Published on
October 19, 2025
Greece’s new short-term rental tax and the UK’s intensified crackdown on crypto tax compliance are set to significantly affect UK tourists planning to visit popular Greek destinations. As of 2025, Greece has implemented higher taxes on short-term rentals, targeting platforms like Airbnb and impacting travelers who prefer private accommodations. This change is expected to raise costs for UK visitors, particularly during peak seasons. At the same time, the UK’s HM Revenue & Customs (HMRC) is taking a tougher stance on crypto tax compliance, issuing warning letters to thousands of UK taxpayers suspected of underreporting their crypto gains. With these shifts in tax regulations, UK travelers may need to adjust their travel budgets, rethink accommodation choices, and reconsider how they handle financial transactions while abroad. Understanding these developments is crucial for tourists looking to enjoy their Greek holidays without unexpected costs.
Impact of Greece’s New Short-Term Rental Tax on UK Tourists
In the past few years, Greece has become one of the most popular travel destinations for UK tourists. Greece’s blend of sunny beaches, ancient ruins, and dynamic culture draws millions of UK visitors each year. However, a new tax change is likely to affect the experience of UK tourists in Greece, primarily with short-term rentals. Greece is also likely to be a focus for enforcement of the UK’s newly tightened regulations on the tax treatment of crypto-assets, and this will affect the tourism sector. In this post, we will describe the implications of these tax changes on travel for UK tourists to Greece, and provide important information related to travel, flights, and accommodation.
Greece’s New Short-Term Rental Tax: What UK Tourists Need to Know
In Greece, short-term rentals will bet taxed differently per localities starting 2025. This will most likely affect UK visitors the most, as many UK travelers book short-term rentals through platforms like Airbnb. The short-term rental tax was created to ease the strain on the local housing market. Short-term rentals have inflated the property market, making it harder for residents to access affordable housing. This new tax offset property rates based on the location and length of stay, to a peak season of €8 per night.
Higher rental rates across the board for UK travelers should be expected since short-term rentals have the most flexible booking options. This particular tax will be most noticeable in tourist hotspots like Santorini, Mykonos, and Crete, where housing supply has been most strained by demand. These travelers should keep the new short-term rental tax in mind as they plan their travel budget. It will be a cost expected for 2025 travel and beyond.
How Greece’s New Rental Tax Could Affect Budgets While Traveling
Due to the increase in taxes on short-term rentals, UK tourists budgets will increase. In the most popular tourist spots like Athens, Mykonos, and Crete, where rental apartments are in high demand, these taxes will add costs during peak seasons. For a family of four staying for a week, this tax could result in an additional €224 in accommodation costs alone as the tax will accrue €8 each day.
Additionally, UK tourists also need to be aware of the increase in the cost of flights and the short-term rental increase as the airlines will raise ticket prices because of the increase in operational costs. With Brexit there will be an increase in operating costs for UK visitors as there will be a higher currency cost between the British pound and the euro. It will be important to monitor accommodation and flight costs.
What UK Tourists Should Know About Crypto Taxes
When it comes to taxes on crypto not declared, HM Revenue & Customs (HMRC) has placed more focus on the UK crypto tax compliance requirement. Consequently, HMRC issued 65,000 warning letters for the 2024-25 tax period to those not properly reporting capital gains on crypto. More HMRC compliance focus on digital services and tax crypto gains has an alignment with the growth of UK citizens trading, holding, and/or investing with crypto. More HMRC activity under the crypto gains thresholds leads to possible capital gains tax (CGT) on crypto transactions.
The impact of the compliance focus on crypto with UK Tourists and the exportation of crypto for travel expenses is more noticeable. Tourists avoid complex UK tax compliance by travelling to tax havens. Tourists with crypto accounts will have to spend less bordering on non-use of crypto for travel expenses when travelling to Greece (or rest of Europe) due to HMRC crypto compliance focus on tax spending linked crypto for tax compliances.
What UK Tourists Going to Greece Need to Know About Flights
If you are going to Greece, the first things to consider are the flights and the costs. There are multiple flight options available and at reasonable prices. British Airways, EasyJet, and Ryanair are good choices, as they have flights from several UK airports to Greece. All three of Greece’s main airports (Athens, Thessaloniki, Heraklion) are options. There are different price points to consider as well, starting from as low as £30, and going up to around £150.
British Airways flights are more comfortable, as they offer various options. For example, from Heathrow and Gatwick (London) and Manchester, they have direct flights to Greece and you can choose from Economy, Premium Economy, and Business Class. For easy and cheap flights to Greece, Ryanair and EasyJet are the best choices to go to cities like Athens and Santorini. There are different factors that can affect prices such as how early you book and what time of the year it is.
As an example, British Airways has return flights to Athens during the off-peak season for around £130. You can enjoy Business Class for around £350. It’s suggested to book flights as early as possible to get the best prices, as well as to get promotional deals.
Important Facts for Staying at Hotels and Resorts in Greece
In addition to short-term rentals, Greece has a hospitality industry that is flourishing. Greece has a wide range of different accomodations, from five-star resorts to budget hotels, meaning that every traveler will be able to find something to suit them. Major hotel chains like Hilton, Marriott, and Accor have a significant presence in Greece, primarily in the major cities Atlanta and Thessaloniki, and the popular islands of Mykonos and Santorini.
Driving travelers to find hotels and resorts will be the increased short-term rental taxes that are likely to be raised. This will be more attractive for tourists seeking more stable accomodation options. Large hotel chains will benefit from this as they are more prepared for a hotel tourist surge and provide extra value services like concierge, packages for excursions, and airport transfers.
For instance, Hilton has several properties in Greece, including Hilton Athens, which has easy access to the Acropolis and the busy city center. Athens Marriott and Four Seasons Astir Palace Hotel in Vouliagmeni also have world-class service and luxurious accommodations. Marriott’s also offers elegant service. Santorini and Mykonos, where the Mykonos Grand Hotel & Resort is located, have high-end resorts with beautiful views in the Marriott vacation club.
On the other hand, Ibis and Premier Inn provide reasonable accommodations in the center of the city. This is ideal for travelers who don’t want to pay excessive short-term rental taxes.
Accommodation and Flight Costs in Greece
Despite the high costs to rent short-term accommodations and the prices of flights increasing, there are ways for tourists from the UK to cut costs while visiting Greece. The best way to keep costs down is to book flights in advance, especially during the off-season. A lot of low-cost airlines, like Ryanair and EasyJet, have cheap flights on the market which is ideal as Greece is a popular vacation destination.
When looking for accommodation in Greece, tourists might want to try hotels and resorts with meal and activity packages, too. For tourists looking to save on meals and entertainment expenses, there are a number of all-inclusive hotels in places like Santorini and Mykonos. For greater savings, consider staying in places outside the main tourist areas, as smaller towns and villages are often much more affordable.
Tourists can save some money on island and mainland transport by using ferries and buses. For those looking to save on taxi costs, renting a car is often more affordable, and it allows for a greater opportunity to explore Greece on your own schedule.
Extra Tips for UK tourists in GreeceCurrency Exchange: Remember to consider exchange rates with the Euro, as Greece is part of the Eurozone. Also, consider the post-Brexit period as exchange rates and border prices can be tough. Use a reputable service that offers currency exchange and check rates that are volatile with your budget in mind, as a fluctuation can result in a loss.Travel Insurance: With border policies changing and the unpredictability of global travel, having travel insurance is extremely important. Not having it can leave you with expenses for emergencies, cancellations, or delays that you can encounter on your trip.Getting Around in Greece: Think about getting an ATV or scooter to really enjoy your time in Greece. It’s awesome for getting around the islands, like Santorini and Crete. You’ll have to have your helmet on to be safe, of course.Greek Food: It’s one of the most affordable places to eat Greece, and the meals served are delicious. The most affordable food will be found in the tavernas and local places, which are also the most authentic. You’ll be able to eat more authentically and affordably compared to tourist places.
Greece’s new short-term rental tax and the UK’s HMRC crackdown on crypto tax compliance are poised to impact UK tourists. These changes could affect travel budgets, accommodation choices, and financial planning for visitors heading to Greece.
Greece Tourism Changes and Challenges
Greece is one of the most popular holiday destinations and places to travel to. Because of the new short-term rental tax in the country, UK travelers will be affected, like the UK tax enforcement on cryptocurrencies. Because of the increase in value on short-term rental accommodations, some travelers may prefer to stay in hotels and avoid paying the rising price of lodgings or rentals. This may assist in maintaining some of the rising costs.
The beauty and culture of Greece are endless with the new tax regulations, to avoid the rising costs on lodgings, UK travelers should book flights early. This will help gain access to a range of lodgings in Greece. The beauty of this country should be enjoyed to the fullest with the little flexibility on accommodations.
