Covid-19 briefing

The travel and tourism industry continues to be hit with uncertainty, owing mostly to a lack of clarity over travel restrictions, quarantine measures and the absence of a clear roadmap to reopening, which is leaving people reticent to book.

British Airways reported a record $8.8bn loss in 2020, and outlook is still bleak, as flights are only running at a fifth of pre-Covid levels.

Airlines are having to scale back flights and reduce capacity to enforce social distancing, including Delta Air Lines’ plan to keep middle seats blocked throughout April.

Government bail-outs seem inevitable, and the likes of Lufthansa and Air France-KLM have asked their governments for support to remain afloat. While most are focussing purely on survival at the moment, in the mid to long-term, there may be consolidation of smaller airlines. 

However, some travel operators such as TUI, easyJet Holidays and Jet2 Holidays have reported a surge in demand for summer vacations from customers in the UK. But due to uncertain quarantine plans, especially with various mutations of the virus, many of these holidays may end up being cancelled.