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Transportation in the United Kingdom

United Kingdom air transportation market: British Airways the leading industry player during 2012

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2014-01-23 08:30:01 - Transportation in the United Kingdom - a new market research report on

British Airways was the leading airline in the UK in 2012 in terms of value sales and it increased its share further from 16% in 2011 to 17% in 2012. British Airways was less affected by the increases in APD as the company markets its service qualities instead of attracting customers with low prices. Therefore, it was easier for British Airways to hide the APD tax in its prices.

Transportation grew by 3% in value terms in 2012 with the main reason for the growth being an increase in ticket prices of airlines and trains. In terms of passenger numbers carried, airlines actually saw a decline of more than 1% in 2012. UK passengers reduced their travel when possible or cut



back by switching from long-haul to short-haul destinations for their holidays.

Transportation is predicted to grow by a CAGR of 2% in constant value terms throughout the forecast period to reach £43 billion by 2017. Ferry and rail are the two transportation types that are predicted to show the highest CAGRs of 2% each in constant terms over the forecast period. This growth in constant value sales will stem from continuous ticket price increases.

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Mike King
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