Tourism: sky-high prices, except for international flights – here’s why

The war in the Middle East, with the conflict between the US and Israel on one side and Iran on the other, is having a significant impact on Italians’ summer holidays, on the one hand altering families’ choices, and on the other leading to changes in holiday prices. This is highlighted by Assoutenti, which has produced the ‘2026 Holiday Report’, analysing the costs that citizens will face if they treat themselves to a holiday in August. Virtually all costs are rising, except for air travel.

The first finding to emerge from the survey concerns Italians’ choices: search engines specialising in hotel bookings show that anyone deciding to book a 7-night stay in June at one of Italia’s seaside resorts for the middle week of August will have to contend with a shortage of available accommodation. This is a direct consequence of the ongoing conflict, which has prompted a growing number of people to opt for domestic destinations for their summer holidays, partly due to the jet-fuel crisis and the feared risk of airlines cutting summer flights. This is why a family with two children booking a 7-night stay in Italia between 9 and 16 August (in a 3-star hotel or similar accommodation), has a limited range of choices and spends an average of €2,025, an increase of +12.6% compared to those who booked the same stay during the same period last year. Whilst a stay in Rimini or Milano Marittima costs less than €1,400 a week, the cost for the family in question rises to over €1,700 in Veneto (Caorle, Bibione, Jesolo), exceeds €2,000 in Sicily (Cefalù and San Vito lo Capo) and reaches €4,800 in Baja Sardinia, Sardinia. The cheapest destination remains Vieste (Puglia), where a week’s holiday in August costs €1,255 (compared to €1,200 in August 2025).

Assoutenti points out that the real sore point is the issue of ferries. The rise in fuel prices following the war in Iran has caused a general increase in the fares charged by ferry companies, to the extent that tickets for a family with two children and a car cost on average 10.9% more than last year. Departing on the night of 8 August and returning on 16 August, it costs €1,665 to travel from Civitavecchia to Olbia, €1,412 from Genoa to Porto Torres, €1,214 from Livorno to Olbia, and €807 from Naples to Palermo.

The crisis in the Middle East does have a silver lining: the sharp drop in demand for overseas travel has led to lower airfares for many summer destinations, with monitored ticket prices falling by an average of 23%. For example, if you book a return flight (departing 9 August, returning 16 August) from Milan to Santorini, the price starts at €173, compared to the €398 required in June last year for the same route during the middle week of August (-56.5%). Departing from Rome, it costs just €308 to fly to Crete on the same dates (compared to €519 in 2025, a 40.7% drop), and €323 to fly to Tenerife (a 52.6% drop). From Milan to Sharm el-Sheikh, the same ticket starts at €392 (-34%). If we then look at fares for more exotic destinations, the price of a Rome-Zanzibar flight (again 9–16 August) is down by 19% compared to last year, and the cost of travelling from the capital to the Seychelles is as much as 23% lower. From Milan to the Maldives, the ticket costs 18.3% less; from Milan to Cape Verde, it is 17.6% cheaper; and from Milan to Zanzibar, it is 17.8% cheaper.

“The war in the Middle East has sent shockwaves through the tourism sector, altering people’s summer holiday plans,” emphasises Gabriele Melluso, president of Assoutenti. “ People are staying in Italia more and more, and those looking to book a holiday at a domestic seaside resort today are finding fewer accommodation options available and, consequently, higher average prices. Conversely, travelling by plane to reach foreign destinations, even exclusive ones, is proving particularly affordable this year, thanks to the fall in demand for airline tickets linked to the ongoing conflict. However, as is always the case in such situations, the risk is that the war in the Middle East will be used by operators in the sector to impose price and fare increases even on items that have nothing to do with the international geopolitical situation, thereby speculating on Italians’ summer holidays.”