Travel bosses fear the UK leaving the EU

British Prime Minister David Cameron has just renegotiated terms for membership of the European Union with EU leaders, which paves the way for the UK’s long-awaited referendum, being held on June 23, on whether to stay in the EU or go.

However, two of the UK’s most senior travel industry bosses warn that leaving the EU - or ‘Brexit’ - would pave the way for disadvantages such as sharp increases in the cost of flights and the safety of tourists involved in terrorist attacks being compromised.

EasyJet boss Dame Carolyn McCall believes that an exit from the EU would trigger increases to the cost of air travel and cause a return to the days when flying was only an option for the rich. Before the European Union overhauled aviation in the 1990s, passengers largely paid very high prices, on government-controlled airlines and to state-controlled airports. Those governments dictated fares, the number of carriers and flights.

The EU provided airlines with the freedom to fly across Europe, triggering a significant drop in fares and routes increasing by 180%. Indeed, today easyJet currently flies to 135 destinations, while its main rival, Ryanair, flies to 185. Passengers flying to and from the UK increased from 101m in 1995 to 199m in 2014.

McCall says that the cost of a holiday depends upon the degree of influence Britain has in Europe. She also points out that the EU helped consumers by reducing mobile phone roaming charges, which can be a costly holiday item. And EU consumer rights guarantee that passengers are provided a hotel room if their flight is cancelled, while EU legislation ensures that passengers with reduced mobility are properly cared for when flying in Europe.

Former boss of Tui travel group, Peter Long, says that if Britain leaves the EU the safety of tourists caught up in terrorist attacks could be compromised. He says that close co-operation between EU countries was essential to protect the security of holidaymakers, and that would lessen after a Brexit. He also says that the value of the pound would fall if Britain left the EU, causing higher holiday prices and less spending money.

A whole host of organisations and international politicians want Britain to stay in the EU, including German chancellor Angela Merkel and US Secretary of State, John Kerry. Numerous European businesses operating in the UK have voiced concern at the prospect of Britain leaving the European Union, including German trade body German Industry UK. And a range of European media, including France’s L’Express and Le Monde, Germany’s Frankfurter Allgemeine Zeitung and Der Spiegel, and Hungary’s Magyar Nemzet have voiced concerns at the prospect of the UK leaving the EU.

Similarly, Airbus has said that investment in the UK would be threatened in the event of the UK leaving Europe. It currently has 16,000 employees at its UK subsidiary.