2025 has been a year of resilience and change for Cornwall holiday lets. Peak-season demand (late spring to early autumn) remains strong, average daily rates have risen in many areas, and short breaks and last-minute bookings continue to make up a growing share of demand. At the same time overall visitor numbers and some off-peak occupancy have declined compared with the boom years after the pandemic, and the market is becoming more competitive as supply grows and consumer choices broaden.
What the data shows (key signals for owners)
1. Strong seasonality, healthy summer demand
Owners report high occupancies across the core summer months — many Cornwall properties still reached 75–85%+ in July/August — even if winter/shoulder months underperformed. Local agents’ 2024–25 reports underline that good summer trading remains the mainstay of income.
2. Occupancy across Cornwall
Across our portfolio, at Mounts Bay Holidays, we achieved 89% occupancy during the 6 weeks of Summer and 63% occupancy across the whole year. 56% of all stays were couples.
Market trackers use different samples and date ranges making it difficult to get a definitive market trend, however, one Cornwall short-term rental dashboard shows a 62% average occupancy (Sep 2024–Aug 2025), while other datasets show lower averages for certain listing platforms or broader samples.
3. Average Daily Rates (ADRs) and revenue: rates are up in many areas
Across the UK short-term rental sector there was upward pressure on ADRs in 2024–25 with owners increasing prices to cover inflationary costs, and Cornwall has seen ADR gains in peak periods. That said, higher asking prices are balanced by greater customer price sensitivity in the shoulder season.
At Mounts Bay Holidays have seen an increase in discounts in order to encourage bookings and an increase in guests requesting discounts.
5. Short breaks and last-minute bookings are rising
11.5% of our bookings were short breaks which is 2% up from 2024.
15.26% of all bookings were last minute. So, roughly 1 in 6 bookings in 2025 were made within one month of arrival.
Research shows some operators are reporting put short-break bookings around 30%+ of total bookings and last-minute bookings rising as travellers prefer flexible, shorter trips. This is an operational signal: more changeovers, higher cleaning turnover, and a need for flexible minimum-stay rules.
6. Demand drivers
VisitBritain research shows domestic trip intent remains solid but slightly down on the post-pandemic peak; cost of living and weather are top barriers. That points to continued demand, but selective and price-sensitive.
What this means for owners (practical takeaways)
- Review minimum number of nights: offer 3-night short breaks for shoulder seasons. Short breaks drive bookings but increase changeover costs so you need to look at minimum stay cost per night required.
- Guests expect added value: Offer low occupancy discounts, winter discounts and long stay reductions to increase the value of a guests stay. Other ways of lifting perceived value are local discounts and loyalty discounts.
- Be prepared for higher turnover: if your share of short breaks/last-minute bookings grows, ensure cleaning, linen supply and local maintenance cover is covered. Mounts Bay Holidays can do this for you.
- Segment marketing: For bookings we will target families for summer weeks, couples for short breaks, and solo travellers / remote workers for off-peak midweek stays (solo travel share has been rising nationally). Property owners should consider excellent Wifi and dedicated working spaces to accommodate this trend.
Predictions for 2026 – what owners should plan for
- Continued strong peak season, cautious shoulder months. Expect booking volumes for summer 2026 to be broadly stable or to show modest growth if weather and the macro economy are neutral — owners who optimise short breaks and offer flexible stays will capture more demand.
- Short breaks grow further (or hold near current levels). Short breaks and last-minute bookings will remain important— plan operations accordingly.
- Pressure on off-peak income; greater product diversification. Owners will increasingly diversify (midweek remote-worker stays, seasonal offers, experience add-ons) to smooth cashflow across the year.
- More emphasis on sustainability and quality. Guests are leaning to responsible stays and quality customer experiences; investment in energy efficiency, clear recycling, and local partnerships will help demand.
- If new tourism levies appear. A locally applied tourist charge would raise cost for guests; owners should model scenarios and consider absorbing a share, passing it on, or using it as a competitive differentiator.
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