Rovaniemi in Finnish Lapland, the self-styled hometown of Santa Claus, is facing a tourism crisis, with one long-time resident saying the industry has “really ruined the atmosphere in the city.” Ilkka Kaupinnen, who moved to Rovaniemi from Vantaa 20 years ago, is among locals worried about the impact of soaring visitor numbers.
Tourism boom brings record numbers
The city of 66,000, almost totally destroyed by occupying Nazi forces in WWII and rebuilt in the shape of a reindeer's head, has become a major festive destination. It is home to two Father Christmas lands, and the Northern Lights appear on roughly half the nights of the year.
Tourism is booming. In 2025, 1.1 million passengers passed through Rovaniemi Airport, an 18.4% increase from the previous year, with direct flights from 38 international airports during the peak winter season. There were 1.1 million overnight stays recorded during the core 2024–2025 winter season, marking a 20% year-on-year growth. Many visitors fly in and out on a single day for a whistle-stop Santa visit.
Locals feel the strain
Kaupinnen said that when he first moved to Rovaniemi, tourism was in its infancy. “It is a fantastic place. Here is a lot of nature and wonderful seasons,” he told the Mirror. “We were really excited when it started. Even eight years ago, before Corona, if I saw a tourist looking at a map or a phone, I'd go help them. But as often happens, when it becomes too much, people aren't so happy.”
During winter, Santa Claus Village attracts 600,000 visitors, ten times the entire population of Rovaniemi. Kaupinnen described going to one of his favourite local bars and finding no friends inside, only tourists. “It was just so depressing,” he said. He also cited tourists blocking paths on the way to work, stopping locals from sleeping, taking Northern Lights photos in gardens, and using up firewood in the small shelters scattered across Lapland.
Season extends and housing crisis deepens
The travel season has lengthened from November to the beginning of February, to the end of September to the end of April, and now even into the summer. “We are not excited about the term 'coolcation',” Kaupinnen said.
Earlier this year, Kaupinnen organised an anti-holiday-let protest in the city centre. “I would benefit if I rented my place on Airbnb, but I don't think it's right because there is a big housing crisis here. People come here to work and can't find a place to live,” he said. “If I meet someone who has a lot of Airbnbs, there is a certain tension.”
Others disagree. In February, Maarit Kuusela was part of a counter-protest in which pro-Airbnb campaigners handed out warm juice and sausages. She told the Finnish state broadcaster that she wants to defend the right of apartment owners to do whatever they want with their homes, holding an English sign that read, “We love tourists. Welcome.”
Council seeks balance
A spokesperson for Rovaniemi Council recognised that “strong growth of tourism brings both significant economic opportunities and challenges for the local community.” The city is preparing a new tourism programme aimed at ensuring tourism develops in a controlled, socially acceptable way that supports the wellbeing of local residents. The objective is to find a balance where tourism continues to bring benefits while ensuring the city remains a good place to live.
A survey of 3,000 residents leading up to Christmas last year found “the most significant concerns relate to rising housing and rental costs linked to short-term accommodation rentals, traffic congestion and traffic violations, as well as environmental impacts and increased consumption of natural resources.” Accommodation projects underway will add 4,700 new beds, with a tourist tax to be introduced in 2028 if a central government proposal goes ahead. Kaupinnen said he will not come back after his next cycling tour.
