Industry leaders highlight issues stifling competitiveness

The Package Travel Directive, visa regulations and taxation are stifling the travel industry on a European level and need to be tackled by both national and European governing bodies.

The issues were highlighted by a panel of industry heavyweights at yesterday’s annual European Tour Operators Association Summit in London, as hampering Europe’s competitiveness as a holiday destination.

Among panellists was Opodo head of tours Chris Roe, who said: “The European package holiday directive is outdated and does not talk to the industry. Consumers are confused and it is well overdue for an overhaul.”

Roe warned that if regulations were not revised we would see a return to the ’90s when ILG collapsed and regulations were forced on the industry.

Other panellists spoke of inconsistent visa procedures, which are making tourists from emerging destinations such as China turn away from Europe.

The lack of government recognition of the value of tourism was also put under the spotlight.

Travelport chief operating officer Chris Vukelich said: “You see outcry when a factory closes with the loss of a 100 jobs but I don’t see the same outcry or anger when events take place that upset the tourism industry. It is the single largest employer in Europe and there is no recognition of that.”

Vukelich urged ETOA delegates to learn from the US experience of what happens when there are too many barriers to doing business with a country.

“Tourism to the US has dropped dramatically so if you don’t deal with the administrative hassle you will see a lot of Europeans out of work,” he warned. 

Delegates were also advised to prepare themselves for the green movement to gain significant momentum.

Vukelich said: “If you are not green you had better get green very quickly because it is reaching a wave and those people who are perceived to be destroying the world are going to find themselves without a business.”

His sentiments were supported by ETOA executive director Tom Jenkins, who added: “It is an enormously important issue because of the way it is likely to be handled by government and we are determined to be part of that discussion. Tourism is not to be seen as a highly polluting pariah but as an industry which brings enormous benefit to destinations and as such needs to be cherished not persecuted.”   

Report by Linda Fox