Once a place for affordable holidays, recent price increases have left tourists looking elsewhere
Croatia is a popular holiday destination known for its affordable prices and has attracted tourists from across Europe, including the UK, Germany, Austria, Czech Republic and Italy. But recently holidaymakers have faced a surge in prices which has put visitors off.
In some places prices have risen by more than 50 per cent, which has made Croatia more expensive than two of its biggest rivals, Spain and Greece.
Over the same period costs in the two Mediterranean countries have only risen by 15 to 20 per cent in the same period, the Express reports.
It’s now putting Croatia’s reputation as an affordable travel destination at great risk. The soaring costs are not the result of external factors – such as energy costs or value-added tax (VAT) rates.
In fact the country boasts some of the lowest energy prices within the EU and a reduced tourism VAT rate of 13 per cent.
The main cause for the price spike lies in the rising operational costs within the hospitality industry.
Higher prices have seen a stagnation in overnight stays and worryingly a decline in tourist spending.
During the peak summer season last year, foreign tourism revenue in Croatia fell by 0.7per cent compared to the previous year.
Tourists have vented their anger at the steep rise in prices on travel review platforms, like Tripadvisor.
One Norwegian was left deeply disillusioned after holidaying in Croatia last year.
“Everything is much more expensive than before,” they wrote. “Prices are abnormally high and have probably increased two to three times in two years.
“The price of a sunbed is 25 to 30 euros! Croatia was our first choice for a summer vacation, but now everything has unfortunately become too expensive.
“I don’t know if we will return. I’m sorry that Croatia is developing in this direction.”
However, a UK tourist didn’t see any evidence of a steep rise year-on-year.
They wrote: “Comparing what we spent in Rovinj on food and drink in 2023 and what we spent in Hvar this year was very close interestingly.
“There wasn’t a great variation of prices. The only difference was that Rovinj was a bit better value wine wise with more in the way of carafes on offer.”
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