The UK staycation market has fundamentally changed since 2020. Here's what the data shows, which regions are thriving, and how holiday home owners can capitalise.
The story of UK domestic tourism since 2020 is one of the most dramatic structural shifts the British travel industry has ever seen. What began as pandemic-enforced necessity — Brits discovering (or rediscovering) their own coastlines, countryside, and cities — has evolved into something more enduring: a genuine reorientation of British holiday habits.
Five years on from the first national lockdown, the question for holiday home owners is no longer 'is the staycation boom real?' It clearly is. The question is: what does the landscape look like now, which properties and locations are winning, and what do the trends of 2025 suggest about how to position a UK holiday let for long-term success?
VisitBritain's domestic tourism data tells a consistent story. In 2019, UK residents took approximately 97 million overnight domestic trips. By 2021, pent-up demand and the absence of international travel pushed that figure dramatically upward. While 2022 and 2023 saw some international travel restore, domestic overnight trips have remained structurally elevated — running approximately 12–18% above pre-2020 norms across most of the UK holiday market.
The self-catering accommodation sector has been the primary beneficiary. Hotel capacity constraints during the boom period pushed many guests to try self-catering for the first time, and a significant proportion have continued booking it since. The self-catering market has grown from approximately £5.5 billion in 2019 to an estimated £7.5–8 billion by 2024, representing one of the most sustained expansions in any UK accommodation sector.
Initial commentary suggested the staycation surge would be temporary — that as soon as international travel opened, Brits would return to their habitual patterns. That hasn't fully materialised, for several interconnected reasons:
International travel has become meaningfully more expensive since 2019. Flight costs, foreign exchange rates, travel insurance, and the rising prices of accommodation in popular European destinations have collectively pushed the cost of a comparable family holiday abroad well above the domestic equivalent. For a family of four, a week in Cornwall versus a week in Ibiza is no longer the clear cost-versus-experience trade-off it once was.
A growing segment of UK travellers — particularly those aged 25–45 — are making active choices to reduce flight-based travel. This isn't a marginal group: surveys consistently show that 30–40% of UK adults express some degree of 'flight shame' or sustainability-linked preference for domestic travel. For many, a UK holiday is now a values-aligned choice, not just a budget one.
The staycation boom itself drove a significant quality upgrade across the UK self-catering stock. Hosts who once offered 'good enough' properties invested heavily during the boom years when occupancy and rates were high. The result is that the gap between a top-tier UK holiday let and a European apartment has narrowed considerably in terms of quality, amenities, and experience.
Many Brits who had defaulted to international travel for years discovered UK destinations they'd never visited. The Lake District, the Scottish Highlands, the Pembrokeshire Coast, and the North Yorkshire Moors attracted guests who had no idea what they'd been missing. This 'new to domestic' guest segment has continued to travel domestically in subsequent years.
Not all UK holiday destinations have performed equally. The pattern that's emerged is one of stratification:
Cornwall and Devon: The perennial stars of the UK self-catering market, combining dramatic coastline, excellent food and drink culture, and strong regional identity. Both counties maintain occupancy rates among the highest in the country, though supply has expanded significantly and the competition has intensified.
The Scottish Highlands and Islands: High appeal among both domestic and international guests. The remoteness that once deterred casual visitors has become a selling point in an era when disconnection and dramatic landscapes are sought after. Occupancy rates in prime areas like Skye, Loch Lomond, and Glencoe remain very strong.
The Cotswolds: Perpetually popular, increasingly international (the area appears extensively in US-facing media), and commanding some of the highest nightly rates per square foot in the UK self-catering market.
Lake District: Strong year-round demand, boosted by excellent walking and cycling infrastructure and a growing food and drink scene.
Northumberland: Low supply relative to demand, outstanding coastline, and proximity to the major population centres of Newcastle and Edinburgh. Properties in Northumberland command strong rates with relatively low competition.
East Anglia (Suffolk and Norfolk): Historically underestimated, the Norfolk Broads and the Suffolk Heritage Coast have experienced strong demand growth from London and the South East. Lower entry prices compared to South West England make it attractive for new investors.
Wales: Pembrokeshire remains outstanding but has seen strong competition growth. However, mid-Wales, the Brecon Beacons (now Bannau Brycheiniog), and the Llŷn Peninsula represent genuine under-supplied quality markets.
Yorkshire Dales and Moors: Strong demand, excellent value relative to more famous destinations, and a culturally rich offering including food, heritage, and walking.
The profile of the UK staycation guest has matured and diversified since the early boom years. Understanding who is booking — and what they want — is essential for positioning your property competitively:
Families who started taking UK holidays during the pandemic and have continued doing so. They've become more discerning — they've now stayed in several UK self-catering properties and they know what good looks like. They want games rooms, enclosed gardens, reliable heating, and proximity to child-friendly activities. They book early and research thoroughly.
Couples in their 30s–50s are a growing share of short-break bookings. They seek romantic settings, quality kitchens for cooking, interesting local food and drink, and activities they can do together. Hot tubs, coastal settings, and proximity to good restaurants all perform well for this segment.
Birthday, anniversary, and 'big' birthday trips represent a significant share of large-property bookings. Groups of 6–12 adults celebrating a milestone are high-value guests: they tend to book for long weekends, pay above-average rates, and often rebook for future occasions if the experience is excellent.
As discussed in other posts, the remote work flexibility that makes 1–4 week stays from a holiday location feasible has created a new and valuable demand segment for UK self-catering.
Avoid generic descriptions ('beautiful countryside', 'stunning views'). Specificity builds credibility: name the beach, describe the walk, mention the restaurant that's five minutes away. Guests researching UK staycations are doing detailed research — meet them where they are.
The UK self-catering market has seen significant supply growth. Price competition alone is a losing strategy. Invest in the details that make your property memorable: great beds, proper kitchen equipment, thoughtful welcome touches, local information that guests wouldn't find on TripAdvisor.
Statistically, guests who have already stayed in the UK and specifically enjoyed your region are the highest-intent future guests you can market to. Capture email addresses, send a genuine seasonal follow-up, and offer previous guests a direct booking incentive.
The staycation market has extended the traditional UK holiday season at both ends. Late autumn and early spring breaks are now genuinely popular in many UK destinations. Properties positioned for year-round occupancy — with good heating, log fires, and activities that work outside summer — can significantly improve annual revenue.
School holiday weeks command exceptional premiums. Bank holidays, regional festivals, and sporting events create localised demand spikes. Static pricing leaves substantial money on the table; dynamic pricing captures it.
The staycation boom attracted significant new supply. Airbnb UK listings grew by over 30% between 2019 and 2023, and the self-catering market as a whole has more professional operators than ever before.
This doesn't mean the opportunity has gone — far from it. But it does mean that the hosts who succeed in 2025 are those who are more professional, more strategic, and more guest-focused than the average. The rising tide of quality demand rewards quality supply.
LetPilot is designed for the modern UK holiday home owner — helping you manage bookings, automate guest communication, set dynamic pricing, and understand your property's performance across every channel. In a market that's become more competitive but also more rewarding, the right tools make all the difference. Try LetPilot free at letpilot.co — no credit card required.