The UK short-term rental (STR) market is seeing higher prices but softer demand, figures from short-term rental analytics company Key Data show.
Forward bookings for autumn are tracking slightly below 2024 levels, with September down 5% and November down 3%.
However nightly rates are proving resilient, averaging at £159, up 7% year-on-year, while September and October are also higher by 4% and 5% respectively.
Sally Henry, VP business development EMEA at Key Data, said: “Autumn 2025 is shaping up to be a mixed season for the UK short-term rental market.
“Rates are climbing and operators are proving they can hold pricing power, but demand is softer and booking behaviour is shifting, with shorter stays and later decisions.
“These trends make performance less predictable from month to month, and highlight that the market is moving into a more measured phase.
“The opportunity is still there, but it will favour operators who can adapt quickly and protect revenue in an environment where growth is no longer guaranteed.”
Shorter stays and tighter booking windows are shaping guest behaviour. Trips are around 0.3 nights shorter than last year, and reservations are being made 4-6% closer to arrival, pointing to a more last-minute market.
Despite muted demand, operators are sustaining revenue performance. Revenue per available rental (RevPAR) grew modestly over the summer and is forecast to rise by 7% in October and 4% in November as strong pricing offsets weaker occupancy.