New insights from L.E.K Consulting  reveals positive growth for the UK travel industry, up 116% compared to 2020. With the cost-of-living crisis impacting so many UK households, it has been well-documented that people are trying to cut back on their spending. However, new executive insights from a global strategy consultancy has revealed that the UK travel industry, which is still recovering post-COVID, has a promising year ahead.

Key highlights from their research include:

Reopening of borders in 2022 saw international travel grow by 116% compared to 2020/21. 59% of Brits plan to travel more in 2023. 70% of British consumers will prioritise travelling above other expenditure. UK-based Travel Counsellors had a record January with sales up 50% compared to January 2020. In-bound UK visitor numbers have rebounded, on track to reach of 86% of 2019 levels.

The research also details the different kinds of holidays that have grown in demand; ocean cruising takes the top spot with a 14% increase, followed by UK staycations (+5%), and sunshine holidays (+4%). Simiarly, Google search data proves the interest in a summer getaway, as searches for holiday packages are up 16% compared to 2020.

Although the industry continues to face challenges, these are now thankfully centred on supply-and-demand. L.E.K Consulting’s study has shown that smart businesses are revising and rethinking propositions to keep pace with evolving consumer attitudes, with a big focus on recruiting skilled staff.

Geoff Parkin, L.E.K partner commented: “Looking at data from across the industry, as well as our own research findings, I’m pleased to see how positive the post-pandemic bounce-back has been. Clearly there is much work for companies to do to focus their strategies and stay ahead of changes in the sector, but with a forecast set for fair, there is plenty to look forward to in 2023.”

Another partner, Mark Boyd-Boland, added: “For any business reliant on consumer discretionary spending, inflation and a cost-of-living crisis can present serious issues. Keeping on top of the data and understanding the trends has never been as important as now. Our work in the travel sector is shining a clear light on some very positive news –— taking advantage of this is a vital next step for businesses looking to thrive in the year ahead.”