Covid-19: Support for Aviation, Tourism and Travel Industries — [Dr Rupa Huq in the Chair]

Andy Carter highlighted the importance of aviation to regional economies, noting that more than 1.5 million people are employed in the aviation and tourism sectors. He expressed concerns about job losses and the impact on small businesses reliant on travel, such as caterers and travel agents. Carter called for extended support beyond furlough and urged the Government to carefully consider how to help these industries through winter.

Mr Bradshaw criticised the government's policy on travel restrictions, arguing that decisions are not based on public health data. He cited lower covid rates in countries such as Greece and Italy compared to the UK, suggesting more countries should be moved to the green list. He also highlighted discrepancies between positive test results among arrivals from amber list countries versus those moving around the UK. Mr Bradshaw further accused the government of prioritising politics over public health with exemptions granted for UEFA football officials while ordinary families are prevented from travelling abroad. Intervened briefly but did not provide a substantive contribution relevant to summarising. He questioned the Government's progress on expanding the green list and implementing covid passports, noting that other countries with similar health concerns are ahead in international travel despite their vaccination rates being comparable to or lower than the UK's. He asked how the Minister would explain this discrepancy.

Beth Winter highlighted the impact of job losses in the aviation industry on local communities, emphasizing the need for a strategic support package and an industrial strategy to secure skilled jobs. She cited Unite's report 'Fighting for the Future of UK Manufacturing' and called for investment in upskilling the workforce.

Lockhart participated in a protest at Stormont to highlight the need for support and clarity regarding when international travel will be allowed. She mentioned job losses, such as 180 jobs cut by Thompson Aero, and emphasized the importance of an indicative date for restarting international travel to help businesses generate cash flow and sustain jobs.

Mr Newlands expressed concern about the impact of job losses in the aviation sector despite the furlough scheme, highlighting Glasgow airport's challenges. He commended Loganair's GreenSkies programme but noted that without additional support, debt levels will hinder investment towards net zero goals. Mr Newlands criticised the UK Government for providing less financial aid to airlines compared to other nations and called for an extension of business rates relief with no caps or limitations. He also raised issues regarding managed-isolation hotels during the pandemic, advocating for a more dynamic risk management approach.

Merriman highlighted the difficulties faced by individuals due to travel restrictions, such as a cardiac physiologist unable to afford travel costs and testing, families missing significant life events like childbirth, and ground staff at Heathrow losing earnings. He cited data showing only 89 out of 23,465 passengers from amber list destinations tested positive for coronavirus between May and June, emphasizing that international travel is safe given the level of covid in the UK.

Jessica Morden highlighted the challenges faced by smaller travel businesses due to the lack of sector-specific financial support and the high percentage of revenue loss since February 2020. She mentioned that ABTA estimates around 60% of SME travel agents may not survive for more than three months based on current trading conditions, with a specific request for the Minister to address transaction charge refunds from credit card companies.

He expressed concern about the high unemployment rate in his constituency due to the pandemic, criticising the Government's list system as confusing and ineffective. He highlighted issues with border control staffing at Heathrow, quarantine conditions for families, and the need for continued support for workers post-furlough. McDonnell also called for urgent legislation against fire and rehire practices and stressed the importance of a sustainable aviation strategy aligned with climate change duties.

Kate Osborne expressed concern over job losses and fire-and-rehire practices in the aviation sector, urging transparency on the traffic light system. She proposed a bespoke financial support package to protect industry skills and suggested an extension of the furlough scheme for 18 months based on a Syndex UK report estimating up to £1.4 billion needed.

The aviation, travel and tourism industries are in dire straits due to the pandemic's impact. The Government must provide a sector-specific deal for these industries as promised by the Chancellor at the start of the pandemic, but such support is still awaited. There has been much debate about the traffic light system which affects industry confidence, leading to financial losses. Mr Kane called on the Government to follow their own recommendations regarding the immunisation dividend and transparency in decision-making processes.

Hanvey highlighted the importance of travel agencies in his constituency near Edinburgh airport. He noted that outbound travel supports over half a million jobs across the UK, with ABTA members experiencing bookings down by 90% and many SMEs not having enough cash to survive six months based on current conditions. Hanvey urged for tailored support recognising unique needs of travel agents.

The aviation, travel and tourism sectors have been hit hard by the pandemic. The Institute for Fiscal Studies indicated that the aviation sector has been the hardest hit of the entire economy with hundreds of thousands of jobs lost or under threat. Travel agencies suffered an 89% decline in output during lockdowns. Gibson called for retaining existing support schemes without tapering and creating a new recovery grant regime for travel agents, tour operators and travel management companies.

Sir David Amess highlighted the seasonal nature of tourism in Southend, noting that many businesses are suffering despite recent warm weather. He stressed the need for a robust recovery strategy and called on the Government to extend VAT relief and business rate relief. He also pointed out the cancellation or postponement of major local events such as festivals and regattas, which have harmed the local economy. Furthermore, he expressed gratitude towards Qatar Airways for its support during the pandemic while acknowledging that the airline is suffering due to travel restrictions from red-listed countries.

Tan Dhesi criticised the lack of financial support from the Government despite significant job losses in the aviation sector, particularly around Heathrow airport. He called for a bail-out package with clear conditions to protect workers' rights and ensure climate-friendly practices. Dhesi also questioned why robust testing options were not implemented to minimise quarantine periods.