Britons put off planning a trip by rises in passenger duties could try to save money elsewhere, such as by choosing
online travel insurance.
Market research group Euromonitor International claims the recently introduced Air Passenger Duty is stopping growth in the UK's travel market.
Caroline Bremner, the firm's global travel and tourism manager, said the tax makes the UK appear uncompetitive compared to other countries, such as the Netherlands which dropped it last year after realising it was losing income.
She suggested travel companies try to make up for the deficit by appealing to customers through online channels and an "informal dialogue".
"Online travel transactions are growing very well compared to the traditional format, so we are seeing online travel retailers growing by four per cent this year," noted Ms Bremner.
She pointed to recent figures suggesting the overall tourism sector is expected to decline by one per cent over the next 12 months.
Going, going, gone. Downunder for
cheap travel insurance.
