New data released today by the Tourism Industry Council South Australia shows the state’s tourism industry is beginning to regain momentum after a challenging year. However, business confidence remains fragile, reflecting rising costs, uneven recovery and ongoing uncertainty ahead of the March state election.The latest TiCSA Tourism Barometer for the December Quarter 2025 shows a clear rebound in both business activity and outlook after sharp declines earlier in the year.
Despite the improvement, activity remains below neutral levels, reinforcing the cautious approach many tourism businesses continue to take.As more than 240 tourism operators gather today at TiCSA’s South Australian Tourism Summit, delivered in partnership with RAA Travel, to hear directly from political leaders including Premier Peter Malinauskas and Opposition Leader Ashton Hurn, the findings underscore the importance of clear, long-term policy settings to support confidence and investment across the sector.
At the Summit, TiCSA will present its tourism policy priorities for the 2026 state election, calling on all parties to commit to stronger and sustained investment in tourism to protect $10 billion in annual economic value and support more than 20,000 tourism businesses across the state. The summit will also feature a panel discussion with Legislative Council crossbenchers Jing Lee, Connie Bonaros and Tammy Franks.
TiCSA CEO Shaun de Bruyn said the Barometer results point to resilience across the industry but also highlight the risks of complacency at a critical moment.
“After a year marked by natural disasters, rising costs and uncertainty, tourism businesses have worked incredibly hard, and it is encouraging to see momentum starting to rebuild,” Mr de Bruyn said.
“However, confidence remains fragile and many operators have said they’re anxious about the months ahead. With a state election approaching, clear leadership and certainty will be critical to ensuring this recovery does not stall.
“That’s why TiCSA is calling for clear, long-term commitments that support business confidence and investment, including a lift in international marketing investment, a targeted and government backed low or no-interest loan scheme for tourism infrastructure, and continued support for workforce, training and business capability.
“The Summit is about ensuring decision-makers understand both the opportunities and the risks, and that tourism remains a priority as South Australia heads toward the election.”
The Barometer also shows employment in accommodation and food services has surpassed previous peaks, while wage growth has begun to moderate. Investment intentions have improved slightly, but remain below pre-COVID levels, reflecting continued caution across the sector.
TiCSA Chair Penny Gale said fragile confidence has real consequences for regional communities, investment decisions and long-term growth.
“This Barometer provides a clear snapshot of where tourism stands right now,” Ms Gale said.
“When businesses are uncertain, they delay investment, expansion and hiring, particularly in regional areas where tourism plays a critical role in local economies.”
Ms Gale said the upcoming election presents a clear opportunity for all parties to provide certainty and back the industry’s long-term growth.
“We are calling on all parties and independents to commit to strong, sustained investment in South Australian tourism and support,” she said.
“With the right policy settings in place, tourism can continue to grow demand, support regional economies and strengthen the thousands of small and medium businesses that underpin our sector.”
Read TiCSA’s State Election Tourism Policy Priorities 2026 and beyond.
Read the latest TiCSA Tourism Barometer for the December Quarter 2025 is available.
