Navigating change: What we learned from ABTA finance conference day 2

By Caroline Rennie, Chief Product Officer at Felloh

The second day of the ABTA finance conference brought together diverse voices from across the travel industry to discuss pressing regulatory changes, fintech innovations, and the evolving landscape of travel finance.

From ABTA's 75-year milestone to spicy debates on ATOL reform, AI in hiring practices, and revealing insights on FX hedging that might save you thousands – there was plenty to take in. With shifting regulations and advancing tech, staying informed and prepared has never been more crucial for travel businesses.

ABTA at 75: Still setting the standard

The conference opened with reflections on ABTA's impressive 75-year history. It was fantastic to see how ABTA stuck to high standards while adapting to industry changes. As Martin Alcock noted (with a touch of humour about "PTSD" from the COVID era), they guided the industry through some truly turbulent times while maintaining its position as a trusted partner.

This longevity speaks volumes about ABTA's ability to adapt while staying true to its core mission – something all of us in travel tech can appreciate and aim to achieve.

Regulatory changes: Preparing for what's next

Simon Bunce, ABTA's Director of Legal Affairs, shared valuable insights into ongoing consultations on Package Travel Regulations (PTRs) and ATOL reform. While much remains speculative, one particularly interesting development was the government's special project to review unfair trading practices, triggered by the recent Ticketmaster Oasis ticket pricing controversy. This could really change how pricing transparency works across travel.

The panel discussion on regulations featured a particularly spirited debate around proposed changes to ATOL Standard 5, which would affect ATOL holders with bookings exceeding £20M. Farina Azam from Fox Williams raised critical concerns about:

• The practicality of new data requirements for ATOL holders
• Data protection issues related to sharing sensitive information
• Questions about the ultimate purpose and value of the proposed data sharing

Michael Budge from the CAA defended the proposals, making the point that businesses should already have this data on hand. He shared some good examples of how sensitive personal data might be essential during repatriation cases – making sure travellers with medical needs receive priority attention.

Rachel turned to Felloh's founder, Will Bicknell,for his take on the data issue. Will highlighted that regulations and protection only kick in after a customer has made a payment. There’s a critical blind spot for many travel businesses – they simply don't have real-time visibility of where customer money actually sits in the payment ecosystem.

The fact is, for all card payments in travel, they go through a complex journey before being received by the merchant’s bank account: temporarily held by acquirers, offset against chargebacks and refunds, rolling reserves – often with limited tracking. Will explained how Felloh's tech gives businesses the clear payment tracking they need to understand their true exposure and meet regulatory requirements without adding more paperwork.

The ATOL consultation is ongoing, so if you have opinions or proposals, now is the time to share them – Michael Budge and the CAA team are actively working to find solutions that will protect the end consumer without creating mountains of admin work for businesses. Make sure your voice is heard.

Fintech innovations reshaping travel payments

The fintech panel shared some valuable insights into how payment technologies are evolving to better serve the travel industry. 

At Felloh, we've seen firsthand how the right payment tools can transform travel businesses – especially for cutting down chargebacks and making payment processes smoother. The panel discussion reinforced our belief: travel needs payment solutions built specifically for its unique challenges.

Diversity & inclusion: Beyond the politics

Luke Davis from Matchr Identity gave a refreshingly practical talk on diversity and inclusion in hiring. No political baggage – just solid advice on finding the best people through inclusive practices.

Key takeaways included:

• The need to reframe D&I conversations away from politically charged territory
• Clarifying what "best candidate for the job" truly means – and how it supports rather than contradicts diversity goals
• Thoughtful consideration of how AI is being used in application processes

Most importantly, Luke highlighted that it's actually illegal for AI to be used in candidate selection or rejection without human oversight – an important compliance point for HR departments across the travel industry.

Foreign exchange (FX): Hedge for stability, not for speculation

The presentation by Kantox and Oliver's Travels on their automated hedging strategy offered valuable real-world insights rather than just theoretical benefits. Charlie Court, Finance Director at Oliver's Travels, emphasised that travel businesses should approach FX hedging with risk reduction as the primary goal, not to maximize profit.

His example of the temptation to go for Asymmetrical hedging (which to a layman like me, sounded like the right thing to do - have low risk tolerance on the downside and unlimited tolerance on the upside) leading to far more losses than gains - Charlie’s point was that if you want to be an FX trader, go do that, if you want to run a successful travel business, the CEO and FD should be focusing on travel!

Connecting with the travel community

One of the most valuable aspects of ABTA events is the opportunity to engage with perspectives from across the industry – from SME tour operators and global OTAs to business partners and industry bodies. The lunchtime networking session was buzzing with continued debates from the morning, especially around regulatory reform.

Conversations with Gary Warnock from Mahlatini Luxury Travel, Nelson Neves from Expedia Group, Christina Brazier from AITO, and Leah Marrow from White Hart Associates highlighted how ABTA effectively represents its diverse membership when influencing regulations.

Looking ahead

As travel finance continues to evolve, staying connected to industry discussions and regulatory developments is essential. At Felloh, we're committed to not just watching from the sidelines – we're actively building solutions to the real challenges travel businesses face every day.

The ABTA finance conference reinforced our belief that the best way to navigate complexity is through collaboration, straight talk, and tech built for purpose.

We're proud to be an engaged member of this vibrant travel community and committed to helping travel businesses thrive through change.

What are your thoughts on the current regulatory landscape in travel? Want to stay ahead of the curve? Let’s chat about how tech built exclusively for travel pros, can help you stay compliant, cut costs, and keep cash flowing – drop me a line here or connect with me on LinkedIn.