Companies in the United Kingdom could unlock over £319 billion in additional sales by increasing their strategic investment in business travel, according to the Global Business Travel Association (GBTA).

Despite a steady recovery since the pandemic, current travel and expense spending still falls short of the level needed to maximise revenue and profitability – even when considering COVID-era investments in virtual meeting platforms.

New research - T&E and the Bottom-Line: Quantifying the Return on Investment of UK Business Travel - finds that a 9.7 per cent increase in travel and expense spending could yield an 8.1 per cent rise in sales for UK-based companies.

Despite a strong post-pandemic recovery, the report finds that UK business travel spending remains £1.2 billion below its 2019 peak.

The analysis shows that aligning travel investment with optimal levels would yield a 13.8x return, translating to £13.80 in net operating margin for every £1 invested in business travel.

“This study challenges the notion of business travel as a discretionary expense.

“Especially in times of uncertainty or economic pressures, UK organisations should ensure that they are optimising their business travel as a strategic catalyst for growth.

“Business travel and in-person meetings boost corporate performance, deepen relationships, and spark innovation ─ and we see here that even modest increases in investment can yield substantial returns,” said Suzanne Neufang, chief executive of GBTA.

For 2024, the economic data shows that UK business travel spending reached £40.3 billion, still £1.2 billion below its 2019 peak, despite the past years’ increasing use of virtual meetings.

Through the analysis of 24 years of current and historical data (2000-2024) across 14 major UK industries, the GBTA UK ROI study also highlights:

• The Investment Gap: UK firms currently spend £32.5 billion on business travel. The profit-maximising level is £35.6 billion, about £3 billion higher.
• High Returns: A 9.7 per cent increase in spending could yield an 8.1 per cent increase in sales, delivering £54 billion in additional net operating margin.
• Per-Employee Impact: Just £94 more per employee in travel could help firms reach optimal investment levels.
• Efficiency Gains: While UK travel spending has continued to rise 5.4 per cent annually since 2000, companies have been gaining efficiencies in generating more revenue per travel pound spent. However, for the same period, business travel’s share of total sales in the UK declined from 1.1 per cent to 0.8 per cent. So, although UK companies may have gained efficiencies, continued travel investment is needed to drive additional growth.
• Resilience and Strategic Value: The study also highlights that firms maintaining or increasing travel during downturns, such as the COVID-19 pandemic, tend to recover faster and outperform competitors. Business travel supports a wide range of high-value functions, from sales and client engagement to innovation and team development.

More Information

Read the full study here.