Higher travel prices expected to stick around
Summer vacation may put a freeze on your wallet.
The sticker shock is real, especially when it comes to travel, and the higher prices are putting many of you on the hunt for better rates.
Experts say we’re starting to see prices go back to pre-pandemic levels. Airfares were up 24% this May compared to last year, when we were in the height of the pandemic and people weren’t comfortable traveling and getting on planes.
President of Tourism Economics Adam Sacks said while that 24% jump in price now seems worrisome, fares are still lower than before the pandemic. However, we’ll keep seeing those higher prices.
“Partly because we’re not fully back to where we were pre-pandemic both on airfares and hotel prices, but also because wages are rising in the industry because it’s been difficult to bring employees back,” Sacks said.
Experts say this increase is because more people are getting on planes, including at Southwest Florida International Airport, which has seen its passenger numbers soar over the last few months.
United Airlines CEO Scott Kirby said the pandemic is still taking a financial toll on business travel, especially with a rise in delta variant COVID-19 cases.
Air travel is still down 60% from pre-pandemic levels.