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You are at:Home » UK Holiday Demand Holds Steady Amid Disruptions and Rising Costs :: Hospitality Trends
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UK Holiday Demand Holds Steady Amid Disruptions and Rising Costs :: Hospitality Trends

13 October 20263 Mins Read

  UK Holiday Demand Holds Steady Amid Disruptions and Rising Costs

Holiday Participation and Travel Trends

ABTA’s Holiday Habits 2026-27 Report indicates that 88% of UK adults took a holiday in the past 12 months, matching the decade high last seen in 2019. Of these, 62% traveled abroad, an increase from 59% the previous year. The average number of holidays per person remained at 3.9.

The report highlights that holiday demand has remained resilient despite several disruptions, including Middle East conflict, new European border processes, and climate-related events such as wildfires and extreme heat. These factors have influenced travel plans but have not significantly reduced the overall desire to take holidays.

Destination Preferences

Spain remained the most popular destination for UK travelers, with 36% of respondents visiting, up 4 percentage points from the previous year. Travelers are seeking alternatives to destinations affected by the Middle East conflict. Portugal also rose in popularity, moving to sixth place in the top ten destinations with 11% of respondents visiting.

Travel Confidence and Booking Patterns

ABTA’s Travel Confidence Index recorded a score of +50, slightly lower than the previous year’s +53 but showing recovery from a low of +26 in May 2026. The earlier dip was linked to disruptions from the Middle East conflict, concerns over fuel availability and prices, and challenges with the new European Entry/Exit System.

The report notes a shift in booking behavior, with more travelers seeking reassurance from travel professionals. In the past 12 months, 38% of overseas holidays were booked through travel agents or tour operators, up from 34%. The increase was most notable among 18–24-year-olds, with 35% booking through professionals, up six percentage points. Additionally, 63% of overseas holidaymakers chose package holidays, a two percentage point rise.

Value for Money and Cost Considerations

Value for money has become a more important factor in booking decisions. Among those booking with travel professionals, 44% cited value for money as the main reason, up five percentage points from the previous year. For package holidays, 48% chose this option primarily for value, up from 43%.

While holiday spending remains a priority over other non-essential expenses, respondents are more cautious. The proportion of respondents planning to spend more on holidays next year fell to 32%, down from 34%. Among the 15% planning to spend less, 52% cited the increased cost of living as the main reason, up from 47% last year.

Booking Timing and Future Intentions

Travel intentions for the next 12 months remain steady, with 70% of adults planning to travel abroad and 56% planning a UK holiday. However, more people are booking holidays closer to departure. ABTA data shows that 46% of those planning an overseas trip have already booked, compared to 48% at the same point last year.

Survey Methodology

The findings are based on ABTA’s annual Holiday Habits survey, conducted by The Nursery Research and Planning between July 21 and August 6, 2026, with a nationally representative sample of 2,082 UK adults. The Travel Confidence Index is calculated by measuring respondents’ confidence in taking an overseas holiday on a scale of one to ten, excluding neutral responses, and subtracting the percentage of low-confidence responses from high-confidence responses.

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