Latest transaction figures published last week by the Guild of Travel Management Companies, whose members book 80 percent of all business travel in the United Kingdom, suggest the market stabilized in the last quarter of 2009. Air bookings were 1 percent higher than the same quarter in 2008, following year-over-year declines of between 15 percent and 21 percent in the previous three quarters. Full-year figures for 2009 were 15 percent lower than 2008.
Hotel bookings also stabilized to a 2 percent downturn in the final quarter of 2009, following reductions ranging from 8 percent to 13 percent in the first three quarters. Total hotel transactions for 2009 were down 9 percent from 2008.
"While figures for hotel and accommodation are starting to gain ground on previous quarterly performances, they illustrate that the U.K. economic recovery is on—but very fragile," said GTMC chief executive Anne Godfrey.
Once again, the brightest news for British travel management companies was rail, showing a 16 percent increase in bookings in the fourth quarter. This reflects both a switch from air to rail on routes where both options exist, but also a fast-growing trend to book train trips online and fulfill the tickets through TMCs.