Corporate travel budgets are set to climb in the year ahead, with nearly half of businesses planning to spend more on flights, hotels and in-person meetings, according to new research from Flight Centre Travel Group (FCTG).
The company’s global State of the Market survey found that 45% of customers intend to increase their travel spend in FY26 compared with last year, up three percentage points on FY25 intentions.
Of those surveyed, 9% plan to boost budgets by more than 20%, while 36% will increase spending by up to 20%. A further 37% expect to maintain current levels, while just 8% anticipate cuts.
Growth in Europe, Middle East and Africa
The outlook is particularly strong in the EMEA region, where 46% of customers now plan to increase travel spending, up from 39% a year ago. More strikingly, the proportion of businesses intending to reduce spend has dropped sharply from 21% to just 7%.
The results were published alongside FCTG’s financial report to the Australian Securities Exchange, which revealed a record total transaction value (TTV) of AUD$24.5 billion – up 3% year-on-year – despite challenging trading conditions worldwide.
The group’s corporate division, which includes FCM Travel and Corporate Traveller, delivered a record AUD$12.3 billion TTV, rising 2% year-on-year.
Corporate Traveller is now on track to become a AUD$5 billion-per-year TTV business, with both brands positioned to benefit from industry consolidation and strong performance in the U.S. market.
Chris Galanty, CEO of FCTG Global Corporate, said the findings reflect growing optimism among companies as macroeconomic pressures ease.
“There’s no question corporate travel is deemed to be a non-discretionary spend for businesses as a critical facet to surviving and thriving worldwide – this is now evidenced by a significant percentage of our customers planning to increase travel spend in FY26,” he said.
Galanty added that investments in AI, through FCTG’s Centre of Excellence, and growing adoption of its FCM Platform and Melon technologies were helping to transform the corporate travel experience.
“By automating the ordinary, we can provide our customers with the extraordinary,” he said.
Steve Norris, FCTG’s managing director for EMEA, highlighted the strength of the UK corporate travel market, where FCM recorded 15% year-on-year growth.
“Our specialist divisions, including FCM Meetings & Events and Stage, Screen and Sports, also enjoyed European growth,” Norris said.
He noted that wider economic and political shifts – such as the ratification of the UK-US trade deal – will spur further demand for cross-border business travel as companies compete for new contracts.
“Business is ultimately a contact sport, and being there first can be the difference between winning and losing deals,” Norris added.
He also pointed to productivity gains across Europe following operational improvements, which have freed up staff to focus more on customer service and decision-making.
The survey results add to evidence that business travel, badly hit during the pandemic, has regained its role as a critical driver of growth. With 45% of corporates planning bigger budgets in FY26, FCTG predicts another strong year for its flagship brands as companies lean into face-to-face connections to drive growth in an increasingly competitive global economy.