Europe’s Tourism Shows Resilience as Spending Nears 10% Growth

According to the European Travel Commission’s Q3 2025 report, Europe’s tourism sector remains robust despite inflation and extreme weather events. Average traveller spending is projected to rise by 9.9% this year compared with 2024.

Overnight arrivals and total international arrivals across Europe increased modestly (overnight +2.7%, arrivals +3.0%), showing that demand held up even in a higher-cost environment. Higher prices for tourism services did not deter many visitors.

The report highlights strong growth from long-haul markets—especially Asia-Pacific—and a continuing healthy influx from the U.S. Market dynamics show travellers are allocating more of their disposable income toward holidays despite other cost pressures.

Destinations such as Spain, Italy and France were noted for maintaining competitiveness by combining heritage, culture and modern attractiveness. Service innovation and digital tools helped sustain demand.

Tourism-industry analysts say that Europe’s ability to withstand cost pressures may serve as a blueprint for other regions, particularly those facing rising operational and input costs. For destinations in the Americas and Caribbean, this suggests that quality and value can offset headwinds.

The report also underscores the importance of experience diversification—travellers are mixing city breaks, nature escapes and slow-travel options, which helps spread demand beyond peak hubs.

For the travel trade and destination marketers, the takeaway is clear: investing in infrastructure, digital innovation, visitor-experience quality and marketing remains essential, even when macro-conditions are challenging.