Airbnb and Oxford Economics reveal the economic impact of major UK events

When tickets for the UK leg of Taylor Swift’s latest tour went on sale last July searches for Airbnbs in London, Edinburgh, Cardiff and Liverpool during the Star’s concert dates surged an average 337%¹ for show nights, compared with searches for those dates the previous month, bringing a welcome boost to the UK hospitality industry.

This surge in demand is a testament to the power of ‘Swiftonomics’ and the broader travel trend coined ‘passion tourism’, which is influenced by music, sports and other cultural events, that can deliver significant economic benefits to host destinations throughout the UK. 

The pop star’s influence on spending has already made waves across the pond, with the US Travel Association estimating that the US Eras Tour has likely generated an economic impact surpassing $10 billion², as a result of fans’ expenditure on accommodation, dining, travel, and merchandise. 

The UK is seeing the makings of a similar effect thanks to travelling concert goers: 

• Edinburgh is the city that saw the biggest surge in searches on Airbnb for the Eras Tour dates, with a more than 500% month on month increase in July 2023 when tickets went on sale, compared to searches for those dates the previous month³. 
• London is also attracting increased visitor attention amidst the buzz of the Eras Tour. Despite the city already enjoying consistently high levels of tourism, searches for accommodation for the London tour nights more than tripled⁴ upon the release of tickets for the highly anticipated June and August 2024 performances, compared with searches for those dates in June 2023. 
• Liverpool and Cardiff are also hoping to welcome more tourists as ‘Swifties’ prepare to travel for the concerts and explore both cities. Searches for Airbnbs shot up more than 350% in Liverpool⁵ and more than 250% in Cardiff⁶ for Taylor’s concert nights when tickets went on sale in July, compared with searches for those dates in June. 

The anticipated impact of passion tourism by Swift fans on these cities is supported by new research from Oxford Economics, commissioned by Airbnb, quantifying the economic impact of passion tourism through the lens of three major events – The European Song Contest in Liverpool (2023), the Commonwealth Games in Birmingham (2022) and COP26 in Glasgow (2021). Together, these events alone contributed over £36 million to UK GDP with Airbnb guests estimated to have spent a combined £31.5 million while attending. 

Liverpool welcomed 5,900 guests⁷, with local restaurants and retailers being some of the biggest beneficiaries. Airbnb guests are estimated to have spent £2.8 million in local communities during the European Song Contest. Birmingham and Glasgow saw guest numbers at 14,000 for the Commonwealth Games and 40,000 for COP26 – with £5.3 million and £10 million respectively being spent by Airbnb guests on local restaurants, retail, transport, entertainment. 

Beyond host cities themselves, there is also a halo effect on surrounding areas, which can reap the benefits of guests spilling over into otherwise less visited towns. Around 40% of guest nights for the Birmingham Commonwealth Games on Airbnb were in six neighbouring local authorities, including Coventry and Solihull, which benefited from major venues like Coventry Arena and the National Exhibition Centre (NEC).

For each of these events, Airbnb played a key role in helping the cities to increase the supply of flexible and affordable accommodation, while reducing the need for additional infrastructure. Oxford Economics estimates that an additional 25,300 hotel rooms would have been required to accommodate all Airbnb guests during the three events. The Airbnb supply also reduced accommodation prices by £30 per night on average across the three cities. 

“Live music, sports and cultural experiences have become an even bigger draw for tourists post-pandemic. Over the past three years, we’ve seen how major events can elevate different places to the world stage as they welcome guests from across the globe and Taylor Swift’s tour this summer will be no different. We’re proud to help towns and cities across the UK host these moments, enabling local businesses and families to benefit from the tourism economy.”

Amanda Cupples, General Manager of UK & Northern Europe for Airbnb

“Eurovision 2023 in Liverpool will go down as a milestone moment in this country’s cultural history, and a major part of why we are regarded as the most successful host city of all time is the Team Liverpool approach to working with partners. Working with Airbnb opened up additional opportunities for visitors heading to the city, ensuring their experience here was an unforgettable one for all the right reasons.”

Liverpool City Council’s Culture Director, Claire McColgan CBE

“Liverpool really comes alive during major events and we’re always fully booked for the Grand National or the important football matches. Eurovision last year was definitely the biggest cultural moment yet for us as Airbnb Hosts. We had a German family staying with us that had Liverpudlian roots, but they hadn’t  been able to come to visit for over 30 years until the show! I expect Taylor Swift this year will be equally special. I have mother daughter duos staying during her concert dates who will get to see the city at its best, boosting all the nearby local businesses as they take it in.” 

Gill Gradden, Crosby local and Airbnb Host