Holidaymakers who planned to visit the eastern Mediterranean this summer are switching to destinations in the western Mediterranean and the Caribbean due to the US-Israel war on Iran, travel companies have reported. Travellers from the UK and mainland Europe are increasingly moving away from Cyprus, Turkey and Greece towards Italy, Spain, Malta and Croatia, as flight cancellations and airspace closures disrupt the region.
Tui, Europe’s largest holiday operator, said demand for holidays in Spain, Portugal, Greece and Cape Verde had risen sharply. Neil Swanson, a director at Tui, noted that while some cancellations are occurring in affected areas, more customers are choosing to amend their plans. Hays Travel reported growing demand for Italy, Malta and Croatia, while Kuoni described interest in the Caribbean as “off the charts.”
The shift has driven up flight prices significantly. For example, the cheapest round-trip flights from London to Antigua and Barbuda for late March rose by 27% to £917 within a week, according to Google price data. Mark Duguid of Kuoni said flight prices have increased by up to £1,000 per person for economy seats, pricing many holidays out of the market.
The tourism industry is counting the cost of the conflict. Shares in On the Beach fell by 13% after it suspended profit guidance due to a “significant slowdown” in bookings to Turkey, Cyprus and Egypt. Shares in easyJet and Jet2 also fell. Loveholidays is reportedly delaying its planned flotation. Meanwhile, the World Travel & Tourism Council estimates the Middle East’s tourism sector is losing $600m (£448m) a day in visitor spending.
British Airways has cancelled its seasonal Abu Dhabi route from Heathrow, and Wizz Air is reallocating about half of its Middle East capacity to European destinations such as Croatia, Spain, Portugal and Italy until September. The Foreign Office advises against travel to several Middle Eastern countries, and high-profile sites like Dubai’s Fairmont hotel and Burj Al Arab have been affected by the conflict.
