Tasmania’s hotel occupancy rates have plummeted to their lowest levels in nearly three years, with the state failing to reach the 60% mark for the first time since the pandemic began.
According to the Tasmanian Hospitality Association’s (THA) June 2024 report, just 56.76% of rooms across the state were filled during the month.
THA chief executive Steve Old described the situation as an “unprecedented challenge” and said the industry needs a “strategic approach” to address the issue.
He said the last time occupancy rates were this low was in June 2021, when Covid related border closures and restrictions were in place.
“To see our occupancy rates fall below 60% for the first time in nearly three years is alarming,” he said.
“If this isn’t a wake-up call for anyone outside our industry at the current plight we are facing, I’m not sure what is.”
The north-west was the hardest hit region, with occupancy levels sitting at just 37.98%, a 10% hit on 12 months ago.
The southern region (64.22%) was 5.17% less than June 2023, while 60.25% of rooms in the north were filled, a slight increase of 0.12%.
The east coast had a 41.99% occupancy rate.
“It goes to show the impact winter festivals such as Dark Mofo really have on luring tourists to our state,” Old said, referring to the slimmed down version of the event held this year.
“Alongside our unique local experiences, there is a vast potential to turn this trend around. But we need the support and collaboration of local businesses, government bodies and the community to make this happen.”
