This year has brought about several changes, both politically and economically leading to some uncertainties for the British and European economies. Levels of international travel, for both business and leisure travel are closely linked to economic growth. This was supported by the research recently unveiled by Oxford Economics at the Guild of Travel Management Companies (GTMC) Conference in Florida, which identified that business travel is a significant and direct factor in economic growth.
The study found that if international business travel returns to pre-2008 levels in the next five years, it could increase UK trade by £6.5 billion, and Foreign Direct Investment (FDI) by £1.6 billion.
Among other findings, Dr Nishaal Gooroochurn, head of econometrics at Oxford Economics, revealed the average international business travel trip adds a £34,000 contribution to GDP. Air connectivity also has a significant impact on UK trade, said Dr Gooroochurn: a 1 per cent increase generates a 0.09 per cent rise in trade, equivalent to £600 million – a figure that delegates argued strengthens the case for airport expansion.
Dr Gooroochurn said the report, entitled The Value of International Business Travel, “outlines that business travel has not yet recovered from its pre-2008 levels, and defines the remarkable impact on the UK’s economy that such a rebound would bring.”
Findings from the report certainly demonstrate the significant value of business travel as an industry sector.
The below infographic breaks down the key information from the report, showcasing at a glance what business travel means for you, your business and the British Economy.
Best Travel Services is a specialist business travel provider, servicing air and rail travel, as well as accommodation and ancillary services.
Source: Oxford Economics and GTMC