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Late last year, the UK Government announced an ambitious target to grow Britain’s inbound tourism to 50 million visitors by 2030, up from 38 million in 2023. This goal, central to plans for driving economic growth, was warmly received across the UK hospitality sector – an industry that employs over 3 million people and contributes £74 billion annually to the economy.

Tourism Minister Sir Chris Bryant, speaking at the Tourism Alliance Conference, underscored his commitment to making the UK a leading global destination, emphasising the need for a genuine partnership between the Government and the sector to deliver such transformative growth.

The outlook seemed promising! Positioning the UK as an appealing destination for long-haul and European travellers alike, including business visitors and those relocating.

However, yesterday (16th January), in a move seemingly at odds with this ambition, the Government announced a 60% increase in the cost of entering the UK for visitors from outside the country. The Electronic Travel Authorisation (ETA) fee, initially projected at £10, is now set to rise to £16 per person. Additional increases are planned for certificates of sponsorship and naturalisation applications, collectively expected to generate just £269 million annually.

The rationale offered – reducing the taxpayer burden on the migration and borders system – feels short-sighted and counterproductive. This decision risks undermining the very target the Government has set, treating international visitors as a mere revenue stream rather than valued contributors to the UK’s economic growth.

As representatives of the serviced accommodation industry, we join the Tourism Alliance in voicing our concern. Reaching the 50 million visitor target will be impossible if tourists are viewed simply as a cash cow. We have written to ministers to this effect, and urge the Government to align its policies with its ambitions and to support the sector in overcoming challenges, not exacerbating them. This issue will remain at the forefront of our Policy Group agenda as we advocate for a balanced, forward-thinking approach.