Tourism is consolidated as the priority for family spending
The increase recorded after Covid-19 continues
MadridAfter the most severe lockdown due to the COVID-19 pandemic, and once the borders were lifted and movement was restored, Spanish families didn't hesitate to pack their bags and travel. Health restrictions not only caused some households to accumulate a significant savings pool Not only did the recovery of mobility boost tourism, but in Spain, and also in Europe, tourism has always been one of the driving forces of the economy. The post-COVID boom in tourist spending among Spanish families, and therefore the change in their consumer habits, was seen as a temporary issue. However, some organizations now see it differently.
"The [tourism] upswing among Spanish families that was recorded at the beginning of 2021 was a reflection of pent-up demand; as travel was impossible due to Covid-19, it became more intense in the following years. We thought it was a transitory phenomenon and that gas would recover, but that wasn't the case," reflected Ángel Gavilán, economic director of the Bank of Spain, two weeks ago, during the presentation of the latest macroeconomic projections. "But if you now ask [families] what they will spend the bulk of their spending on in the coming months, in Spain and the European Union they are clear: on vacations," added Gavilán.
To reach this conclusion, the supervisory body relies on the latest data from the European Central Bank (ECB) on household consumption expectations. In this survey, families are asked where they plan to spend the majority of their money in the next 12 months. In April, the last month for which data is available, a large majority (more than half) responded that they would spend their vacations, as can be seen in the accompanying graph. "In the household consumption mix, a significant shift in spending toward tourism services appears to be consolidating," the Bank of Spain concludes.
However, the fact that households allocate the bulk of their spending to this activity impacts other items in the consumer basket, which also require a high outlay. The ECB highlights the purchase of a vehicle or household products, from furniture to appliances. Unlike tourism, where spending expectations soar, in these other two cases they remain stable and even decline slightly.
The effects of COVID-19 are evident when we observe that the gap between these three products with respect to household consumption expectations began to widen in April 2021, coinciding with the Easter holidays and on the eve of a new summer season. However, it has continued to widen since then. However, the Bank of Spain has not abandoned the cautious tone that usually accompanies its analyses, and Gavilán recommended giving itself more time to "fully understand" whether it is a structural pattern or if the effects of Covid-19 (accumulated savings and desire to travel) are still lingering.
Impact on prices
The tourism boom has a clear impact on the prices of everything related to the activity. Here, it should be noted that costs are not only being pressured by domestic tourism, but also by the arrival of international tourists, which is expected to reach record levels again in 2025. For example, the April core inflation data (excluding energy and food) "surprised" the Bank of Spain with regard to tourism services such as restaurants and hotels.
Although it is true that a period in which inflation was sky-high has just passed, some levels of normalization have already been recovered, at least in the eyes of the ECB. However, in the case of this activity, upward pressure continues. Prices usually rebound in April because it coincides with the Easter holidays, but if we compare this April with 2017, we can see how the prices of some specific goods are significantly higher. For example, while package tour prices soared 8% in April 2017, they've risen 13.7% this year. The same is true for air travel (2.8% seven years ago and 16.5% in April 2025). "This isn't unique to Spain. Prices [for tourist services] also soared in the European Union, but we're confident they'll reverse in May," Gavilán said.