Easyjet shares climbed nearly 10% on Tuesday after the low-cost carrier reported increased sales of summer tickets, hours after British Prime Minister Boris Johnson presented the route proposed by the England to come out of its third COVID-19 lockdown.
Flight bookings from the UK jumped 337% and holiday bookings jumped 630%, with leisure trips to Malaga, Alicante, Palma, Faro and Crete among the top destinations, with August being the top destination. most popular time to travel, easyJet EZJ,
said in a statement.
Johnson said the government task force on global travel would release a report on April 12 recommending how international travel can safely restart, which he said “will give people time to plan for the summer”. The lockdown ban on most international travel will remain until at least May 17.
EasyJet shares, which have risen more than 17% so far this year, rose 9.12% early in the morning in London on Tuesday. Owner of British Airways, International Airlines Group IAG,
increased by 8%, while tour operator TUI TUI
was up 6%.
Johan Lundgren, Managing Director of easyJet ESYJY,
said Johnson’s announcement had “provided a much needed boost of confidence” for the airline’s UK customers.
“We have consistently seen that there is pent-up demand for travel and this surge in bookings shows that this signal from the government that it is considering reopening travel is what UK consumers have been waiting for,” he said.
Read: Welcome home: UK arrivals from high-risk countries start checking in at quarantine hotels
Europe’s largest tour operator said destinations in Greece, Spain and Turkey were the most booked overnight, with people choosing to travel from July.
Travel agency Thomas Cook told the BBC that traffic to its website increased by more than 100% on Monday, with bookings “pouring in” for countries like the Dominican Republic, Greece, Cyprus and Mexico.
Neil Wilson, chief market analyst at Markets.com, said travel stocks were optimistic about “the promise of a summer season saved”. But he warned that “international travel will remain problematic and subject to restrictions, isolation and testing” even as bookings have skyrocketed.
Earlier in February, Transport Secretary Grant Shapps told the BBC it was too early to book vacations, whether nationally or internationally, and that they would remain banned until ” everyone ”has received a COVID-19 vaccine.
The number of people in the UK who have received their first dose of a COVID-19 vaccine has now exceeded 17.7 million, according to government data.
Read: Even a single dose of Pfizer vaccine reduces risk of coronavirus infection, according to Public Health England
Johnson also presented the latest vaccine efficacy data on Monday, as Public Health England found that a dose of the vaccine from pharmaceutical company Pfizer PFE,
and its partner BioNTech BNTX,
reduces hospitalizations and deaths by at least 75%. Analysis of the effectiveness of AstraZeneca AZN,
The vaccine, which was developed in partnership with the University of Oxford, is continuing, with promising first results, Johnson said.
The government targets all people aged 50 and over and people
underlying health problems, from receiving a first dose
of the vaccine before April 15 and a second dose in mid-July.
Read: Quarantine of COVID-19 hotels in high-risk countries to begin in UK from February 15
Hotel stocks were also boosted by Johnson’s track record, with InterContinental Hotels IHG, owner of Holiday Inn and Crowne Plaza,
adding about 2.15% Tuesday. Whitbread WTB,
owner of Premier Inn, rose 1.97%.
said on Tuesday that 2020 was the most difficult year in its history, as it reported a group operating loss of $ 153 million for the year ended Dec.31, compared to a profit of $ 630 million. dollars the previous year.
“2021 has started with many of these challenges still in place, with more significant progress towards sector recovery unlikely before year-end and dependent on global vaccine roll-out, the lifting of restrictions and a acceleration of economic activity, ”said the CEO of IHG. Keith Barr, in a statement.