Travel firm chief warns of leap in prices of holidays

HOLIDAYS will become more expensive if Rachel Reeves hikes taxes in next month’s Budget, the UK’s two biggest tour operators have said.

- NEIL LANCEFIELD

Tui’s UK managing director Neil Swanson said holidays will become too costly for some people if the Chancellor does this, while Jet2 chief executive Steve Heapy expressed fears about the Budget raising taxes by £50 billion a year and “screwing Middle England”.

Ms Reeves has acknowledged she is looking at potential tax rises and spending cuts in her Budget on November 26 to fill a black hole estimated at around £50 billion by some economists.

She used her first Budget in October last year to announce £40 billion a year in extra taxes.

Mr Swanson warned that travel companies would be forced to raise holiday prices if taxes on businesses were increased further.