Hotels in the Algarve are reporting stronger bookings for the Christmas and New Year period compared with last year.
Speaking to Lusa news agency, André Gomes, president of regional tourism board Turismo do Algarve, and Hélder Martins, head of the Algarve Hotels and Tourism Enterprises Association (AHETA), said early reservations point to a promising end-of-year season.
“Our outlook is to continue the sustained and sustainable growth that we have registered throughout the whole year,” said Gomes. “Our expectations are positive (…), at the moment, bookings for Christmas and New Year are already higher than those recorded at the same time last year.”
Gomes highlighted the region’s solid performance in the third quarter of 2025, covering the summer season, with a 2% rise in guests, 0.5% more overnight stays, and nearly 7% increase in revenue, largely driven by domestic tourists – the main market for New Year visits. He noted that this contradicts the perception that the Algarve is too expensive for Portuguese visitors and helps maintain the year-long growth trend.
Even without October figures available yet, Gomes said November has been positive, boosted by events like the MotoGP Grand Prix, which attracted 183,000 visitors. “This makes us believe that we can end the year with a very positive performance,” Gomes said, adding that the January 1 holiday falls on a Thursday in 2026, allowing many Portuguese the opportunity to take a long weekend and spend New Year in the Algarve.
The AHETA boss also pointed to the festivities organised by municipalities, many of which are also investing heavily in New Year events, with Loulé hosting a Xutos & Pontapés concert in Quarteira and Albufeira featuring Silence 4 – two very popular national bands.
Most visitors who seek fully organised packages have already made their bookings, Martins said. Some larger hotels, like in Vilamoura, Loulé, are offering up to 1,000 places for New Year celebrations, with multiple program options, and are already ahead of 2024 in advance reservations. However, the Algarve could still see many last-minute bookings for the festive season depending on the weather.
