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Middle East War Drives Price Spikes and Booking Shifts to Portugal, Balearics and Canaries

Travel firms report Portugal gaining share alongside higher fares from rising fuel costs.

Overview

  • With Gulf air corridors constrained into a fourth week and regional embassies urging against non‑essential travel, demand is tilting away from routes that pass through the Middle East.
  • Thomas Cook says Portugal’s share of bookings rose 42% over early‑year levels, with gains for the Balearic Islands (40%) and the Canary Islands (16%).
  • Skyscanner data show steep Easter fares on some routes, including LondonPorto up to £648 and LondonFaro up to £521, as dynamic pricing responds to surging searches.
  • Hays Travel and TUI report stronger interest in Mediterranean breaks and direct long‑haul options that avoid Gulf transits, with cruises attracting customers for their itinerary flexibility.
  • In Ireland, some hotels report a modest lift in interest and bookings, while industry representatives note European short‑haul fares remain relatively steady for carriers hedged on fuel.