Amsterdam Hotel Market Faces Challenges Amid Tax Increases and Demand Shifts
Amsterdam's hotel market is experiencing significant changes due to increased tourism-related taxes and shifts in demand. The city saw a rise in visitation in 2024 and 2025, surpassing pre-pandemic levels, primarily driven by international demand. However, domestic tourism has softened, partly due to a city tax increase from 7.0% to 12.5% in January 2024. The Centraal Bureau voor der Statistiek reports a 20% increase in bednights from 2019 to 2025, indicating higher accommodation utilization per visitor. Despite this growth, hotel demand only returned to 2019 levels by 2023, with a subdued recovery led by non-hotel accommodations. The market faces further challenges with a VAT increase from 9% to 21% in 2026, potentially impacting average rates and RevPAR. The municipality is considering additional city tax hikes, which could make Amsterdam one of the most heavily taxed hotel markets globally. 
