Cost of living crunch forces millions of Australians to choose camping over hotels

Camping with dog Photo: istock Escape 18 Jan 2026 Kendall Hill Column

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Millions of Aussies are trading hotel rooms for tents in a bid to save money on a holiday.

New research by Finder has revealed that 12 per cent of 1006 survey respondents – equivalent to 2.6 million people – have gone camping in the past two years to save on accommodation costs.

And almost almost a third (27%) of Australians say they haven’t been on a holiday in more than two years.

Finder personal finance specialist Taylor Blackburn said many Australians had simply been priced out of traditional holidays.

“Plenty of people are skipping flights and fancy resorts altogether as the cost-of-living crunch reshapes the way we holiday,” Blackburn said.

“For a growing number of households, the choice isn’t between Bali or Byron anymore – it’s camping or your own couch.

“Camping has long been a rite of passage for families, with many generations learning to connect with nature and one another without breaking the bank.

“Many are now rediscovering that tradition out of necessity.”

A young father and his daughter sit by a campfire near a tent Photo – iStock

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Blackburn said rising costs mean many Australians are going years without a proper break.

“Camping offers something many families are craving right now – a genuine escape that’s affordable, flexible and doesn’t come with a four-figure accommodation bill,” Blackburn said.

Finder’s research showed that one in five (19%) Australians had gone camping just for fun in the last two years.

Blackburn encouraged households to plan holidays by setting a realistic budget early and to choose options that don’t derail their savings goals.

“Opt for holidays you can afford upfront, not ones that add pressure to already tight budgets or put you into debt,” Blackburn said.

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The couple earning $200k a year from a backyard flatpack

Bali has always been seen as a budget holiday for Aussies. Photo – iStock

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Previous Finder research found 5 per cent of Aussies have gone into debt to take a holiday they couldn’t afford.

Last year, NRMA revealed that the caravan industry was continuing to defy cost of living pressures.

A survey conducted by the Tourism and Transport Forum (TTF) at the time revealed the cost of living crisis had affected the travel plans of 58 per cent of Australians.

Of those surveyed, 38 per cent said they would opt for shorter holidays than originally planned, while 31 per cent said they would holiday in Australia rather than overseas.

In January this year, the Caravan Industry Association of Australia revealed that demand for caravan holiday park accommodation had hit record highs.

Data revealed that park occupancy reached all-time December highs across every accommodation category in 2025, setting new benchmarks for cabin, powered and unpowered site occupancy.

The Gold Coast (87 per cent) led cabin occupancy in December, followed by the Sunshine Coast (83 per cent) and the NSW Central Coast (80 per cent), the research revealed.

Meanwhile, Perth recorded the highest powered site occupancy at 85 per cent, ahead of the Sunshine Coast and Gold Coast (both 77 per cent).