Airbnb contributes record $10.8B to Canadian economy amid regulatory challenges

Airbnb contributes record $10.8B to Canadian economy amid regulatory challenges

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Brian Chesky, Airbnb Co-founder and Chief Executive Officer | Airbnb website

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Kathryn Penner, residing near Winnipeg, has transformed her treehouse retreat into one of the most sought-after Airbnb listings in Canada. Her story reflects a broader trend where Airbnb hosts are significantly contributing to the Canadian economy by attracting both domestic and international travelers.

Recent estimates reveal that travel on Airbnb in Canada resulted in $10.8 billion in economic activity last year. This impact is largely due to guest spending on local businesses such as restaurants, entertainment venues, and shops. The typical Airbnb guest spent over $850 per trip, supporting more than 105,000 jobs and generating over $7.7 billion in labor income across the country.

Airbnb properties often lie outside traditional hotel districts, spreading economic benefits to various neighborhoods. Nearly half of all guest spending occurred within these areas, thus boosting local economies that might otherwise not see significant tourism dollars.

In 2024 alone, travel on Airbnb contributed more than $328 million in tax revenue across Canada. This includes over $196 million collected from federal GST, HST, and QST taxes.

Canada saw nearly 9 million domestic guest arrivals via Airbnb in 2024—a rise of more than 40% since 2019—across more than 1,750 communities with some hosting guests for the first time.

However, new regulations threaten this growth. In Montreal and British Columbia, stringent short-term rental laws could negatively affect local economies without significantly improving housing affordability. These measures could jeopardize millions in annual economic activity while offering minimal relief to housing issues according to a Statistics Canada report.

Despite these challenges, Airbnb continues to play a crucial role in Canada's tourism sector by enabling Canadians to explore unique destinations within their own country while supporting small businesses nationwide.

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