Guest Posts

The Economy and Its Effects on Travel

[The following is a guest post]

Leisure travel was initially associated with the Industrial Revolution with in the United Kingdom. The United Kingdom was the first European country to promote leisure time and also travel time. To begin with, holidaying only ever applied to the richest of people in Britain, however it soon became affordable to everyone, no matter what their economic status was.

The impact of what state the economy is in, be the economy in recession or in a boom period, directly effects travel and therefore also tourism. If a person has less money at the end of paying their bills than they perhaps did a few years ago, then they may not be able to afford to go on holiday, least of all go abroad to an exotic location. The lack of tourists travelling not only has an impact on airlines but it also has a knock on effect at the tourist destinations. For example, hotels and bars may be forced to shut down as a result from a loss of income due to less tourists visiting them.

In addition to this, with inflation having increased, the price of plane tickets has risen, along with that of hotel rooms and purchasing a passport. On the plus side, travel insurance has not increased in price!

Tourism is very important and also vital for many countries. To many countries, it is essential because it has a direct effect on social, cultural, economic as well as educational sectors. Tourists bring in massive amounts of income to countries and tourism also creates many opportunities for employment. These jobs in airlines, cruise ships, taxi drivers, hotels, resorts and entertainment venues are a very important part of a countries income and growth.

People also have less time to spend going on holidays as a result of the economic recession. A lot of people have had to take on second jobs to help pay for everyday bills, so luxuries, such as holidays, are no longer an everyday aspect of people’s lives.

The effects of the state of the economy and therefore on travel does not just effect countries abroad from us but also the United Kingdom. We here in the United Kingdom may also receive less tourists as a result in the decline of the world economy.

However, some may argue that with less money to spend British citizens may well choose to spend their vacations in the United Kingdom, thus boosting our own economy and tourist trades.

Another plus to the effect of the economic decline on travel is that, as less people are travelling abroad, holiday companies are having to offer sale and reduced prices to customers. So if you are lucky enough to be able to still take a holiday then it might be cheaper for you to do so than it was a few years ago.

The state of the economy has also had an effect on commuters, not just on the tourist trade. The price of fuel, be it petrol or diesel, has risen drastically over the last five years. It has risen approximately by thirty seven percent! Making it a lot harder for individuals to be able to afford it. In addition to this, rise in car insurance and also car tax, has added to these costs. Local councils have also had less money to spend, so roads are not being repaired as they should, and the resulting damage to cars is also adding to the costs of keeping a car. The price of public transport has also risen dramatically in the last five years. Rail fares alone have risen by over eleven percent.

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Clever Dude

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