Global travel inflation easing for first time this year
For the first time this year travel inflation has eased worldwide, including in Europe.
According to data from business travel platform TravelPerk, inflation in the fourth quarter of 2022 went down to -8 per cent from 15 and 3 per cent in the second and third quarter respectively.
Overall the price of European flights has gone down 11 per cent, with flights to and from the UK declining by 12 per cent compared to the previous quarter.
Whereas, nine of the 10 flight routes with the highest price drops are to or from London, including Munich to London, London to Budapest and Barcelona.
“Until now, any inflationary recovery had been limited to the US, but we are now seeing Europe catching up, with prices for flights and accommodation coming down across the continent,” said chief revenue officer JC Taunay Bucalo.
“With prices remaining stable in the US following a fall last quarter, this adds up to a marked and very welcome cooling off after the summer peak.”
Commenting on the data, travel expert Rob Staines said the figures “will be welcome news to consumers.”
“Finally some encouraging news which will enable more to travel with less responsibility of weighing up costs,” he told City PM
The news comes as Luke Petheridge, director of public affairs at trade body ABTA, said people will continue to travel despite a cost-of-living crunch.
People, Petheridge has argued, might change destination or frequency but they are unlikely to stop going on holidays altogether.
“[People] want to keep having a holiday and I don’t know if that will change for now,” he added.