There are plenty of reasons for cheer heading into 2026

"Tis the season where we’re all focused on what’s coming down the line for the most important time in the travel booking calendar. 

If the past few years have taught us anything, it’s to expect the unexpected. So, while we’re cautiously confident that January will be our best booking period to date, it’s essential we view the market with a wide lens.

In my experience, optimism is best served with vigilance when it comes to outlook and, while I believe there is great opportunity for the industry during 2026, there are also challenges afoot that we’re all going to need to navigate through. 

As always, I’m sure we’ll need to react to world events and economic circumstances, but here are my predictions for the next 12 months.

Let’s start with the positives. We know that confidence to travel is at an all-time high and households are ring-fencing their holiday funds for the year ahead. Even during the most challenging economic times, the holiday is the last thing to go.

Initial booking patterns are suggesting that customers will book earlier, rather than later – certainly for their main annual holiday. Customers tell us that they want to lock in prices, guarantee their accommodation choice and have time to spread the cost of payments. 

I believe that in 2026 we will continue to see a rise in complex and far-flung itineraries. The world is more accessible than ever and increased flight routes for next year are opening up opportunities for travellers to consider new destinations. 

Touring, adventure and cruise products will be in demand for long-haul travel – and there’s a real opportunity for agents to showcase their expertise and demonstrate the value of booking with an expert. The influence of TV, film and culture over the past few years has fuelled demand for more authentic experiences and that’s something we expect will continue to play a major role in decision-making.

The potential of AI

As an industry, something we must not gloss over is the impact of AI. For me, I think this an opportunity, rather than a threat, for those businesses that are open to embracing it. I’m certain AI will never replace the travel advisor: the personal touch will always prevail. AI simply cannot understand the emotions involved in planning a holiday – nor can it provide accountability, real reassurance or financial protection. 

I do think we’ll start to see AI being further integrated into how businesses service their customers – and how agents use it to become more efficient. AI is becoming a firm part of the travel experience, whether travellers recognise it or not, and smart businesses will adopt sooner rather than later to make the most of new opportunities. 

Economic challenges

All in all, 2026 is giving me plenty of reasons to be cheerful. But there are headwinds still to be navigated. The recent Budget, for example, will still keep many businesses in restraints – particularly those operating on the high street. Businesses in all industries need to be able to invest in people, skills and infrastructure to generate growth and we need a better focus on investment in local economies and communities. 

For travel, rises in taxes and the potential implementation of visitor levies at home will be on the minds of airlines and operators. Every incremental tax rise to our industry poses a risk – although, for now, I do believe that consumer confidence is strong enough to withstand this. However, we cannot continue to see increases that penalise outbound travel in the future. 

Finally, the regulatory environment for travel is becoming increasingly complex. The Competition and Markets Authority’s new guidance on price transparency, particularly regarding tourist taxes, is something the industry must react to. There’s no doubt that reputable travel companies want to provide transparent pricing for consumers – but this guidance risks complicating advertising and confusing responsibility.

Despite these challenges, I’m certain the industry can overcome whatever comes our way.

Here’s to a great 2026!