No-deal Brexit will adversely affect tourism sector

While the heated discussion are going on in favour of and against Brexit, the Independent predicts loss of around 700,000 tourism jobs across Europe, once Brexit become reality. As per estimations by The World Travel & Tourism Council, the UK would lose 308,000, while 399,000 positions in other parts of Europe would be in danger.

Gloria Guevara, the president and chief executive of the WTTC, whose members include chief executives from around the world, said: “The UK is the fifth largest travel and tourism economy in the world. Given its importance to the UK economy it is now clear that a no-deal Brexit would have a dramatic impact on one the UK’s most important economic sectors”

“Our members are already seeing an impact on their businesses and workforce,” added Gloria Guevara.

It is reported that the organization based its calculation on a projection of the International Monetary Fund that economy of the UK will shrink by 7.7 per cent by 2030, in the case of a no-deal Brexit, which seems the increasingly likely outcome.

A January report out of the UK Parliament highlighted some of the problems. Many people working in tourism and hospitality in the UK are European nationals, who would no longer have an automatic right to live and work there. The sector currently employs 3 million people and it adds more than USD 170 billion to the economy. Tourists also mean those who travel by air and a lack of a deal could create disruption, driving people to opt for other countries.

Independent further states that Brexit will also have impact on people in Britain traveling to Europe on vacation. With the negative impact on the British economy, the overall financial strength of the people will deteriorate. The value of Pound might also be affected. British citizens would find a more disadvantageous exchange rate, increasing the financial pressure.