A new survey finds that just 46% of people anticipate taking a summer vacation in 2025. That’s a historic plunge from the 53% who planned to take a trip next year. This deepening decline reflects an alarming change in consumer sentiment as economic uncertainty continues to weigh on the minds of would-be travelers. While there was a decline, fewer people overall are currently planning to skip a summer trip entirely. The percentage drop from 29% for the year 2024 down to 24% for 2025.
Financial constraints emerge as the biggest reason not to travel. Among those who don’t plan on traveling, 65% point to financial constraints as the top reason. You’re not alone if you have this fear—most of our respondents do. In actuality, 68% think that the cost of day-to-day living is a bigger concern than their fears about vacation costs. Further, two in three are fearful about the cost of travel overall.
According to the survey, nearly 3 in 10 (29%) said they will fund their upcoming summer vacations with debt. That’s a drop from 36% in 2022. In other words, this shift is a sign that consumers are taking greater care in their short-term financial decision-making. They’re rolling with punches from increased inflation and economic uncertainty.
The travel and tourism industry adds approximately 3% to the U.S. gross domestic product, employing around 6.5 million people in 2023. At the moment, this industry is dealing with an unclear picture. Spending in hotels, on flights, and other tourism-related activities has more than surpassed pre-pandemic domestic spending levels. Yet recent tariffs and a looming recession have forced many would-be travelers into a wait-and-see mode for their summer plans.
The amount of respondents who say they are “not sure” of their future vacation plans has gone up. It soared from 18% in 2024 to 23% in 2025. The reasons for this uncertainty are numerous. Inclement weather in parts of the country and a much later Easter holiday could have pushed some travel-related spending into April.
“We’re seeing more layoffs and the potential for higher prices, which has many people on edge,” a source from CNBC Travel noted.
Wealthier travelers seem to be reacting very differently than lower-income travelers. The latter group, according to media accounts, is suddenly reducing business travel budgets at twice the rate of those in higher income brackets. On the other hand, it could be wealthier Americans simply deciding to pay up to go abroad, indicating a more positive interpretation of economic stressors.
“Airlines are warning about lower demand and lower profits, and we’re hearing some concerns from potential international visitors to the U.S. because of political reasons,” stated Ted Rossman, a travel analyst.
An analysis from Bank of America indicates that the drop in consumer confidence is damping the travel plans of many would-be travelers. “It could be that the recent drop in consumer confidence is translating into people hesitating to book trips or considering paring them back,” the report indicates.
Despite these challenges, some travelers remain undeterred. Rossman added, “Despite the gloomy mood, we’re still seeing a lot of travel.” This sentiment suggests that while economic anxieties may hinder some individuals from planning vacations, others are still willing to invest in leisure travel.