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High costs deemed to have depressed demand and affected industry revival
The World Travel and Tourism Council has called on the United Kingdom government to bear the cost of "hugely expensive" PCR tests for fully jabbed citizens, which it says is deterring Britons from traveling.
The travel industry has long complained about the cost of PCR testing for travelers, which tends to be around 75 pounds ($97) per test, depending on the provider, although some companies are charging around 400 pounds for express results delivered within 90 minutes.
The World Travel and Tourism Council, or WTTC, which represents the global private travel and tourism sector, said tests in the UK are among the most expensive in Europe, partly due to the 20 percent value-added tax applied to them.
Last month, the International Air Transport Association called on governments to address the high cost of COVID-19 PCR tests and urged flexibility in permitting the use of cost-effective antigen tests as an alternative.
Now the WTTC wants the government to pay in full for PCR tests for people who are fully jabbed. It says this would remove a financial burden that is depressing demand for travel and effectively halting the revival of the industry.
"It's clear that many British adults simply can't afford to travel overseas at all if they have to pay the excessive cost of PCR tests," said Virginia Messina, WTTC senior vice-president and acting CEO. "More affordable antigen tests, with PCR tests for those who do test positive, will help keep travelers safe and make taking a trip overseas within the budget of most people."
The Competitions and Markets Authority, or CMA, the UK's competition regulator, has launched an investigation into the price of PCR testing after a request earlier this month from Sajid Javid, the UK's health secretary, for it to look into "excessive" pricing and "exploitative practices" among PCR COVID-19 test companies.
The CMA is now exploring whether individual PCR providers may be breaching their obligations under consumer law and should be subject to enforcement action, and whether there are structural problems in the market for PCR tests that affect price or reliability. The regulator will also consider whether there are any immediate steps the government can take to improve the situation.
George Lusty, senior director for consumer protection at the CMA, said: "It is essential that people paying for PCR tests are treated fairly, get what they pay for, and that their rights are respected when things go wrong. We will not hesitate to take enforcement action if we find evidence that PCR providers are breaching consumer law."
Which?, a consumer choice watchdog, welcomed the CMA's investigation.
"It's encouraging to see the CMA recognize the urgency of this issue," Rory Boland, Which? travel editor, said. "The government and regulator must now act swiftly to ensure private testing for travel is reliable, affordable, and accessible for all UK consumers, not just those who are better off. "
On Saturday, the government announced the cost of National Health Service test and trace tests for international arrivals will be reduced from 88 pounds to 68 pounds for arrivals from green-listed countries or for fully vaccinated arrivals from amber-listed nations. The cost of two tests for arrivals from amber countries who are not fully vaccinated will also drop, from 170 pounds to 136 pounds.