The UK government is being criticized for undermining its tourism sector, which has seen a £2 billion decline in international spending since pre-pandemic levels. The World Travel and Tourism Council highlighted that government policies such as the removal of VAT-free shopping, higher air passenger duties, and reduced marketing budgets have created barriers for international travelers. Julia Simpson from WTTC called the government's lack of support for such a vital sector concerning, as it contributes significantly to the UKâs GDP. She argues that these issues flag potential competitive disadvantages against European counterparts.
The UK government's decision to end VAT-free shopping for tourists, along with other policies, is harming international visitor spending and competitiveness.
Julia Simpson emphasized the significant contribution of travel and tourism to the UK economy, advocating for a stronger government focus on this sector.
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