WTM Global Hub

AI Regulation in Tourism: How Governments Keep Travellers Safe

Why the rules race matters right now

Artificial intelligence no longer hides behind the scenes of travel—it assigns your seat, pre-loads hotel room settings and even decides how long you queue at border control. That same intimacy with personal data, movement patterns and biometric identifiers makes tourism a lightning-rod sector for regulation. The past 18 months have delivered an unprecedented wave of government action aimed at keeping explorers safe without strangling innovation, from Brussels’ first-of-its-kind EU AI Act to Manila’s new National AI Roadmap 2.0.

The stakes? Nearly US $11 trillion in global Travel & Tourism GDP by year-end 2024, intertwined with everything from border security to rural livelihoods. Rules that bring clarity—and penalties—shape who captures that value.

A whirlwind timeline of global AI legislation touching travel

YearRegionMilestoneImmediate tourism impact
2024EUEU AI Act enters into force (August)“Unacceptable-risk” systems—e.g., social-scoring or manipulative chatbots—are banned; transparency flags on deepfakes become mandatory.
2025EUFirst obligations kick in (Feb 2)—including the ban on emotion-detection for workforce monitoring; GPAI code of practice due August 2.Hoteliers using in-house staff sentiment dashboards must turn them off or face up to €35 m fines.
2025UN TourismPublication Artificial Intelligence Adoption in Tourism – Key Considerations (Jan) sets baseline guidance for member states.Becomes the go-to checklist for destination management organisations rolling out AI pilots.
2024-25USAWhite House Executive Order 14110 on Safe, Secure & Trustworthy AI; DHS travel-security mandates follow.CBP must verify biometric trials (e-gates, face–match) align with eight federal AI principles.
2025PhilippinesNational AI Strategy Roadmap 2.0 links hotel-tax incentives to AI-ethics certification.Resorts enjoy duty-free imports of robotics if they file impact-assessments on privacy & labour.
2024-25SingaporeModel AI Governance Framework for Generative AI opens public-facing sandbox.Airlines testing synthetic-voice concierges can iterate under regulator supervision.
2025UKData (Use & Access) Bill nears royal assent; Lords push for AI copyright transparency.OTA chatbots must disclose training data sources when recommending itineraries.
2025Saudi ArabiaSDAIA’s evolving sandbox model prioritises tourism use-cases; UNESCO flags potential leadership in AI ethics.Desert eco-lodge projects can train localisation models inside a regulator-approved test bed.

Tourism’s regulatory headache: five unique risk zones

  1. Sustainability claims – Emissions-optimising algorithms are now marketable features; without audit trails, “greenwashing” fines loom.
  2. Biometric gates – promise 30-second boarding but collect immutable facial templates. The EU’s watchdog warns airports must prove proportionality and data-minimisation even with passenger consent.
  3. Loyalty programs – track not just spend but sleep, health and geo-location—prime targets for cybercrime.
  4. Dynamic pricing & fairness – AI can adjust room rates hourly; regulators eye algorithmic discrimination against certain nationalities or disabled travellers.
  5. Synthetic storytelling – Generative AI itineraries may fabricate attractions, raising consumer-protection and copyright flags (an active flashpoint in the UK bill).

What the EU AI Act really asks of travel brands

The world’s most comprehensive AI law sorts systems into four risk buckets: unacceptable, high, limited and minimal. Tourism players will bump against all four:

Deadlines that matter:

DateObligationPractical tourism example
2 Aug 2025Member states appoint “notified bodies”A ski-lift operator’s avalanche-prediction AI must clear a notified body before launch.
2 Aug 2026Transparency on any interaction with AI & labelling of synthetic mediaCruise lines publishing AI-generated excursion videos must watermark them.
2 Aug 2027Full governance stack for high-risk systemsSmart-destination digital twins across whole cities enter formal compliance regime.

Ignoring the Act courts fines of up to €35 million or 7 % of global turnover—a higher ceiling than GDPR.

From Washington to Wellington: other playbooks shaping travel tech

United States – Risk governance before legislation

Federal agencies align procurement with NIST’s voluntary AI Risk Management Framework. Hotels bidding for federal conference business must demonstrate they “map, measure and manage” AI hazards—exact wording from NIST.

Canada – Safe & Secure AI Advisory Group set up in February 2025 to prototype national safety institute audit tools.

Asia-Pacific – Sandwich of strict & sandbox

Middle East & Africa – Sandbox first, regulate next

Saudi Arabia’s SDAIA positions “smart destinations” as test fields while it co-drafts ethics codes with UNESCO.

United Kingdom – GDPR-lite meets AI transparency wars

The Data (Use & Access) Bill trims red-tape for SMEs yet faces push-back for dropping mandatory training-data disclosure—even as Lords warn of “tourism deepfake scams.”

Case file: Iberia’s biometric boarding & what regulators demanded

When Iberia rolled out face-match boarding between Madrid-Barajas and Barcelona in April 2024, AENA stored passport images on encrypted servers accessible only during boarding events. Travellers can opt for manual boarding at any time—a design choice mirroring GDPR’s proportionality principle highlighted by the European Data Protection Board.

The lesson: privacy by design beats privacy by notice. Regulators prefer minimising data, not merely asking permission.

Five regulatory levers governments wield—and how to stay on the right side

LeverWhat it looks like in tourismCompliance tip
Risk-tieringEU AI Act’s four levels; Singapore copies the template.Classify every AI product in your roadmap before code freeze.
Data-protection by designEDPB guidance on airport biometrics (store template on traveller’s phone).Adopt edge storage wherever feasible: guest preference profiles on device, not cloud.
Algorithmic transparencyUK’s draft copyright clauses could force OTAs to reveal training corpora.Maintain a public “nutritional label” for every model powering guest-facing features.
Liability & redressUS EO makes federal contractors responsible for downstream harms.Build a clear guest grievance process with 72-hour response SLA.
Skills & literacyPhilippines CAIR hub trains hotel staff in responsible AI.Add AI-ethics onboarding to every new-hire orientation.

What ethical AI looks like on the ground

These principles echo UN Tourism’s January 2025 guidance and NIST’s four “govern” functions—map, measure, manage, monitor.

Action checklist for our three reader groups:

Policymakers

Data-security professionals

Tech companies & vendors

The road ahead: regulation as competitive edge

The next 24 months will decide which destinations and brands earn the badge of “AI-safe.” Those who treat compliance as a check-box will fight uphill against reputational fallout and costly retrofits. Those who bake ethics into the itinerary will win trust—and the booking.

Julia Simpson reminded ministers at WTM London, “AI isn’t a tech-department issue; it’s a CEO-level conversation about the soul of travel.”

The takeaway is clear: travel brands that bake transparency, privacy and fairness into their AI today will own tomorrow’s trust dividend.

Ready to help write those rules instead of scrambling to follow them? Join the conversation at WTM London this 4–6 November and explore how your team can turn responsible AI into a competitive edge, while keeping the experience unmistakably human.

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