The Future of the UK Staycation: What Could It Mean for Blackpool?

The staycation became one of the big travel stories of the pandemic. Unable to travel overseas, millions of Britons rediscovered UK holidays, coastal towns and short breaks closer to home. But several years later, with international travel firmly back, an important question remains:

Was the staycation simply a temporary phenomenon – or has the way we holiday in the UK changed more permanently?

The latest tourism research suggests the answer is more interesting than simply saying the staycation is booming. Domestic tourism remains a huge market, but travellers are becoming increasingly discerning about where they stay, what they spend and the experience they expect.

For established visitor destinations such as Blackpool, that could create a significant opportunity.

The UK Staycation Market Remains Huge

According to the latest VisitBritain figures, British residents made approximately 87 million overnight trips in England during 2025. Those trips generated around £29 billion of spending. That's an enormous domestic market. And despite economic pressures, the appetite for travelling within Britain remains strong.

VisitBritain's July 2026 Domestic Sentiment Tracker found that 74% of UK adults intended to take a domestic overnight trip during the following 12 months. So the staycation certainly hasn't disappeared. But it is evolving.

We're Taking Slightly Fewer Trips – But Spending More

One of the most interesting trends in the latest figures is the difference between the number of trips being taken and how much people are spending.

Average spending per overnight trip increased by 9% to £333 per person, while average spending on holiday trips reached £386 per person. That matters. The future opportunity for destinations may therefore not simply be about attracting ever greater numbers of visitors.

It may increasingly be about attracting visitors who are prepared to spend more for the right experience.

Quality Is Becoming More Important

There is another interesting clue in the accommodation data. Hotels accounted for around 40% of domestic overnight trips in England in 2025, compared with around 35–36% in previous years.

Meanwhile, self-catering accommodation continues to play an important role in the market. VisitBritain's separate short-term rental research found that in May 2026, UK short-term rental supply was around 4% higher than a year earlier.

Despite that additional supply, occupancy increased modestly and both average daily rates and average revenues reached new May highs. That suggests consumers remain willing to pay for short-term accommodation when the proposition is right.

Value for Money Will Matter

In July 2026, VisitBritain found that some of the biggest barriers to taking a UK overnight trip were:

• UK weather

• The rising cost of living

• Personal finances

This means destinations cannot simply increase prices and expect visitors to keep paying. Guests will increasingly ask: Is this worth the money?

For accommodation providers, that places even greater emphasis on quality, presentation, facilities and guest experience. A tired room at £140 per night can feel expensive. A beautifully designed apartment offering space, a kitchen, separate bedrooms and a great location at the same price can feel like excellent value.

That distinction could become increasingly important.

Shorter, More Flexible Breaks

Another important development is the way people book.

Recent VisitBritain research has identified shorter booking lead times, with fewer domestic trips being booked more than two months in advance. That fits with a broader move towards more flexible travel.

Rather than one traditional two-week annual holiday, many consumers now combine different types of travel throughout the year: a main holiday, a weekend away, a family break, an event, a concert, a couple of nights by the coast, or a spontaneous trip when the weather looks promising.

That type of behaviour potentially suits accessible destinations particularly well. And this is where Blackpool has an advantage.

Why Blackpool?

Blackpool doesn't need to invent a visitor economy. It already has one.

The resort has beaches, the promenade, theatres, entertainment, restaurants, major attractions, events and one of Britain's most recognisable tourism brands. It is also within relatively easy travelling distance of millions of people across the North West, Yorkshire, the Midlands and beyond.

Visitors don't necessarily need to plan six months ahead. They can decide to come for a weekend. They can visit for an event. They can add an extra night. They can return several times during the year. That accessibility fits particularly well with the increasingly flexible nature of domestic tourism.

But There Is a Challenge

Blackpool Council itself acknowledges an important issue. The resort still has more holiday accommodation bed spaces than it needs, with some accommodation businesses operating at marginal levels. That might initially sound like bad news for property investors. We think it points to something more interesting.

The opportunity isn't necessarily to create more accommodation. It is to create better accommodation.

The Blackpool Holiday Is Changing

The traditional Blackpool accommodation market was built around hotels, boarding houses, guest houses and B&Bs. Many continue to operate successfully. But consumer expectations have changed.

Guests increasingly compare accommodation not just with the property next door, but with places they have stayed across Britain and overseas.

They expect:

• Great interiors

• Excellent bathrooms

• Comfortable beds

• Reliable Wi-Fi

• Quality kitchens

• Simple digital booking

• Easy check-in

• Good customer service

• Professional photography

• Excellent cleanliness

• Strong reviews

This creates an opportunity to rethink some of Blackpool's existing property stock.

From Bed Spaces to Experiences

Perhaps one of the biggest opportunities for Blackpool over the next decade is to stop thinking purely in terms of beds. Today's visitor is buying an experience. Accommodation is part of that experience.

A family staying in a well-designed two-bedroom apartment isn't simply buying somewhere to sleep. They're buying:

• somewhere they can make breakfast.

• Somewhere they can sit together in the evening.

• Somewhere that feels part of the holiday.

That creates an opportunity for developers and operators who understand hospitality as well as property.

What Does This Mean for Property Investors?

It certainly doesn't mean buying any inexpensive Blackpool property and listing it on Airbnb.

Successful serviced accommodation requires careful analysis of: location, planning and permitted use, purchase price, refurbishment costs, competition, average nightly rates, occupancy, operating costs, management, and exit strategy.

Blackpool's planning policies around holiday accommodation also mean property selection is particularly important.

But for the right property, in the right location, with the right proposition, there is a strong investment case.

Our View

We don't think the future opportunity in Blackpool is about recreating the accommodation market of the past. Nor do we think it depends upon another pandemic-driven staycation boom.

The opportunity is more fundamental. Britain already has an enormous domestic tourism economy. Millions of people intend to continue taking UK breaks. Visitors are spending more per overnight trip. Short-term accommodation remains an established part of the market. And travellers increasingly expect better quality and better experiences for their money.

For Blackpool, the opportunity is therefore not simply: How do we attract more visitors?

It is also: How do we give the millions of people who already want to visit a better reason to stay – and a better place to stay when they get here?

For property investors, developers and operators prepared to focus on quality rather than simply quantity, that could create some very interesting opportunities.

At Collaborise Property Group, that's exactly the type of opportunity we help investors find, develop and maximise