Australians ignoring cost of living pressures to holiday overseas

Cost of living pressures and even Donald Trump’s tariffs bombshell will not stop Australians heading overseas on holiday this autumn, according to the country’s foremost tourism body.

Despite cost of living pressures, many Australians are expected to head overseas over the Easter break.

More Australians will holiday overseas this autumn than at any other time since Covid with cost of living pressures failing to dampen their desire to travel.

The Tourism & Transport Forum have released survey data showing 14 per cent of Aussies will head offshore – led by millennials in the 25-44 year age group – compared to 8 per cent in the same March to May period last year.

Even the economic uncertainty and this week’s share market crash triggered by US President Donald Trump’s tariffs bombshell will not stop international trips, according to TTF CEO Margy Osmond.

Australians are planning to travel overseas this autumn despite cost of living pressures. Picture: iStock

“It might alter how long they stay and how much they spend but we’re now seeing evidence that people’s behaviours have changed,” she said. “Travel has become a non-negotiable. Aussies are ready to get out and explore beyond their own backyard again.

“Where people once indulged in retail therapy they’re now prioritising holidays. In terms of Australians making overseas travel plans, these are the biggest numbers we’ve seen (for any season) since Covid.”

Ms Osmond said while people were impacted by cost of living issues, they were also more inclined to “sniff out a good travel deal.”

“We’re simply finding ways to adapt, focusing on value-for-money options and planning smarter trips to keep costs down,” she added.

“But what they will care about most is the exchange rate, and how that affects their buying power overseas. If it drops we might see, moving forward, a change in destinations of choice.”

Margy Osmond. Picture: Supplied

There was also a message in the research for Australia’s federal and state governments, Ms Osmond said.

“It will work both ways with overseas travellers wanting to visit Australia as well, so this is not the time to be spending less on marketing and promoting this country as a destination,” she said.

“In terms of driving the economy, tourism remains hugely important.”

The survey of more than 1500 Australians said almost one in five millennials was planning to travel overseas between March and May, while 83 per cent of them were planning a getaway intrastate, interstate or internationally.

Across all age groups 71 per cent of Australians had intentions to travel. Domestically, Sydney was the most popular city destination and NSW the most popular state.

Women were also looking to spend less than men on their holidays. Most women were looking spend around $2000 per trip while men were planning to spend up to $5000.

“Looking to autumn trips, we’re opting for closer international getaways and hunting travel deals,” Ms Osmond said. “With a focus on nearby destinations and affordable travel packages, Aussies are making the most of their breaks without overspending.”

Originally published as Australians ignoring cost of living pressures to holiday overseas