European Tourism – Trends & Prospects (Q1/2026)

Europe sees a strong start to 2026 amid global uncertainty and geopolitical tensions

Year-to-date data shows international tourist arrivals to Europe up 5.6% compared to the same period in 2025. Geopolitical tensions, ongoing conflicts and climate-related events may dampen travel confidence and pose key risks to the tourism outlook in 2026.

Ireland (+30%) and Finland (+12%) stood out in Northern Europe. Strong gains were also seen in ski destinations including Italy (+14%), Austria (+7%), France (+5%) and Switzerland (+3%), all portraying steady growth. Italy saw additional momentum from the Milano Cortina 2026 Winter Olympics.

Rising fuel and operating costs tied to the US/Israel–Iran conflict are being passed on to consumers through higher airfares and travel costs. IATA has warned that jet fuel shortages could lead to flight cancellations in Europe by the end of May.

Europe should face lower risks amid the conflict in the Middle East supported by strong intra-regional demand (circa 80%) and travel substitution toward destinations perceived as safer and shorter-haul destinations.

Please find the press release.