The government has launched a consultation to cut the red tape around staycations, aiming to make domestic holidays more affordable by helping tourism businesses collaborate on package deals.

The government has announced plans to cut red tape in a bid to make staycations cheaper and more convenient for families. 

As part of its Plan for Change, a new consultation launched by the Department for Business and Trade aims to modernise outdated regulations and support small businesses across the tourism sector. 

The proposals, unveiled on 7 April by Justin Madders MP, are designed to help hotels, restaurants, attractions, and other tourism operators collaborate more easily to offer package deals. By removing legal barriers, the initiative could allow businesses such as B&Bs and pubs, or campsites and surf schools, to join forces and create bespoke holiday experiences for domestic travellers.

“Right now, a British hotel, local attraction, and restaurant can’t offer a joint deal without jumping through regulatory hoops – and that’s frankly ridiculous. As part of our Plan for Change, we’re fixing that,” explained Justin Madders, Minister for Employment Rights, Competition and Markets. “These common-sense changes will help small businesses, boost British tourism, and give families more choice when booking a staycation. More options, better value, and a stronger UK economy.”

Inviting input from businesses and industry leaders on how best to implement these reforms, the 12-week consultation will consider practical support for businesses, such as setting time limits for third-party redress and improving the flexibility of insolvency protection for non-flight packages. These changes are expected to provide consumers with better value while encouraging growth across the UK’s staycation economy.