UK-based travel buyers are expecting their budgets to be pushed up in 2024 by factors such as rising costs, changing work habits and an increased focus on sustainable travel, according to a survey by Uber for Business.
The ride-hailing firm’s poll found that travel was a growing business priority this year for 89 per cent of the 250 UK corporate travel buyers surveyed.
More than half (53 per cent) said that inflation and rising travel costs were expected to contribute to higher travel budgets in 2024, while a similar number (52 per cent) thought that hybrid working patterns and return-to-the-office mandates would also inflate budgets.
Around half (51 per cent) said that meeting their organisations’ ESG requirements for more sustainable business travel would also push up spending.
The survey found that rising climate concerns were already leading to “significant changes” to travel policies for 61 per cent of the buyers. While 39 per cent said ESG reporting was a “high priority” when selecting suppliers and partners.
Jenna Brown, head of Uber for Business UK, said: “As UK travel managers prepare for an increase in business travel, it’s important for the industry to focus on sustainability and efficiency. Businesses tell us that they want to reduce their carbon footprint without compromising on the transport options.
“The launch of our sustainability dashboard can help, providing a simple tool for companies to monitor and report CO2 emissions from employee trips helping to ensure that travel can meet reporting requirements while keeping costs low.”
Nearly all the buyers surveyed (97 per cent) plan to prioritise the adoption of new technology to “keep pace with evolving demands” in 2024. Although 79 per cent said that the range of technology available could be “overwhelming” for them.
Most buyers (77 per cent) said they could already “feel the influence” of generative AI in their work, with 92 per cent expecting AI’s impact to “escalate over the next five years”.
There were a range of views on how AI could potentially change the way travel buyers work, with 31 per cent saying that it could make their job “more interesting”, while 26 per cent believe AI “might compete with their job”.