#Tourism - Breton says that the EU will have to ‘reinvent tomorrow’s tourism’

Nuova Neon Group 2 design perspex barriers to help tourists return to the beach

Internal Market Commissioner Thierry Breton will address the European Parliament’s Transport and Tourism committee on the particular burden faced by European tourism as a result of the coronavirus pandemic.

The OECD anticipates a 45% to 70% decline in the tourism economy, depending on the length of the health crisis and on the pace of recovery in travel and tourism activities. This amounts to losses of between €275 billion and €400bn for the travel industry worldwide.

Breton acknowledges that this situation is particularly serious for this sector. The European Commission estimates that revenue losses at European level could be 50% for hotels/restaurants, 70% for tour operators and travel agencies, and 90% for cruises and airlines.

The aggregate figures hide significant geographical disparities. And Breton was keen to underline that the was not forgetting the many geographical areas, regions, islands in Europe, some of which depend almost exclusively on tourism and which find themselves in great difficulty.

Breton outlined the Commission’s actions focused on this sector. Firstly, in the very short term, help will be needed to get businesses through this difficult period; secondly, in the medium term, but quickly, the European Union will have to start reforming the European tourism sector.

On emergency measures, the Commissioner said that the EU is working on a safety net for the entire sector. Breton referred to the general provisions for the economy, but hoped that the Coronavirus Response Investment Initiative (CRII), in particular, which amounts to €37bn, will enable EU countries to mobilize unused Structural Fund budgets for various purposes, including tourism. 

On the regulatory front Breton pointed to measures to help airlines keep their slots, guidelines on passenger rights (though not enforceable) to allow airlines to offer a refund or a voucher for a later flight. The EU has also at the request of the member states looked into co-ordinating and establishing clear conditions and preventive measures to resume free movement and the gradual resumption of tourism.

Breton will also speak about ‘inventing tomorrow's tourism’ beyond the immediacy of the situation and the management of the short-term consequences of the crisis, Breton says that the EU should now look ahead to the future, to the world of tomorrow, which will inevitably be different. 

Breton says that tourism will be no exception and will have to reinvent and rethink a sustainable, digital, and resilient European tourism sector. Nevertheless Breton aims for  Europe to remain ‘the world's leading tourist destination in terms of value, quality and innovation.’ He makes three main points:

Tackling ‘over-tourism’

In line with the ‘New Green Deal’ there will be an emphasis on the preservation of tourist ecosystems and economic realities. Breton claims that this is not a question of preventing people from travelling, but of promoting local tourism. This will be accompanied by a new European policy on tourist mobility and a strong commitment at local level.

Go digital

Breton wants to find a balance between the traditional players and the major digital platforms. He said: ‘It is not a question of pitting one against the other. Each will have to adapt, some by becoming more digital, others by becoming more responsible in their role within the ecosystem.’ Breton that this can be addressed through the Digital Service Act the European Commission is currently developing. 

Finally, Breton said that Europe must protect its ‘history and priceless European cultural diversity’ from aggressive investment strategies by non-European countries, which might use the current crisis as an opportunity to acquire ‘European jewels’ at a lower price. 

Breton says that the Commission could work with the European Parliament's Tourism Task Force, as well as European ministers in charge of tourism, as well as more regional platforms. He envisages a European tourism summit once the health emergency has passed.

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