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Australian tourism industry haemorrhaged almost $7 billion over the summer holidays

Australian tourism industry haemorrhaged almost $7 billion over the summer holidays
January 21, 2021

The Australian tourism industry has lost almost $7 billion over the peak summer holiday period as a result of the COVID-19 pandemic and ongoing state border closures according to new research commissioned by the Tourism and Transport Forum (TTF).

The research undertaken by tourism economists Stafford Strategy revealed the Sydney Northern Beaches outbreak and the border restrictions imposed on Sydney and NSW residents had completely decimated the peak holiday period with spending predicted to be down by $6.8 billion from 24th December to 31st January.

The research also forecasts that the lack of international visitors and continuing uncertainty over domestic borders during 2021 will lead to potential job losses of almost 320,000 by September 2021, if the JobKeeper subsidy is not extended.

NSW is expected to take the biggest hit with 118,000 job losses while Victoria and Queensland will also suffer from the loss of 85,300 and 59,700 jobs respectively.

Explaining that the extension of JobKeeper as well as a uniform set of state border restrictions was critical to ensure that the industry can survive 2021 after a disastrous year in 2020, TTF Chief Executive, Margy Osmond advised this morning “suggestions that increased domestic travel can replace the lack of international visitation is a complete myth with the average international tourist spending three times the average domestic tourist and in the case of Chinese tourists - our biggest market pre-COVID - spending over five and a half times.

“The absence of this high yield market, the continuing uncertainty around domestic borders and the lack of confidence that the constant border changes create makes it impossible for domestic tourism to compensate for the lack of international travellers.

“While health remains the number one priority in the management of COVID-19 and TTF has continued to support the Government in its management of the pandemic, the prospect of no international travel in 2021 makes the domestic tourism market all the more critical.

“A strong tourism sector is critical to the recovery of the national economy and the Government needs to support our industry over the next 12 months so that we can play our part in the rebuilding of Australia’s bottom line.

“On behalf of tourism operators across the country, TTF urges the Federal and State Governments to work together with industry and implement a simple set of uniform rules that allow Australians to undertake domestic travel.

“We will also need further support in the form of something that looks, walks and talks like JobKeeper, even if it does not go by this name, if we are to have any chance of surviving then recovering.”

Images: The Narrabeen Ocean Pool on Sydney's Northern Beaches (top) and TTF Chief Executive, Margy Osmond (below).

Related Articles

20th January 2021 - WTTC predicts over 100 million global tourism jobs could be recovered during 2021

19th January 2021 - Facing ongoing international borders closures tourism industry calls for continued Federal Government support

19th January 2021 - Chief Medical Officer suggests international travel ban will remain for much of 2021

19th January 2021 - Tourism Australia Managing Director predicts top global travel trends for 2021

15th January 2021 - NSW restrictions sees 2021 Australian Open Water Swimming Championships move to Queensland

14th January 2021 - TCWA says one in five Western Australian tourism businesses at risk if JobKeeper ends

13th January 2021 - South Australian tourism sector seeks extension of JobKeeper beyond March 2021

6th January 2021 - NSW Government makes mask wearing mandatory for SCG Test

4th January 2021 - Policy body warns that thousands of tourism businesses face closure without $1 billion lifeline

3rd January 2021 - NSW Government introduces new restrictions as Coronavirus cases rise

29th December 2020 - Preparing for a tourism revival in 2021

24th December 2020 - UNWTO points to tourism ‘looking forward with determination’

23rd December 2020 - ABS figures show part-time tourism jobs exceeding full-time positions for first time

18th December 2020 - Cabinet reshuffle sees Dan Tehan named new Federal Tourism Minister

10th December 2020 - Insurance crisis set to force closures of Australian attractions and adventure tourism businesses

8th December 2020 - Tourism boost expected to follow reopening of Western Australian border to NSW and Victoria

6th December 2020 - TTF study shows Australians plan holidays close to home

4th December 2020 - Mary Valley Rattler attraction able to maintain operation with JobKeeper support

2nd December 2020 - 2020 Queensland Government Budget provides record funding for arts, sport and tourism

27th November 2020 - Village Roadshow leads Queensland tourism operators in advertising summer positions

27th November 2020 - Imminent reopening of MONA will help boost Tasmania’s tourism industry

10th November 2020 - ATEC highlights that tourism exporters need JobKeeper support until international borders reopen

4th November 2020 - Tourism Industry celebrates opening of NSW and Victoria border

26th October 2020 - Victoria’s decimated Tourism Economy needs State Government funding of $1.3 billion

18th July 2020 - Thousands back ATIC petition for retention of JobKeeper allowance

29th June 2020 - BridgeClimb Sydney welcomes back guests after Coronavirus closure

19th June 2020 - Tourism and Transport Forum calls for extension of JobKeeper for another six months

17th April 2020 - Bruce Baird returns as TTF Chair


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