Cost of living makes British travellers tighten budgets, but Spain remains their favourite destination
According to ABTA, 70% of British adults plan to travel abroad in the next 12 months and Spain tops their list, although they are tightening budgets and booking later.
- Review your winter and spring prices: British guests are still coming, but they compare more and book later.
- Don't cut rates months ahead just because the calendar looks empty; leave room for last-minute bookings.
- Make it clear in your listing what the price includes, because guests on a tighter budget compare the total cost.
What happened
ABTA, the British travel agents’ association, has published its report on UK travel habits, covered by Hosteltur a week before World Travel Market in London. Some 70% of British adults intend to travel abroad in the next 12 months, and 88% took at least one holiday in the past year. Around 32% expect to spend more on holidays and 15% are considering spending less; the rising cost of living is pushing many to tighten budgets and delay bookings.
Spain comes out stronger: 36% of those who went on holiday in the past year visited Spain, up four percentage points, and it is the preferred destination for the next 12 months with 26% of mentions, ahead of France (24%) and Italy (15%). Some 46% of those planning to travel abroad have already made a booking, and 38% booked their last overseas holiday through a travel agent or tour operator.
What it means for your property in Málaga
British guests are a familiar presence on the Costa del Sol, and the report shows demand holding up, but arriving later and with tighter budgets. For owners of one or two properties in Málaga, a calendar with gaps several months out is not necessarily a bad sign, and cutting prices too early can give away margin on bookings that would have come anyway.
More than half of those planning to travel abroad have yet to book anything, so there is room to pick up bookings in the coming weeks. It makes sense to review prices from November to spring using market data, keep dates open for last-minute stays and make sure the listing shows the total price and what it includes, because cost-conscious guests compare more.
How I handle it in the properties I manage In the properties I manage I adjust prices daily with PriceLabs based on real demand for each date, so I don’t cut rates too early when bookings come in late. Automated replies in English help close quickly with guests who book at the last minute.
Summary written with the help of AI and reviewed by Brian Donneys on 25 Oct 2026. General information, not legal or tax advice.