Travel & Tourism contributed almost US$3 trillion to Europe's GDP in 2025 — 9.4% of the regional economy — and the World Travel & Tourism Council now wants governments to act on eight strategic priorities to capture the next decade of growth. WTTC released the report, Travel & Tourism in Europe: A Deep Dive Into Growth, Outlook and Policy, at its 26th Global Summit in Valletta.

The sector supported 40.7 million European jobs in 2025, roughly one in ten across the region. WTTC forecasts growth of 3.1% in 2026, well ahead of the 1.1% projected for the wider European economy. Non-EU countries accounted for more than a quarter of the sector's contribution, at US$834 billion, led by the UK, Europe's second-largest Travel & Tourism economy.

"Our research shows where policy can make the greatest difference: faster digital visas, more visitors from beyond Europe, stronger investment and a skilled workforce," said WTTC President & CEO Gloria Guevara. She added: "Policymakers across Europe have a rare opportunity to treat Travel & Tourism as the strategic sector it is."

What does the report recommend?

The eight priorities, aligned with WTTC's globally endorsed strategic priorities approved by its Executive Council, are:

• Seamless travel. Schengen states issued 5.3 million multiple-entry visas in 2025, 40% fewer than in 2019, with their share of all visas falling from 59% to 51.7%. WTTC wants an accelerated digital Schengen visa, restored multiple-entry visas, an EU-wide trusted traveller scheme with reciprocal recognition of programmes such as US Global Entry, and a workable biometrics framework at EU airports.
• Diversified source markets. 74.3% of international arrivals to Europe in 2025 came from within Europe. Arrivals from Asia-Pacific remain 4.8% below 2019, with China 43.2% below pre-pandemic levels. WTTC recommends market-mix targets, stable promotion budgets and public-private marketing in long-haul markets.
• Higher investment. Sector investment reached US$259 billion in 2025, up 7.1% year-on-year but still 3.6% below 2019, and behind Asia-Pacific (US$395 billion) and North America (US$273 billion). WTTC calls for the sector to be recognised as a strategic ecosystem in the 2028–2034 Multiannual Financial Framework, with direct access to EU investment instruments and better finance for SMEs.
• Sustainable tourism. The sector produced 6.3% of Europe's greenhouse gas emissions in 2024, with emissions intensity down 14.8% since 2019. Mediterranean destinations capture 52.2% of Europe's international visitor spending and face high heat and water stress.
• Destination stewardship. International arrivals are forecast to reach 1.14 billion by 2036, up from 757.3 million in 2025. WTTC recommends value-based targets, tools to spread visitors across places and seasons, and transparent, ringfenced visitor levies.
• Talent. Young people hold 13.1% of direct sector jobs against 8.3% across the wider economy. Workforce shortfalls of 26% in Germany and 27% in Greece are projected by 2035. Recommendations include apprenticeship pathways, wider recognition of the Hospitality and Tourism Skills Passport, and early completion of the UK-EU Youth Experience Scheme.
• AI adoption. WTTC wants targeted grants, skills training, expert advice and shared digital tools so SMEs are not left behind, with human-centred, transparent and proportionate AI regulation.
• Connectivity. Interoperable travel information, accessible booking platforms and integrated cross-border ticketing across air, rail, maritime and road, alongside decarbonisation measures that protect essential air links.

Why does the timing matter?

The report lands amid strong policy momentum. Countries across Europe are rolling out new national tourism strategies, the European Commission is preparing the EU's first dedicated tourism strategy, and negotiations continue on the 2028–2034 MFF. The European Parliament's April 2026 resolution called for tourism to be treated as a strategic economic sector with dedicated funding, and the Council added its conclusions in May 2026.

Europe remains the world's leading region for international tourism, with 757.3 million international overnight arrivals in 2025 — 49.1% of the global total — and US$835 billion in international visitor spending, 41% of the world total. Germany is the region's largest Travel & Tourism economy at US$566 billion, followed by the UK (US$380 billion), France (US$312 billion) and Spain (US$291 billion). Spain leads on international visitor spending at US$130 billion, with in-destination spending per visitor of US$796, 1.7 times the European average.

Host Malta was a standout performer. The sector contributed US$4.6 billion to the Maltese economy in 2025, up 16.8% against 4% for the wider economy, representing 16.6% of GDP and one in five jobs. International visitor spending reached US$3.9 billion, 47.5% above 2019.

WTTC forecasts the sector's contribution to European GDP will grow at an annualised 2.2% over the next decade, reaching US$3.8 trillion by 2036 and supporting more than 50 million jobs — 8.3 million more than in 2026. How much of that growth lands in Europe now depends on the EU's first tourism strategy, the MFF negotiations and national strategy implementation over the coming months. The research was produced with Oxford Economics and Chase Travel, WTTC's Lead Research Partner.