Abta has announced a 7% increase in membership fees, with a nuanced adjustment based on members’ turnover.
- Certain members might experience a fee change higher or lower than the standard 7% depending on their turnover.
- Abta reverts to pre-pandemic assessment methods, resulting in some paying less than last year.
- The decision correlates with Abta’s efforts to balance financial resources post-pandemic impacts.
- Previous pandemic-related fee reductions had drawn from Abta’s reserves, requiring strategic financial recovery.
The Association of British Travel Agents (Abta) has informed its members of a 7% rise in the upcoming membership fees. However, this increment is not uniformly applied. Instead, it considers the turnover of each member, leading to some experiencing fee changes that deviate from the headline figure.
For members whose business turnover has increased significantly since the pandemic, the adjusted fee could exceed the stated 7% rise. Abta’s decision to align current rates with member turnover reflects a return to the association’s pre-pandemic fee assessment methodology. This approach results in about a third of Abta’s members benefitting from a reduction in their overall subscription payment.
The rationale behind this revised approach is to ensure fairness and consistency across the board. Danny Waine, Abta’s head of membership, explained that this method is grounded in evaluating a year’s worth of trading data, providing a post-pandemic perspective to the fee computation. “For the first time since the pandemic, we have reverted to our usual process of applying the current rates broadly in proportion to a member’s size of turnover,” Waine stated. He further noted that those with the highest growth in turnover since the pandemic would see the most considerable increase in their subscription fee.
Abta’s strategic decision takes into account the challenging financial landscape and aims to fortify the association’s brand and services. By during the pandemic, fees were halved, a move that depleted some of its reserves. Addressing this, Abta has outlined a managed recovery path aimed at restoring its financial stability without imposing undue burden on its members. This includes a phased approach to expenditure reduction and recouping the £3 million used from its reserves.
The association’s determination to maintain a strong brand and provide essential services to its members remains a priority. The board has emphasised the importance of focusing on priorities such as training, sustainability, and youth mobility, ensuring that Abta continues to support its members effectively.
Abta’s turnover-based fee adjustment highlights its commitment to fairness while ensuring financial recovery post-pandemic.
