UK travel managers are increasingly prioritising travel for 2024.
- Return-to-office policies, inflation, and ESG are driving higher travel budgets.
- Over 250 UK corporate travel managers highlight future trends and challenges.
- ESG reporting is influencing travel policies and vendor selections.
- Technology adoption is crucial for adapting to evolving travel demands.
UK travel managers are increasingly prioritising travel for 2024 as it becomes a critical business imperative, with a significant 89% recognising the growing importance of travel in their strategies. This trend is largely attributed to factors such as return-to-office policies, inflationary pressures, and environmental, social, and governance (ESG) requirements, all impacting travel budgets and priorities.
Insights from a broad survey of over 250 UK corporate travel managers have shed light on the future trends and challenges expected to shape the business travel landscape in 2024. The industry is set to experience a surge in demand as companies align travel policies with new dynamics.
The emphasis on Environmental, Social, and Governance (ESG) reporting is markedly influencing corporate travel strategies. Organisations are increasingly aligning their travel practices with sustainability objectives, and government mandates, with 61% of travel managers acknowledging how rising climate concerns are reshaping travel policies. Additionally, 39% of managers prioritise ESG reporting when choosing partners, and a notable 78% are satisfied with their current providers’ capabilities in this domain.
Jenna Brown, Head of Uber for Business UK, underscores the importance of balancing sustainability with efficiency. She articulates that businesses are eager to reduce their carbon footprint without sacrificing transport efficiency. Brown adds, “The launch of our sustainability dashboard can help, providing a simple tool for companies to monitor and report CO2 emissions from employee trips, ensuring reporting compliance while managing costs.”
As UK travel managers navigate 2024, they are poised to tackle various challenges. A third of these managers cite navigating evolving travel restrictions as a primary concern. Concurrently, 31% emphasise the necessity for maintaining exceptional safety standards, while 29% underline the importance of adapting to traveller preferences, such as integrating personal and business travel.
Financial considerations are equally pivotal in shaping travel strategies. Inflation and rising travel costs are expected to increase travel budgets significantly as reported by 53% of respondents. Furthermore, 52% of travel managers foresee that hybrid working models and return-to-office policies will elevate budgets, while 51% predict that enhanced ESG requirements for sustainable travel will also contribute to increased financial pressures.
In response to these evolving demands, travel managers are focusing on setting clear priorities for the coming year, emphasising flexibility in travel options and actively collecting employee feedback to make informed decisions based on real-time insights.
The role of technology and artificial intelligence (AI) is gaining prominence in managing these complexities. An overwhelming 97% of UK travel managers plan to prioritise new technology adoption to keep pace with changing demands. However, 79% of managers find the plethora of available tools overwhelming, highlighting the complexity of the tech landscape. Nevertheless, 44% proactively integrate the latest innovations swiftly and efficiently.
Generative AI is increasingly influential, with 77% of respondents acknowledging its significant impact on their operations. Expectations are high, with 92% anticipating further influence in the upcoming five years. However, the impact of AI is seen as a double-edged sword, with 31% considering it as making jobs more interesting, while 26% express concern about AI potentially competing with human roles.
In summary, 2024 presents both opportunities and challenges for UK travel managers as they navigate a rapidly evolving landscape prioritising sustainability, technological advancement, and strategic flexibility.
