virgin Atlantic.

However, the government body opted not to take enforcement action after receiving commitments from the airlines to improve their performance.

Heathrow

The chief executive of Heathrow Airport, John Holland-Kaye, has warned quarantine restrictions are ‘strangling the UK economy’, and renewed calls for Covid-19 testing at airports. He suggests that thousands of jobs are being lost because Britain is being cut off from key markets. In a statement, Heathrow said the 14-day quarantine restrictions on many passengers arriving in the UK were “preventing the UK from travelling to and trading with” some countries.

The Covid-19 pandemic has grounded 60% of its routes.

July’s traffic through Britain’s biggest airport was down 88% on the previous year.

More than half of the passengers who did fly out of the airport – over 480,000 – went to European holiday destinations.

John Holland-Kaye, CEO of Heathrow said: “Tens of thousands of jobs are being lost because Britain remains cut off from critical markets such as US, Canada and Singapore.”

British Airways

British Airways is resuming flights to 17 more destinations in August. In Europe, services will resume to Bari, Bastia, Bodrum, Bordeaux, Catania, Figari, Frankfurt, Genoa, Kefalonia, Lyon, Luxembourg, Malta, Paphos and Pula, while long-haul destinations Antigua, Islamabad and Nairobi return.
British Airways is set to become the first airline in Europe to offer passengers pre-flight coronavirus tests. The airline is understood to be working with Boots, which will conduct the Covid-19 testing at a number of pharmacies across the UK. BA says it is looking at all options to ‘make travel as safe and stress-free as possible for our customers in these unprecedented times’. It is thought more airlines could follow suit in an effort to restore confidence among travellers.
Thousands of staff are being told over the next few days whether they have lost their jobs at BA as part of the announced 12,000 scheme to cut jobs (third of workforce). 6,000 accepted voluntary redundancy.

Ryanair

Ryanair’s Bournemouth to Tenerife route will operate as a twice weekly service as part of the no-frills carrier’s winter schedule from 26 October to March 2021.

Lufthansa

Lufthansa has reported €3.6bn losses.

Lufthansa will operate 50% of capacity by the end of the year and two-thirds of 2019’s level in 2021. It doesn’t expect the pre-pandemic level before 2024.

Hong Kong: New Startup

Greater Bay Airlines applied for an air operator's certificate last month, which is now being considered, Hong Kong's Civil Aviation Department said.

The market already has Cathay Pacific, Cathay Dragon, HK Express and Hong Kong Airlines, although these are owned by only two companies.

Greater Bay will operate a low-cost business model and is backed by the founder of mainland China carrier Donghai Airlines, the South China Moring Post reports.

Cathay Pacific

Cathay Pacific Airways Ltd shares climbed the most in nearly 12 years after a Chinese state-run newspaper tweeted that Hong Kong’s airport may restart transfer flights to mainland China, a move that could inject the carrier with passenger traffic.

Leaner and greener: don’t carry flag carriers

The Economist has examined aviation recovery and believes that governments should stop favouring incumbent flag carriers so that leaner, greener airlines can develop the industry.

It reports that in 2020 the aviation industry expected to fly five billion passengers, but the actual number is likely to be only half as big with a fragile recovery susceptible to new waves of infection with predictions that pre-pandemic levels won’t be seen again until 2024.

When it does rebound, the twin priorities should be to put the industry on a sounder financial footing and to make flying less polluting.

For both objectives the way forward is the same: to loosen incumbents’ grip on the skies.

It argues that the industry’s sorry financial state should not relieve it of pressure to decarbonise. “For many years aviation has had a free pass when it came to regulations of the type that forced carmakers to clean themselves up.”

Before the pandemic, that had been changing and airlines were worried about their reputations as ‘flight shame’ raised awareness of how travelling by air accelerated global warming. Aircraft makers were planning on the next generation of cleaner planes.

It says bail-outs are the wrong answer to help the sector invest in new technologies.

Only 30 airlines were profitable before the crisis and bail outs will keep failing airlines alive.

Some green strings have been attached to rescue deals but they may not outweigh the zombifying effects of lavish rescue deals.

The Economist sites that Lufthansa’s bail-out allows it to build fuel-efficient planes but also will provide enough money to keep it as a top global airline and America’s airlines, which have been subsidised for decades have trousered $25 billion. These efforts threaten to keep bolder carriers from expanding and waivers on airport slot rules will further hamper new entrants. In Europe, Wizz Air are calling for slot-blocking to end.

If the industry is in deep-freeze it will slow the development of clean aeroplanes. Cosseting the old guard will do more damage to the planet.

HOTELS

IHG

Intercontinental Hotels Group, the company behind Holiday Inn and Crowne Plaza has shown signs of improvement.

The FTSE 100 group had to close hundreds of its 5,900 plus hotels since the Covid outbreak, in line with government guidelines in different countries, but it has since reopened many sites. Keith Barr said: “the impact of this crisis on our industry cannot be underestimated, but we are seeing some very early sings of improvement as restrictions ease and traveller confidence returns.”

Shares in IHG increased 156p or 3.9% to 4,157p.

In the six months to 30 June, revenue per room fell 52% and it was 75% lower in the second quarter. In the UK there was a second quarter decline of 90%.

However, Barr pointed to small but steady improvements in occupancy and revenue per room in the three months to June which continued into July.

There was encouraging signs of improvements from places that eased out of lockdown sooner such as China and the US. London occupancy levels stood at around 20% in July.

Total group revenues slid 45.3% in the first half to $1.2 billion.

The group, however, is set to cut 650 corporate jobs at its offices around the world, with thousands more jobs likely to go at its hotels.

Accor Hotels

Accor Hotels has launched a Hotel Office concept allowing workers to make daytime bookings and use the rooms for work. The offer is available at 250 hotels across the UK and a further 70 across Europe with more expected in the coming weeks.
Accor, the French hotel group behind Ibis, Softitel and Raffles, held a conference call with around 150 of Travelodge’s properties last week to ask them to join a new UK budget venture, according to industry sources, reports the Telegraph.

TOUR OPERATORS

TUI

TUI has announced a deal with the German state bank for an additional €1.2 billion in funding.

CRUISE

European Waterways

Advance bookings for 2021 for European Waterways, the river hotel barge operator, are claimed to be up 170% year-on-year including reservations from various markets, including the UK, US and continental Europe.

Travellers are “unquestionably optimistic” about the future, the cruise company said.

Costa Cruises

Costa said it will restart from 6 September after receiving approval from the Italian government on Monday 10 August.

The first ship to set sail will be Costa Deliziosa, offering weekly cruises from Trieste to Greece, followed by Costa Diadema on 19 September, operating seven-day cruises in the Western Mediterranean from Genoa.

All other Costa cruises will be cancelled until 30 September.

Seabourn

MSN reports that cruise companies around the world, including Seabourn, the ultra-luxury line owned by the Carnival Corporation, have started cancelling 2021 holidays. The company said that ‘the decision to cancel additional voyages is a proactive action to deal with the circumstances continuing to evolve from the global response to the Covid-19 situation’. Guests on most affected sailings will be refunded.

The Daily Mail reports that the UK’s main cruise lines are working with the Government and Public Health England to put in place protocols.

P&O Cruises

P&O Cruises has announced that its highly anticipated mega-ship, Iona. Which was originally scheduled to launch in April this year but was delayed due to the coronavirus pandemic. Will be delivered ‘before autumn’ with her unnamed sister ship planned for delivery in December 2022.

P&O Cruises has extended its cruise cancellations until 12 November and axed two long itineraries due to depart in January 2021 following Foreign Office guidance.

The two cancelled longer cruises are Aurora's Caribbean & South American Adventure and Arcadia's World Cruise.

P&O Cruises' President Paul Ludlow said: "It is clear that whilst the guidance is in place it is not advisable for us to resume operations."

He said the long-term planning, combined with the complexity and length of the long-haul itineraries and evolving border restrictions, were behind the decision to cancel the two longer cruises.

"The good news is that confidence in cruising is strong and we are seeing increasing and significant demand from our guests. We know that the FCO guidance is under constant review and we are hopeful that, as they are aware of the work the industry is doing, this will change before too long."

HAL

Holland America Line has cancelled cruises on all ships until mid-December.

Guests who have already paid in full will receive a future cruise credit (FCC) of 125% of the base cruise fare.

Those yet to pay their balance will receive a FCC of double the deposit paid. The minimum FCC is $100.The FCC is valid for 12 months from the date of issue and may be used to book sailings departing up to 31 December 2022.

Guests who prefer a cash refund can use the Cancellation Preferences form no later than 15 September.HAL confirmed it will protect travel agents' commissions on bookings for cancelled cruises that were paid in full and for the total amount of the FCC when rebooked.

Royal Caribbean

Royal Caribbean Group said it will 'very likely' implement Covid-19 testing as part of its safety measures.Testing will be a part of new, as yet unpublished, protocols it will launch ahead of the expiry of the current CDC No Sail order.

Separately, the Royal Caribbean Group has secured a commitment from US bank Morgan Stanley for a $700 million loan facility.

The cruise giant may draw on the facility at any time before 12 August 2021.

SKI

Crystal

Crystal, the UK’s biggest ski holiday company, has reported a big jump in bookings over the past few weeks.

The company says it has seen a 125% jump in sales of 2020-21 ski holidays since the UK Government announced a relaxation of travel restrictions.

CONSUMER SENTIMENT

AllClear

Travel Daily reports that safety has now become the dominant priority shaping people’s overseas holiday plans for the months ahead, new research from specialist travel insurance provider AllClear has found.

Following the government’s re-introduction of quarantine rules – and the risk of additional countries joining the quarantine list – AllClear surveyed a nationally representative sample of 2,000 British adults in the last week to get an up-to-date picture of the UK traveller mindset.

66% of Brits still considering a holiday abroad
The Covid-19 safety record of a country, the resort and proximity to good medical services abroad have soared to become the crucial decisions that are framing overseas travel decisions with 44% picking a country dependent on their Covid-19 safety.
Secondly, 42% said that they assessed the likelihood of a country going back into lockdown.
39% believed that social distancing on flights was more important (39%) and 29% wanted airports to be safe to pass through.
36% said that the state of the health service in the host country was also a more important consideration.
A growing number of UK consumers were no longer looking for cheap insurance, but quality cover that fully protected them from Covid-19 risks. Overall, 36% of respondents said that having the best possible insurance that would fully cover them for Covid-19 risks was now a top priority when considering a holiday abroad.
By age group, the over 55s were more likely to pick a destination based on its perceived Covid-19 safety record (56% vs. 28% of those under 34). The over 55s were also most likely to want the best insurance cover that fully covered them for a wide range of Covid-19 risks (51%).

Chris Rolland, CEO of AllClear said: “Despite the re-introduction of quarantine restrictions, many people still want to travel in the months ahead. Particularly among the over 50s, the reasons for travel can be wide-ranging. It is also interesting to note the beginnings of a sea-change in people’s attitudes towards travel insurance, with quality taking price off the table.”

BVA BDRC

Travel Weekly has published research from the latest survey from consumer research firm BVA BDRC at the end of July found:

Just 8% of 1,900-plus UK adults now intend to take an overseas holiday by the end of September, down from 14% at the start of July.

One in five (21%) intend to have a holiday abroad by the end of the year. However, three in five (59%) intend to take an overseas holiday by next year.
Asked whether the government should permit quarantine-free travel to the Balearic and Canary Islands, 47% of 2,500 respondents said ‘no’ against 28% who thought the government should make an exception for the islands.
In a separate poll of more than 3,340 respondents, 56% were ‘unsympathetic’ towards UK holidaymakers caught in Spain by the sudden quarantine requirements and those with Spanish bookings. Only 11% were ‘very sympathetic’ and 26% ‘fairly’.

Centre for Climate Change and Social Transformations, Cardiff University

Almost half of people will never take flights as often as before according to a new poll which suggests that Covid-19 lockdown will trigger lasting changes to help to tackle climate issues.

Researchers found that 47% of people intended to reduce the amount they flew for leisure.

Only 8.3% planned to fly more often and 45% intended to go back to their pre-lockdown frequency.

Professor Lorraine Whitmarsh, director of the Centre for Climate Change and Social Transformations at Cardiff University, who led the research, said the finding that people intended to fly less for leisure was “particularly striking”, as was a large increase in support for limiting flying to tackle climate change.

Previous findings by the centre issued prior to the Covid-19 pandemic last September found that two-thirds of people (67%) felt that air travel should be limited in order to address climate change.

About a third of people will work from home more often, having got used to not commuting in the past five months, according to the latest findings.

Researchers from Cardiff and Manchester universities said the results suggested that the lockdown had disrupted habits and many people were keen to maintain their more environmentally friendly practices.

Use of public transport is an exception, with more than half (52%) intending to use buses and trains less often in future. The researchers said this suggested a worrying trend towards driving more but might indicate a greater desire to walk and cycle.

The findings are based on two surveys, which questioned a total of 1,800 people in late May and early June.

Public concern over climate change had increased during the pandemic, which surprised scientists as concerns about one large issue tend to lead to a reduction in worrying about another, The Times reported.

Claire Hoolohan, research fellow at Manchester University, said: “Our findings illustrate that the restructuring of everyday life that has occurred since lockdown was implemented has allowed low-carbon practices to take hold.

“The question that faces society now, is how do we recover from Covid-19 in a way that means society is healthier, happier and more sustainable than before.”