According to recent studies, Canadian interest in travelling is lower than ever before in 2025. Many Canadians are saying goodbye to their annual vacations and opting for staycations or local experiences instead. 

As the world faces ongoing challenges, Canadians are re-evaluating their travel priorities, seeking to explore their own backyard rather than venturing abroad. In this blog, we will delve into the reasons behind this travel decline and highlight the incredible local destinations and experiences waiting to be discovered right here at home. 

Join us as we navigate this new era of travel and find out how Canadians are redefining what it means to explore and enjoy the world around them.

Only 60% of Canadians are Planning a 2025 Vacation

According to Allianz’s annual vacation confidence study, only 60% of Canadians plan to vacation in 2025. A lower percentage compared to previous years, though interest has notably declined in the past several years overall.

Last year, Allianz reported that 70% of Canadians were planning a 2024 vacation. The study also found that young Canadians were particularly interested in travelling. 

In general, Canadians have always been one of the countries most eager to travel, even in the face of economic challenges like the aftermath of the COVID-19 virus; another reason why the lack of interest in 2025 is so note-worthy. 

Why Canadians are Travelling Less in 2025

This begs the question: Why are Canadians travelling so much less in 2025 than other years?

Allianz’s 2025 Vacation Confidence study found that:

1. 43% of Canadians said they can’t afford a vacation.
2. 50%+ of Canadians said that inflation made them scale back their 2025 vacation plans. 
3. 60% of Canadians said they simply don’t want to spend the money.

These results show a level of economic uncertainty, one that has been present in Canada for several years now. However, Canadian travel interest has always persevered despite economic uncertainty, until now. 

Are Canadians Travelling Less Because of Trump’s Tariff War?

Is the tariff war between Canada and the United States responsible for a lack of interest in travel? It very well could be. 

One of the hottest topics in Canadian media right now is The Canada-United States tariff war. It was a major deciding factor in the recent election, and potentially even a factor in Canada’s economic insecurity and lack of travel interest. 

With what was once a lucrative trade agreement being put to a complete halt, people across Canada are already wondering how it will affect inflation. Even before the tariff war, inflation was already a growing concern. 

Most notably, Canadians across the country are participating in a boycott of U.S. travel due to the tariffs. Let’s see some of the numbers:

• According to Forbes, Canadians travelling by car to visit the U.S. have declined by 32% compared to last year. 
• According to Statistics Canada, air travel to the United States from Canada has decreased by 13.2% compared to 2024.

Overall, we believe we can crumble the lack of travel interest down to three major factors:

1. The United States-Canada Tariff War.
2. Years of steadily increasing inflation in Canada.
3. A lack of housing affordability, with more Canadians choosing to save for a house than travel. 

Staying Closer to Home: The Canadian Travel Shift in 2025

Canada is filled to the brim with travel lovers, so it should be no surprise that we’ve found a new way of travelling that doesn’t break the bank. From staycations to local travel, this growing trend shows that you don’t always need to break the bank to travel. 

Local Travel

Canada offers accessible experiences that cater to all preferences and budgets. Nature enthusiasts flock to national parks for hiking, camping, or simply enjoying the breathtaking scenery that Canada is renowned for.

Art walks, foodie tours, and historical sites are garnering attention as hidden local treasures. Local festivals and events are also experiencing a renaissance. Whether it’s a food festival in Montreal or a music festival in Calgary, these domestic travel experiences enable individuals to make meaningful memories without travelling out-of-country. 

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Staycations

Staycations—a trend that’s gained traction in recent years—encourage Canadians to rediscover their cities and regions without the logistical challenges and costs associated with long-distance travel. With the rise of rental platforms and unique accommodations, people are finding new ways to enjoy a change of scenery, whether it’s by spending a weekend in a rustic cabin in the woods or enjoying a chic hotel stay in the heart of a bustling city.

If you live near cities like Toronto, Vancouver, or Edmonton, there are plenty of fun experiences awaiting just a short drive away. Toronto locals could visit the classic CN Tower, stroll through the famous Distillery District, or sight-see at High Park. 

Vancouver houses dozens of stunning and thrilling tourist locations, including Grouse Mountain, Lynn Canyon, and the Capilano Suspension Bridge.

In Edmonton, families and adventurers can explore the massive West Edmonton Mall, paddle along the North Saskatchewan River, or discover wildlife at Elk Island National Park.

Many Canadians underestimate the experiences available just a drive away from them. It’s a great way to have the experience of a vacation without spending thousands of dollars and stressing about long travel times. 

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