US hotel sector warns 2026 World Cup tourism boom may fail to materialise
With just three weeks until the tournament begins, industry data reveals bookings are significantly below projections, raising concerns over the anticipated economic impact.
The American Hotel & Lodging Association (AHLA) has issued a stark warning that the 2026 Fifa World Cup may fail to deliver the projected tourism and economic surge across the United States. A new report from the industry body indicates that hotel occupancy levels in host cities are well below expectations, casting doubt on forecasts that the tournament would generate $17.2bn in gross domestic product and create 185,000 jobs.
The AHLA, which represents more than 32,000 properties, attributes the shortfall to a combination of Fifa’s booking strategies and prohibitive costs. The association accuses world football’s governing body of engaging in block-booking practices that created artificial demand and inflated prices. According to the AHLA, up to 70% of rooms reserved by Fifa in cities including Boston, Dallas, Los Angeles, Philadelphia, and Seattle have since been cancelled, leaving a vacuum in availability.
Fifa has firmly rejected these accusations. A spokesperson stated that all room releases were conducted in strict accordance with contractually agreed timelines, describing the practice as standard for an event of this scale. The governing body emphasised that many releases were made ahead of established deadlines to accommodate hotel partners and noted that its accommodations team maintained consistent communication with stakeholders throughout the planning process.
Despite Fifa’s claim that more than five million tickets have been sold, the AHLA argues that the current booking landscape does not align with the anticipated influx of international travellers. High match ticket prices, local transport and tax costs, and the prevailing political backdrop have deterred many visitors. Consequently, many fans are opting for cheaper alternatives, such as Airbnb or accommodation located outside city centres, to manage their budgets.
Prices in major host cities spiked immediately following the tournament draw, though reports indicate a subsequent 20% drop in recent weeks. However, rates in cities like Boston remain above $300 a night, a figure that exceeds the budgets of many supporters. Some fans, such as those planning to travel from the UK, are opting to stay 45 minutes to an hour away from city centres to secure more affordable lodging, utilising a mix of hotels and short-term rentals.
The AHLA expressed concern that the industry’s significant investments, based on official projections, may not yield the expected returns. The association noted that its study commissioned by Fifa last year predicted a substantial economic lift, but warned that fewer overseas fans threaten this broader impact. The report highlights that hotels spent years preparing for an influx of visitors who typically book longer stays and spend more, a trend that appears to be reversing.
Looking ahead, the AHLA remains cautiously optimistic, stating that it expects occupancy to strengthen in June and July. A spokesperson noted that many fans are still awaiting clearer ticket and schedule information before finalising their plans. The association believes bookings will pick up in the coming weeks, particularly during the knockout rounds when fans often make last-minute arrangements. Meanwhile, Airbnb has described the World Cup as on course to be the biggest hosting event in its history, potentially surpassing the 2024 Olympic and Paralympic Games in Paris.
