More Victorians travelling closer to home as demand holds strong

Victorians are choosing to holiday closer to home as global uncertainty shapes travel decisions, with RACV Travel recording a 35 per cent year-on-year increase in domestic travel interest across March and April 2026 compared to the same period last year.

That shift is reflected in booking behaviour, with domestic travel making up 42 per cent of all RACV Travel enquiries in April, up from 29 per cent in April 2025.

RACV Head of Travel Nathan Ward said the data shows Victorians are getting creative with how they travel, rather than stepping away altogether.

“We’re seeing that Victorians still want to travel – this isn’t about cancelling trips, it’s about adjusting plans to make them work,” Mr Ward said.

“Local destinations are benefiting from that, particularly rail journeys like The Ghan and Indian Pacific, along with cruising in regions such as the Kimberley, Tropical Far North Queensland and the South Pacific.

“We’re also seeing international travel settle back into a rhythm, with good value available across parts of Europe and Asia.”

Mr Ward said travellers with existing international bookings should think carefully before cancelling, noting that cancelling outright can often mean losing value.

Instead, RACV is encouraging travellers to:

• Change direction – switch destinations or rework itineraries rather than cancel altogether. 
• Take a raincheck – travel somewhere else now and push original plans to a later date.
• Check conditions early – review airline options and routes before making changes.
• Stay flexible when booking – book fares or packages that allow changes where possible. 
• Take advantage of opportunities – make the most of deals and limited-time offers currently available in market. 
• Review cover – understand what your travel insurance includes, particularly any exclusions that may apply in changing global conditions. 
• Get support – work with a travel agent who can advocate and help reshape plans.

RACV Travel Agent Fiona Ryan said travellers impacted by disruptions should act early and understand their options.

“If your plans have been affected, it’s worth exploring refunds or credits. There’s often flexibility there, and understanding what your insurance does and doesn’t cover, alongside having someone manage the process, can make a real difference,” Ms Ryan said.

"For those yet to book, it’s actually a great time to lock something in. We’re seeing strong value in market, including limited-time offers from global tour operators. We’re certainly advising customers take advantage of deals, with some trips currently available at up to 20 per cent off.

“Europe is picking up, Canada and Alaska are gaining traction, and across Asia, destinations like Japan, Vietnam, China and Sri Lanka continue to offer good value.”

Ms Ryan said working with a travel agent could help travellers make the most of those opportunities.

“We’re helping customers find value and adjust plans if needed, so they can travel with confidence,” Ms Ryan said.

Mr Ward said with the right preparation, travellers should feel confident to go ahead with their plans.

“Travel in 2026 is very much still on,” he said. 

 “With the right support around you, there’s no need to put plans on hold - it’s a good time to book and take that break.”

For more information on RACV Travel & Experiences, visit racv.com.au.

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Royal Automobile Club of Victoria (RACV) Limited (ABN 44 004 060 833, AR No. 1243563) (RACV) is an authorised representative of the RACV Travel Insurance insurer Tokio Marine & Nichido Fire Insurance Co., Ltd. (ABN 80 000 438 291 AFSL 246 548) (Tokio Marine). Tokio Marine Management (Australasia) Pty Ltd (ABN 69 001 488 455, AR No. 1313066) is an authorised representative of Tokio Marine, and administers RACV Travel Insurance as the managing agent on behalf of Tokio Marine. Terms, conditions (including eligibility criteria), exclusions, limits and sub-limits apply. Any advice is general advice only, and does not take into account your specific objectives, financial situation or needs. Before you purchase, please consider the Combined Product Disclosure Statement (PDS) / Financial Services Guide (FSG) and Target Market Determinations (TMDs) available on RACV’s website, or on request from RACV.