Mexicans scale back vacations as inflation and travel costs surge

Mexicans are cutting back on holiday plans as rising costs and inflation concerns grow. A recent survey shows confidence in vacation spending has dropped sharply, falling from 41.8 points in May 2025 to just 37.5. At the same time, prices for travel, fuel, and dining out have climbed steeply.

The latest consumer confidence survey, carried out in Mexico between 1 and 20 May, revealed a clear decline in enthusiasm for travel. People’s faith in price stability over the next 12 months also weakened, slipping from 18 to 15.3 points. Financial institutions now expect inflation to stay above 4% in June, adding to economic worries.

Costs for travellers have risen sharply in recent weeks. Airfares jumped 13.3%, the biggest increase since December 2024. Premium gasoline prices surged 10.6%, the steepest rise since February 2022, while long-distance bus tickets went up 6% and highway tolls climbed 4.3%. For those already on holiday, restaurant bills rose 6.1%, hotel rates increased 5.2%, and travel packages became 4.8% more expensive. Analysts link some of these price hikes to the upcoming World Cup in Mexico City. Barclays researchers predict the tournament will push up demand—and costs—for flights, hotels, and local transport. The spike is expected to be temporary but could further strain household budgets in the short term.

With inflation lingering above 4% and travel expenses rising, fewer Mexicans now feel confident about taking holidays. The World Cup may drive prices even higher in the coming months. For many, this summer’s trips could end up costing far more than planned.