Despite confidence levels for inbound tourism returning to pre-pandemic levels, supply-side capacity issues and difficulty with staffing across the sector will continue to hamper the industry’s recovery in 2023, according to UKInbound.
The message comes after the association undertook its latest business barometer member survey in December 2022.
Conducted by Qa Research, the survey shows expected or confirmed bookings for Q1 of 2023 are at the same level or higher than they were before the pandemic for more than half of businesses.
It also reports nearly two-thirds of businesses expect revenue for Q1 of 2023 and booking levels for Q2 of 2023 to be the same or higher than before the pandemic.
However, when businesses were asked what they expect to be their biggest barriers to growth over the next 12 months, 61% of tour operators blamed ongoing issues with supply chain capacity and 76% of attractions highlighted inflation and the cost of energy.
Ongoing recruitment and retention of staff remains a concern for nearly half of all respondents to the survey.
Joss Croft, chief executive of UKinbound, said: "This data currently shows a mixed picture for the UK’s inbound tourism industry.
“It is great to see that many businesses are generally feeling optimistic about this year, and confidence levels are returning to levels seen before the pandemic."
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