The upcoming increase in Air Passenger Duty (APD) in 2026 is set to make staycations even more attractive for UK residents. With an additional £2 charge on short-haul economy flights and £12 on long-haul flights, international travel costs will rise, which will encourage travellers to consider domestic options instead. Notably, private jets will see a 50% APD increase, impacting the cost of luxury travel and potentially shifting high-end tourists toward UK-based options as well. 

Even though these APD increases are modest for short-haul flights, they may still contribute to a broader trend of opting for cost-effective and convenient UK holidays, particularly for families or those traveling on a budget. Holiday providers in the UK can use this opportunity by enhancing their offerings to appeal to travellers who might otherwise go abroad, such as through unique experiences, flexible pricing, eco-conscious initiatives, and attractive year-round amenities. With rising travel costs, the staycation trend could see a significant boost as both practical and sustainable travel choices become a priority for more people in the UK. 

As more holiday cottages, lodges, and cabins flood the market, standing out has become crucial. With rising accommodation costs, families are looking for value as much as relaxation, and holiday homeowners need to step up to meet these demands. Holiday let owners must focus on adding value to ensure they stay competitive in this thriving market. Simply providing accommodation isn’t enough; guests are looking for memorable, high-quality experiences and added comforts that make a stay unique and worth the investment.