Hotel prices in Europe are about to rise.

According to analysis from the global hotel industry firm STR, from May 2019 to May this year, average room rates increased by 23% in Italy, 21% in Ireland, 17% in Spain, and 12% in the UK. Average daily rates across a booking system increased by 40% in the second quarter compared to the same period in 2019.

These figures are expected to rise even more sharply in 2023. In July, the annual inflation rate in the euro area was 8.9%, driven by soaring energy prices. For a group of seven European countries, electricity prices rose from 86 EUR/mWh in July 2021 to 324 EUR/mWh a year later.

Some industry experts predict hotel prices in Greece and Croatia will increase by 25% in 2023. Travel companies contracting with hotels in Türkiye for 2023 are facing cost increases ranging from 20% to nearly 50%, with prices denominated in euros, not Turkish lira.

However, despite predictions of rising prices, demand for European travel shows no signs of slowing down. If Europe is among your travel destinations for 2023, what travelers should do is book hotels now, especially those with no deposit required and short-term cancellation policies without extra fees.

The cost of renting a private apartment may increase more slowly than hotel room rates, but booking in advance at this time is still recommended.

Phuong Thao is an editor at Travellive magazine. She is passionate about traveling and enjoys capturing moments with her camera in every place she visits. Travel, art, and lifestyle are Phuong Thao's favorite writing topics.

Phuong Thao