Transport sec Shapps sacked while energy plan boosts business

Speculation is rife Truss will cap energy prices for households later this week, as well as providing support to businesses, which could face ruin without urgent help from the government.

Away from Westminster, hotel giant IHG has revealed that its computer systems have been targeted by hackers, while Lufthansa has averted a two-day strike after agreeing a last-minute deal with its pilots union.

Here are the headlines the travel industry woke up to on Wednesday (7 September).

Cabinet reshuffle sees Grant Shapps axed

Transport secretary Grant Shapps has been sacked as new prime minister Liz Truss named her new cabinet. Shapps, who was a prominent support of Rishi Sunak in the Conservative leadership contest, has been replaced by former trade secretary Anne-Marie Trevelyan as the new head of the Department for Transport. (The Mirror)

‘We can ride out the storm’

Liz Truss has insisted that the UK can ‘ride out the storm’ created by the cost of living crisis in her first speech as prime minister, as speculation mounts that Truss will unveil plans to cap annual energy bills at around £2,500 per year for households. (Various)

Energy plan gives boost to British businesses

Shares in UK companies, including airlines, rose sharply on Tuesday (6 September) and inflation fears were downgraded with Truss expected to announce measures to help businesses cope with sky-high energy bills later this week. (The Times)

Holiday Inn owner hit by cyber attack

IHG, which owns Holiday Inn, Crowne Plaza and InterContinental hotels, has been hit by a cyber attack after confirming there has been “unauthorised access” to some of its systems. The UK-based company said its “booking channels and other applications” had been targeted. (BBC News)

Lufthansa strike called off as airline reaches deal with union

A planned 48-hour strike by Lufthansa pilots this week has been called off at the last minute after the German airline reached an agreement with the pilots union in an ongoing pay dispute. (Reuters)

WFH is blamed for stunting airlines’ comeback

Increased working from home has been blamed for holding back airlines’ recovery from the pandemic as corporate air travel remains around 35% behind pre-Covid levels, according to the latest data from the Global Business Travel Association. (The Daily Mail)