What does Brexit mean for the UK cottage industry?

The result of Britain’s EU referendum in June sent shockwaves through the financial markets and evoked mixed emotions from just about every other industry, including the travel and leisure industries.

 

What does that mean for the small holiday letting business?

 

Uncertainty in financial markets inevitably leads to fluctuating currency exchange rates and this could make it more expensive for Brits to travel abroad. At least if you stay in the UK you know how much your £ will buy! That’s good news for cottage industries such as ours.

 

Equally, a falling pound could make the UK more attractive to European families looking to visit the UK as their money could go further here than in other European destinations. But there’s a downside.  Britain’s exit from the EU (Brexit) could mean European tourists will need a visa to enter Britain. And UK residents could need a visa to travel to Europe. Imagine the paperwork.

 

As a member state of the EU we’ve enjoyed the benefit of hopping in and out of Europe for City breaks, stag/hen dos, sporting events and romantic weekends without a thought to visas, passport control etc. However, if it transpires that we’ll need a visa to travel to European countries that could hamper our plans for those carefree trips across the Channel.

 

I suspect that Brexit will result in more families taking a ‘staycation’ and holidaying in the British Isles, at least until we have clarity on how our holiday plans will be affected. Yet few families planning their 2017 holiday right now will be giving a thought to Brexit. Instead. they’ll be focused on finding a vacation that offers the best value for their pound at a location that promises the relaxation / scenery / entertainment they crave – as they always do. Here at Woodside Cottages we’re keeping our prices at 2016 rates for holidays booked before the end of the year, and for families returning to us in 2017.

 

And if we thought Britain’s woes were bad, pity the poor Americans. The recent result of the presidential election has “trumped” anything the UK could pull out the bag. Donald Trump has made his fortunes from the travel industry, so it will be interesting to see the impact his presidential actions will have on an industry linked to his personal wealth.