Expotel targets corporate growth as government spend falls 30%

Expotel is planning to increase its corporate work to 80% of total business over the coming two years, up from 60% in 2009, as public sector demand contracts.

Expotel will reduce public sector work
Expotel will reduce public sector work

The agency has been appointed to the government’s Buying Solutions new four-year framework for travel management, but anticipates a reduction of 20-30% in hotels and meetings expenditure by government departments.

Expotel chief executive Ian Burnley said the agency has been working closely with government for the past 20 years, including work with the Department for Work and Pensions, Defra and the Department of Health.

"Of the 15 central government departments, we are pro-actively working with nine," said Burnley. "Spending is already well-controlled but there is ongoing pressure on price, and on volume. Overall I would say there is evidence of 20-30% reductions in expenditure on hotels and meetings."

He added the reduction was not an "aspiration", but was being delivered now, along with a move for government departments to manage their internal space more efficiently.

Burnley said that online booking would increase for accommodation, as well as a push towards advance purchase rail tickets.

Expotel has installed ticketing machines in the offices of larger clients, to avoid extra costs.

"We aren’t waiting for the budget, these programmes are already in place," added Burnley.

Expotel’s public sector business has reduced to 25% this year from 40% in 2009 and is expected to shrink to 20% over the coming two years, he said.   

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