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The Hidden Costs of Tourism in 2025: Why Travel is More Expensive Than You Think

  • Writer: Robert Anderson
    Robert Anderson
  • Sep 1
  • 4 min read
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Introduction: The Rising Price of Adventure


Like many travellers, I have always loved the excitement of booking a trip, searching for flights, finding the perfect hotel, and planning all the sights. But recently, I have noticed something: travel feels a lot more expensive than it used to.


Sure, part of it is personal (big trips mean tighter budgets later), but much of it comes down to the travel industry itself. Inflation, energy costs, labour shortages, and global demand are all pushing prices up. And then there are the hidden costs of travel, the ones that quietly drain your budget without you realising.


In this guide (and the video below 👇), I am breaking down the biggest hidden travel expenses in 2025 and how to avoid them.



The Rising Base Costs of Travel


A European package holiday is now 11.5% more expensive than last year. That is around £119 extra per person, or nearly £600 more for a family of five (Which?).

Flights have jumped too:

  • +2.8% in Europe and North America

  • +3.7% in the Middle East

  • +2.3% in Asia

  • +13.7% in Australia (BTN)


And here is the twist: jet fuel prices have actually fallen by 13%, saving airlines $25 billion globally (IATA). So why are fares still climbing?


It comes down to inflation, supply chain issues, airport fees, rising wages, and global conflicts. But that is just the starting point. Once you look deeper, the hidden extras really start stacking up.


Flights: Taxes, Baggage, and Seat Fees


✈️ Air Passenger Duty & Flight Taxes


In the UK, passengers pay Air Passenger Duty from £13 for short-haul flights to £224 for long-haul premium seats. Other countries charge too:

  • Germany: €70.83 per flight

  • France: up to €120 “eco tax”

  • Netherlands: €29.40 levy

  • U.S.: taxes and fees make up 20–25% of ticket cost


Then there is seasonal pricing. Airlines hike fares around school holidays, Christmas, or big events. For example, a £150 Toronto–Montreal flight skyrockets to £800+ during the Canadian Grand Prix weekend.


🧳 Baggage & Seat Selection Fees

  • Seat selection: £20+ per person, per flight

  • Checked luggage: £50–£70 return

  • Some airlines now charge for cabin bags

  • Extras like food, drinks, speedy boarding, and exit row seats also add up


That “cheap” fare suddenly does not look so cheap.


Getting to the Airport: Transfers & Parking


Airport fees are becoming notorious. At Edinburgh Airport in the UK, simply dropping someone off costs £6, and parking can be £18 per hour if you want to walk them in.


Taxi fares in major cities also add up fast:

  • Paris: £29.12 for 5 miles

  • London: £27.96

  • Milan: £24.57

  • Osaka: £24.06

  • Amsterdam: ~£24


Tourist Taxes: Paying to Stay


Cities and countries are increasingly adding tourist taxes, charged per night or per visitor:

  • Paris: €0.65–€15.60 per night

  • Barcelona: up to €6.75 per night

  • Venice: €5 day fee, €1–€5 overnight

  • New York: 14.75% hotel tax + $3.50 nightly fee

  • Bhutan: $100 per person, per day (sustainable fee)

  • Edinburgh: 5% accommodation tax from 2025


Accommodation: Hotels & Airbnb


Hotel rates are climbing worldwide:

  • Edinburgh hotels: +82% since 2019

  • London: +26.5%

  • Napa Valley: $440 per night (double San Francisco)

  • Forecast: +3–5% rises in London, Paris, New York; +9% in Delhi (Amex GBT)


Plus, U.S. “resort fees” add $20–$50 per night, and Airbnb cleaning fees average £75 per stay in Europe, sometimes higher than the nightly rate.


Visas & Entry Fees


Visa and entry costs can add up quickly:

  • U.S. ESTA: $21

  • Vietnam: ~$25

  • Turkey: £20–£60

  • New Zealand: NZ$35 levy

  • EU ETIAS: €20 from 2026

  • UK ETA: £16


For a family, this could be hundreds before the holiday even starts.


Food & Drink: The Tourist Markup


  • Restaurants near attractions often charge 30–50% more than local spots.

  • Bottled water costs add up where tap water is not safe.

  • In some European countries, mandatory service charges of 10–15% are added to bills.


Currency & Payment Costs


  • Airport exchange kiosks: 10% markup over market rates.

  • ATMs abroad: 1–3% withdrawal fees.

  • Dynamic currency conversion (DCC): another 1–3% fee when using cards.


Insurance & Safety Costs


Travel insurance prices have risen since COVID, and many policies now exclude strikes, pandemics, and extreme weather unless you pay extra.

Adventure sports like skiing, diving, or trekking? Expect £20–£50 add-ons per trip.


The Real Cost of Travel and How to Save


When you add up taxes, fees, and hidden charges, it is no wonder travel feels expensive in 2025. But knowledge is power, and there are ways to stretch your budget further:

  • Book ahead (flights, hotels, attractions, restaurants)

  • Use local tourist passes for discounts

  • Travel off-peak if possible

  • Use public transport instead of taxis

  • Avoid restaurants by major attractions

  • Carry a refillable water bottle where safe


Final Thoughts


The headline price of a flight or hotel might look tempting, but the true cost of travel is always higher once you factor in hidden charges. By planning smartly and knowing what to expect, you can save money for the experiences that actually matter.


👉 What is the biggest hidden travel cost you have been stung by? Share it in the comments below the video!


And if you found this guide useful, do not forget to subscribe to The Tourist Route on YouTube for more travel insights and tips.




Sources Mentioned

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