Hotel stays could become significantly more expensive

As a result of the VAT increase, hotel stays and holiday accommodation are expected to become approximately 11 per cent more expensive than in 2025. According to ING, this could create a year of uncertainty for the hotel sector.

Although consumer purchasing power is improving, economists expect growth in hospitality spending to remain limited. Many consumers are still adjusting to the price increases in hotels and restaurants seen over recent years. In 2024, hospitality prices rose by an average of 6.3 per cent, compared with 8.4 per cent in 2023 and 8.6 per cent the year before.

Financial pressure across the sector

This year’s price increases were primarily driven by higher rents, rising procurement costs and increasing labour expenses. For 2026, economists expect these costs to rise less sharply, leading ING to describe the outlook for the sector as “moderately positive”.

Higher wages and lower inflation in 2025 are expected to leave consumers with slightly more disposable income, which could help maintain demand across the hospitality sector.

At the same time, researchers point to a growing number of hospitality businesses facing financial difficulties. While an average of around 7 per cent of Dutch businesses are dealing with problematic debt levels, that figure rises to around 20 per cent within hospitality. Restaurants, cafés and fast-food outlets appear particularly vulnerable. A year earlier, this figure stood at approximately 14 per cent.

Part of these challenges is linked to debt accumulated during the pandemic, combined with significantly increased operating costs. Not all hospitality businesses are able to pass these costs on to guests in full, placing further pressure on margins.

Source: ANP, editorially adapted