Aviation, Travel and Tourism Industries Debate
Full Debate: Read Full DebateLord Brady of Altrincham
Main Page: Lord Brady of Altrincham (Conservative - Life peer)Department Debates - View all Lord Brady of Altrincham's debates with the Department for Transport
(3 years, 2 months ago)
Commons ChamberI would be delighted to discuss this matter further with the hon. Gentleman. Later in my speech I will come to some of the factors that have been available to some of the wonderful travel and tourism businesses that we have all over the United Kingdom. That may give him the answer that he wants. If it does not, I am happy to discuss it further with him and I know that the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Mid Worcestershire (Nigel Huddleston)—the tourism Minister—would be happy to do so as well.
As I was saying, everybody can be reassured that the Government recognise the critical national importance of international travel. It connects families that have been kept apart, boosts businesses, brings in investment and underpins the UK economy. It is essential to the way that we see ourselves as a country: open, international and cosmopolitan. That is why it is essential that any steps that we take now lay the groundwork for a sustainable, safe and robust return to international travel.
In February 2021, the Prime Minister asked the Secretary of State for Transport to convene a successor to the Global Travel Taskforce, building on the recommendations set out in November 2020. The taskforce published that report in April 2021. I would like to offer my sincere thanks to the travel and tourism industry for its enormous contribution and close co-operation with Government in the development of the report and for its continued support in the ongoing efforts to successfully implement the report’s recommendations. The report set out a framework for a safe, sustainable, robust return to international travel, seeking input from across the transport industry.
The Secretary of State confirmed on 7 May that non-essential international travel would resume on 17 May, lifting the “stay in the UK” regulation and allowing international travel to recommence under the new traffic light system. The system cautiously balances the reopening of international travel with managing the risk posed by imported variants. It categorises countries based on risk, allowing us to protect public health, and particularly the roll-out of our world-beating vaccination programme, from variants of covid-19.
The Joint Biosecurity Centre produces risk assessments of countries and territories. Decisions on which list a country is assigned to and any associated border measures are then taken by Ministers, who take into account that JBC risk assessment alongside wider public health factors. The Government have had to make difficult decisions in the early stages of the return to international travel; however, they are necessary to ensure that we do not risk throwing away our hard-won achievements, which have been possible only through the hard work of the British people, and people coming forward for their vaccinations when called. However difficult these times are, and I am under no illusion that they are challenging, we must not risk having to go backwards.
To address the immediate impact of travel restrictions we have introduced an unprecedented package of financial support across the economy, totalling approximately £350 billion. By September 2021, the air transport sector alone will have benefited from around £7 billion of Government support, including accessing more than £2 billion through the Bank of England’s covid corporate financing facility and around £1 billion to £1.5 billion of support through the furlough scheme. That is the same job retention scheme that some Labour Front Benchers have criticised and called “money wasting”. I could not disagree more, and I am sure that the people whose jobs it has saved would disagree as well.
The extension of the furlough scheme to the end of September this year allows us to continue supporting businesses and protecting as many jobs as possible. As part of our economy-wide support we have provided over £25 billion to the tourism, leisure and hospitality sectors in the form of grants, loans and tax breaks. We have extended business rates relief and introduced new restart grants of up to £18,000 for many in the sector. We have also extended the cut in VAT for tourism and hospitality activities to 5% until the end of September.
The levelling-up fund, the city and growth deals in Scotland and Wales, and the towns fund all show that the Government are investing in tourism infrastructure across our Union. This week, we announced town deals for a further 33 towns as part of the towns fund programme. Those places, which range from seaside towns such as Hastings and Hartlepool to the historic market towns of Bedford and Bishop Auckland, will share over £790 million to boost their local economies, create jobs and help them to build back better from the pandemic.
To date, we have announced town deals for 86 places across England worth over £2 billion in total. A new £56 million welcome back fund is helping councils to boost tourism, improve green spaces and provide more outdoor seating areas. Part of that funding will be specifically allocated to support coastal areas, with funding going to all coastal resorts across England to welcome back holidaymakers safely in the coming months.
On health certification and testing, the border requirements that international visitors will need to follow depend upon the risk rating of the locations that they have been in prior to arrival, as I referred to. As variants of concern still pose a significant risk, testing from a UK Government approved provider remains in place. We recognise that the cost of those tests is still too high. Although we have seen the price of post-arrival tests decrease from around £210 to around £170, we continue to explore options for lowering the cost of testing further, including cheaper tests being used when holidaymakers return home.
Passengers can now use the NHS app to demonstrate their covid-19 vaccination status or alternatively can request a letter that outlines proof of vaccination five days after they have received their second dose of a covid-19 vaccine. The ability to prove one’s vaccination status for outbound travel using the NHS app and an inclusive letter service means that several countries now accept vaccinated visitors from the UK with reduced or removed testing and health measures.
My hon. Friend says that several countries accept evidence of UK vaccinations in order to facilitate travel. Why does the United Kingdom not recognise the validity of those vaccinations for international travel?
I am grateful to my right hon. Friend for raising that matter. We are considering what role vaccination may be able to play in facilitating international travel. I will refer to that again in due course.
The measures set out in the traffic-light system are not set in stone. That is also an answer to my right hon. Friend’s question. We are working towards a future travel system that can coexist with an endemic covid-19, and indeed recognising, as he has pointed out, the strong strategic rationale of the success of the vaccine programme. We are working to consider the role of vaccinations in shaping a different set of health and testing measures for inbound travel into our country. We will set out our position on that in due course.
I suspect that this is one of those occasions when the Minister would be surprised if any Member on either side of the House were to speak in support of the system that the Government have put in place and I am certainly not going to surprise him myself. I speak of course on behalf of the many thousands of my constituents who depend on aviation, particularly associated with Manchester airport, for their livelihoods, but I speak also for the many thousands more who need that vital connectivity for their businesses or other crucial aspects of their lives.
It is important to reflect on the huge importance of the aviation sector in this country; it has always been a huge British success story, making a £200 billion annual contribution to the economy and generating £4 billion a year in tax revenue. My right hon. Friend the Member for Epsom and Ewell (Chris Grayling) referred to the debate about overseas aid; coincidentally, the same amount of money involved in that debate is how much we are simply giving up in tax revenue from the aviation sector by requiring it not to fly. Over 1 million jobs are supported by the sector.
Secondly, of course this is not just about holidays, as has been said by other Members: important though holidays are to many people, it is also about millions of British citizens and residents who are being denied the possibility of seeing their family and friends who live overseas, and it is about business more generally. There can be no global Britain without the aviation sector.
A constituent wrote to me yesterday describing the business-crushing approach the Government are taking to travel. He said:
“We literally have multi million pound potential being postponed because of the decisions of this Government.”
That is just one of many small and medium-sized enterprises losing out, unable to make the progress it wants to make.
Finally, I would just make the point that the Minister’s opening remarks seemed so encouraging, with the determination to get travel back and get aviation flying again, but it does not seem that way to the aviation sector. The aviation sector does not see the Government laying out a road map to a safe return to international travel; what it sees is the Government putting in place opaque and unpredictable obstacles that prevent that safe return to travel. We need clarity, we need certainty, we need a predictable approach, and quickly we need to see that approach set out in a way that allows the industry to plan for a return to safe travel over the summer.