If you're planning a visit to Banff or Canmore in 2026, you might want to book your stay sooner rather than later.
New data from the American Express Global Business Travel Hotel Monitor 2026 shows that Canadian hotel prices are set to rise faster than almost anywhere else in the world next year.
The surge is being driven by strong domestic travel demand and a limited supply of rooms – a combination that's putting extra pressure on destinations like Banff, where availability is always tight.
What This Means for Banff
The report highlights major cities like Vancouver (+6.2%), Toronto (+5.8%), and Montreal (+1.8%), but the ripple effect will undoubtedly reach the Rockies. With year-round tourism, limited space for new builds, and increasing demand for high-end stays, Banff and Canmore are expected to feel the pinch more than most.
In recent years, shoulder seasons – especially fall and spring – have become increasingly busy. What used to be a quiet time for locals now sees a steady flow of hikers, photographers, and wellness retreat visitors.
Combine that with no new large-scale hotel development inside Banff National Park, and you've got a recipe for tighter availability and steeper prices.
Luxury Travellers Are Driving Rates Higher
Luxury travel continues to outperform nearly every other segment. According to Sara Andell, Director of Consulting Strategy at Amex GBT, “Luxury could buck the stability trend, as affluent leisure travellers continue to spend, pushing up rates for top-tier accommodation.”
In Banff, that means iconic stays like the Fairmont Banff Springs and boutique mountain lodges could see the biggest jumps. Many travellers are willing to pay more for unique, “bucket-list” experiences – from spa getaways with mountain views to fine dining paired with alpine adventure.
Even in nearby Canmore, which has long offered slightly more affordable options, high-end condo rentals and boutique hotels are now booking up months in advance.
Plan Early – Especially for Peak Season
If you've ever tried to find a last-minute hotel in Banff in July, you already know it's not for the faint of heart. With rates on the rise and occupancy levels expected to stay high, travellers should book early – especially for summer, ski season, and long weekends.
Even the shoulder months of May and October, which once came with modest discounts, are seeing stronger demand thanks to more flexible work schedules and a growing trend toward “off-peak” travel.
For those looking to stretch their dollar, consider staying in Canmore at the Legacy Inn at Park Gates or exploring mid-week travel options. These small shifts can make a big difference when it comes to finding both value and availability.
Why the Increase?
Canada's hotel rate spike stands in contrast to other global markets, where prices are expected to stabilise or rise more slowly.
U.S. cities like New York (+4%), Miami (+3%), and Las Vegas (+3%) are all forecast to grow at more moderate rates, while some global destinations such as Hong Kong (-1.2%) may even see declines.
Dan Beauchamp, VP of Consulting at Amex GBT, notes that Canada is an outlier due to strong internal demand and limited room supply, even as new developments open in larger urban centres.
With Banff's development restrictions inside the National Park, supply here is essentially fixed – making it even more vulnerable to rate pressures.
FAQ: Banff Hotel Prices and Travel Planning for 2026
Will hotel prices really be higher in 2026?
Yes. Forecasts suggest Canadian hotel rates could rise faster than nearly any other major travel market, and Banff is expected to follow that trend closely.
When should I book my Banff accommodation?
Ideally, as early as possible. For peak seasons like summer, ski holidays, or long weekends, book at least 4 to 6 months in advance to lock in better rates and options.
Are there still affordable places to stay near Banff?
Yes, but they're getting harder to find. Canmore remains the best alternative, offering a mix of hotels, condos, and vacation rentals that are often 10-20% cheaper than Banff itself.
Does visiting in the shoulder season save money?
Somewhat. While May and October used to offer noticeable discounts, those months have grown busier in recent years. You might still find deals mid-week or with flexible dates.
Why can't more hotels be built in Banff?
Banff is inside a national park, and development is heavily regulated to protect the landscape and wildlife. That means hotel supply is limited – and demand does the rest.