The Government is under mounting pressure over claims it is “sabotaging” Britain’s vital tourism sector by imposing policies that have discouraged international visitors from spending on UK soil. A recent report by the World Travel and Tourism Council (WTTC) revealed that overseas travellers spent £40.3 billion in the UK in 2024—down 5.3% compared to 2019 levels.
This equates to more than £2.2 billion in lost revenue when benchmarked against pre-pandemic figures, sparking sharp criticism from industry leaders. Julia Simpson, president of the WTTC and a former adviser to Sir Tony Blair, said the shortfall reflects the consequences of what she labelled “deliberate policy choices” that have created “barriers to travel”.
These obstacles, she explained, include the introduction of electronic travel authorisations, the removal of tax-free shopping for tourists, and a rise in air passenger duty. Speaking to the PA news agency, Ms Simpson said, “We’ve not got back to where we need to be, whereas the rest of the world has. The UK is losing value share compared to our European partners.”
She warned that although the Government frequently pledges to drive economic growth, its actions appear at odds with that goal—particularly in sectors that, like travel and tourism, offer substantial returns. “They’re saving steel plants, they’re concerned about water companies, but here we have a private sector enterprise contributing 10% of GDP, creating jobs, and we are not prioritising it. We are sabotaging ourselves,” she said.
The WTTC report, compiled alongside economic consultancy Oxford Economics, shows travel and tourism contributed £286 billion to the UK economy in 2024—3.9% higher than in 2019. The sector supported 4.2 million jobs last year, underscoring its importance to the nation’s economic health.
Ms Simpson also took aim at the dramatic reduction in funding for VisitBritain, the country’s national tourism agency, whose budget she claims has been slashed by over 40%. “The Government is very keen to promote the regions,” she said. “But to do that, you need a marketing wing. You need to sell the UK. You need to sell Harry Potter, Jane Austen, Richard III. It’s really important to create compelling narratives about the UK to draw visitors to all parts of the country.”
Simpson insisted that revitalising the UK’s tourism prospects must be led directly by the Prime Minister, not the Treasury, which she accused of consistently undermining the sector through excessive taxation. “Sir Keir Starmer should take a leaf out of Emmanuel Macron’s book, or Pedro Sanchez’s in Spain, and unite the sector with meaningful leadership,” she said.
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In response, a Government spokesperson defended its approach, highlighting that the UK remains one of the most visited countries globally. “International tourism drives billions into our economy,” they said. “We are supporting the continued growth of this industry and will be launching a national visitor economy strategy this autumn, aiming to welcome 50 million international visitors annually by 2030.”
The spokesperson also pointed to the continued success of the GREAT Britain & Northern Ireland campaign, describing it as an “effective tool in driving economic growth”, and said the Government would continue to collaborate with industry partners to maximise the campaign’s potential.
However, political tensions are also emerging, with Shadow Culture Secretary Stuart Andrew claiming the Government is “punishing Britain’s tourism industry” through a mixture of policy missteps. He cited increased air duties, reduced business rates relief, and new taxes as compounding the sector’s woes. “Now, to top it off,” he added, “the Government is standing by while Welsh Labour rolls out a damaging tourism tax—threatening jobs, risking attraction closures, and damaging local economies.”
Andrew concluded by saying: “Britain’s heritage, hospitality and cultural appeal are unmatched. Labour must get serious and deliver a real plan that promotes Britain to the world.”
