Well, the speculators are really hitting tourists as they strive to make a quick buck betting on the oil price rising still higher.
BA have already announced increases in fuel tax surcharges for long haul flights, it’s only a matter of time before short flights are hit too.
Is this a return to the stagflation days of the 1970’s? I don’t think so, the reason then was the Israeli wars causing OPEC to cut production, the reason now is mainly speculation, betting on oil futures going up up up. This bubble can burst as it is not purely demand driven. Oil supply still exceeds demand, admittedly not by very much.
So it looks like the outlook for tourism could see a return to local holidaying. Resorts on the south coast of the UK are probably not that unhappy that tourists are looking more to their native countries for holidays this year.
This article published by 1st Choice Travel ©2008



