UK tourism spending by international visitors remained £2.2 billion below pre-pandemic levels in 2024, according to new data from the World Travel and Tourism Council and Oxford Economics. The total spend reached £40.3 billion—5.3% less than in 2019—despite the sector contributing £286 billion to the wider economy and supporting over 4 million jobs.
Industry analysis links the lag to recent government policy choices, including the introduction of digital travel permits, the removal of VAT-free shopping for tourists, and higher air passenger duty. These measures are seen as reducing the UK’s competitiveness compared to other European destinations, where recovery to pre-COVID levels has largely been achieved.
There is also concern over reduced investment in tourism promotion, particularly a cut of over 40% to VisitBritain’s budget. With tourism representing around 10% of GDP, stakeholders argue that the sector is being deprioritised despite its potential to drive regional economic growth and private-sector employment.
The government has announced a new visitor economy strategy for later this year, targeting 50 million international visitors annually by 2030. The sector awaits further details on how fiscal and regulatory changes will align with that ambition.
