Every FTSE All-Share constituent that relies on tourist numbers has seen their share price increase in the year to date. That appears slightly less remarkable when set against the rates of decline seen since the final quarter of 2021, but it’s still a hopeful sign given the pall hanging over the wider economy.
It has been a “risk-off” scenario for the travel and tourism sector since the pandemic took hold, but the latest industry numbers look encouraging even though they mightn’t translate into investment opportunities quite yet.
Heathrow Airport recorded its busiest January since the start of the pandemic, with 5.4mn passengers travelling through its corridors last month. That still represents a 10 per cent shortfall on the immediate pre-pandemic level, but it comes as a relief after last year’s recruitment issues and widespread flight cancellations. Unfortunately, further industrial disputes could be looming.