16 September 2025

Why would anyone holiday in Australia anymore when it's often cheaper to go overseas?

| By Oliver Jacques
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Cairns Esplanade

A holiday in Cairns might cost you more than a trip overseas, which isn’t great for the future of domestic tourism. Photo: Cairns Tourism.

I remember discussing holiday plans with classmates when I was at primary school – many of us would be bound for the South Coast, a few lucky ones off to Queensland, but only the spoiled rich kids would get to brag about an exotic overseas destination.

Nowadays, it seems you need to be wealthy to contemplate a non-camping getaway within Australia, while those on a budget would be better served by jetting abroad.

For travellers from Canberra planning a trip during the upcoming school holidays, the minimum cost for return flights is approximately $400 to Melbourne, $500 to Brisbane, $700 to Cairns, and over $1000 to Townsville.

A good quality hotel in these destinations is around $200 a night and feeding a family in a nice restaurant is in the same ballpark. If you want to visit theme parks, a winery or attend a football match or the theatre, you won’t find many bargains.

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Most of our cities and regional towns are not well served by public transport, so hiring a car is often necessary, which might set you back another $80 to $100 per day.

If you don’t stay with relatives (which may negate the purpose of a holiday escape), costs add up rapidly. A recent five-day trip to the Sunshine Coast with my wife set us back about $3000, without any extravagant spending. We didn’t even take any kids, which would have increased the cost substantially.

When we got back home, we wondered why we didn’t just go overseas. A week-long trip to Vietnam we’d taken last year was much cheaper. The flights were only a little pricier, but we stayed in luxurious accommodation for $70 a night, ate like kings for a few dollars and took taxis to all the attractions for prices that were less than Sydney train tickets. We immersed ourselves in a different culture, cuisine and landscape for a fraction of the cost of experiencing the sameness of another Australian destination.

Even going to Europe might compare favourably with domestic tourism if you can find one of the many bargain flight prices on offer. On arrival, you’ll find far more quality budget accommodation options like guesthouses, public transport is generally more accessible and set meals at restaurants lower the cost of eating out.

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The high costs of tourism in Australia are unlikely to change any time soon. There is a lack of competition in a country with a relatively small population servicing large geographical areas. Two airlines, the Qantas group and Virgin, dominate the aviation industry and can charge whatever they want. High minimum wages, skill shortages and steep regulations mean hospitality operators need to keep prices high to remain in business.

It’s true that domestic tourism remains popular, particularly since COVID struck and going overseas wasn’t an option. But with international travel accelerating again, the future doesn’t look bright for an industry that employs over half a million Australians. Policymakers may need to come up with creative solutions to keep regional tourism viable – like the Western Australian Government’s move to cap the price of flights to Perth for regional residents.

In the meantime, an increasing number of our citizens are being priced out of travelling in their own country. For them, the choice is simple – stay home or look further abroad.

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Some very good points but has the writer considered why overseas travel can seem relatively cheaper than domestic? It’s very simple…the reason Australians can afford to travel in hordes is the very reason why air fares, accommodation, restaurants here are so expensive. It’s because of the very high wages, penalty rates and great working conditions enjoyed by our workers, which are way more than overseas staff are paid, especially in Asia. We’ve been travelling extensively for 50 years so I’ve seen it all. And btw while Bali and Bangkok can be cheap, don’t delude yourself that the UK, Europe and the USA have too many bargains for Aussie families at present.

Christopher Dinnison10:22 am 16 Sep 25

Hi Have a Airbnb on South Coast supply full kitchen, a bottle of wine bags of chips, chocolates, milk and farm fresh eggs on lovely property near secluded beach and garden with seasonal veggies for your use.
$200 a night, cheaper if you book for a week.
No airfare involved!!!

In my experience of travelling. You spend less in SEA countries plus China, India, Sri Lanka and Mexico. AUD is good in SEA. Western Europe is expensive, Eastern Europe little bit less than Western Europe.

We just spent two weeks in Thailand. In that two weeks we spent less than $150AUD total in food and drinks. (two persons)

The day before we left we went out for brunch in Kingston with three persons. $93.00.

A full day with a driver and car in northern Thailand. $35.00.

A 10m minute taxi from the Canberra Airport to Franklin… $55.00

Incidental Tourist9:27 am 12 Sep 25

It is not just holiday, everything is far more expensive. To be fair hospitality workers or caravan parks owners are not super rich at all. While accommodation cost is high the outgoing expenses are even higher. Extensive tax and regulation burden is a reason for costs blow out.

Definitely go to Asia for value. The AUD in Europe is worth about 3 clam shells and is quickly heading to two.

HiddenDragon11:48 pm 11 Sep 25

All of the points above about the value for money and competitiveness of what is on offer locally, compared to overseas alternatives, apply to much of the Australian economy – which goes a long way towards explaining why we have become so reliant on fossil fuel and other mining exports to pay for all of the goods and services (including overseas travel) which we buy from the rest of the world.

Even with significant government support green hydrogen is looking more and more like a mirage and the latest hope – Australia as a data centre for the world – will seem like a good idea until other countries do it quicker and better while we are going around in circles trying to do it without gas or nuclear.

This reality is why the sanctimonious exhortations from Pacific micro-states about the closure of fossil fuel industries (which only ever seem to be directed towards Australia) will continue to be ignored.

There are a lot of issues here aren’t there when looking at the expense of holidaying in Australia vs savings the dollars.

Cynically, it comes down to whether going overseas and saving the dollars, is more important to Australians, than the emissions incurred through international travel?

It very much is a question of our ethics.

Should those who are saving the planet, one EV at a time or those who chose a party based on, or partially based on their climate policies, fly internationally on holidays?

Is it ok to justify the overseas holiday because you’ve
sign-up for the government’s new Solar Battery scheme to save the planet?

Should Greta travel around the world campaigning for climate and Gaza?

Is it OK for those who oppose NVES and a fast transition to Net Zero, to justify their position on the basis that they just stay at home and just go camping with the kids?

Should all Australians “Make Australia Great Again”, or as motoring journalist John Cadogan would say “Make Australia Less Sh?t”, and spend their money in Australia, supporting local businesses, that employ Australians?

As for us, well, we’re no purists, however, we don’t have Passports, so we won’t be racking up the international emissions any time soon.
Flights are so freaking expensive in Australia that we’ll be travelling by public transport.😒

Trevor Bishop1:46 pm 14 Sep 25

Employ Australians i don’t think so, most Australians wouldn’t work in a iron lung. They don’t like the hours of employment in the tourism industry it interfears with their social life. Plus the ones who do work don’t want to be there and are rude. Most businesses here employ migrants because their appreciate the opportunity to get ahead. As for travelling overseas and leaving a carbon footprint that is BS and big scam perpetrated by the WHO UN WEF and the world elites. Wake up to yourselves and start fighting back against these tyrants.

This is so old news. I stopped holidaying here in the early 2000s. Even my dentist is in Bangkok. My dollar goes much further in SEA and the sights and experiences are genuinely better. We bang on about the reef and beaches but you can find gorgeous coral and sand in Indonesia and Timor for a fraction of the price. And the food is so much better in Thailand, Vietnam and elsewhere in Indo-China. Don’t even get me started on hotel prices. One night in a top Sydney hotel is equivalent to 7 nights in an equally swish place there.

Leon Arundell3:02 pm 11 Sep 25

If you care about this planet, you won’t fly overseas without a good reason. A single return flight to Europe causes more greenhouse emissions than the average person causes in a year.

Capital Retro3:08 pm 11 Sep 25

I read somewhere that shipping and aircraft cause 22% of global carbon emissions.

So, I hope all you climate-change warriors who have your annual cruise/Europe trip feel ashamed of yourselves.

But the planes going there anyway so no extra emissions !

Wow. I will not drive for one year so I can travel to Europe. But in the meantime I will use Ubers, taxis, trains, ferries, buses and maybe one of those plug in electric scooters for that one year!

Domestic vacation is too expensive for what is offered. European guesthouses provide an excellent free breakfast. Here, all you get is stale toast.
Friendly service in restaurants is virtually non existent. And why, with all our fantastic weather, is there so little outdoor dining available?

Substantial cost factors not mentioned is the cost of international travel insurance, particularly if one has pre-existing conditions, and, if not already held, obtaining a passport.

I had a cousin from overseas ask if I would travel around Australia with her. I said “no” for many reasons, I don’t have leave, it’s too expensive and i’m not interested. I know that sounds bad, and it’s not that I don’t want to spend time with my cousin but it’s a lot of time and money (that I don’t have) spent on something I don’t like.

A few years ago I travelled to QLD for a wedding. When I looked at the cost of travel I realized ‘I could fly overseas at that price.’ The flip side to that is, my relatives overseas RARELY come down here because it’s too expensive. Years ago when I was in College a teacher read an article titled ‘Australia, Once Visited but Never Returned.’ This was a shock to me but as years go by I’m starting to understand it more. Another point, the types of things I’m interested are more available overseas so why would I travel Australia?

Why would anyone holiday in Australia when overseas is soooooooo much more interesting and has more variety?

Gregg Heldon8:19 am 11 Sep 25

I agree with most of this, especially in South East Asia. Even in Singapore, you will get Michelin mentioned eateries in food courts that will sell set menus for less than $10-12.
Attractions being less than Sydney train tickets is correct but just remember, off peak Sydney train tickets are cheaper than Canberra bus tickets.

I was looking at some camping holidays in the NT and the nightly rate for sleeping in a tent was more expensive than staying at a five star city hotel.

Yeah, that’s not right. Why pay a fortune to live like a Hobbo?

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