Las Vegas is still America’s gambling capital ... but its hold on tourism is slipping.
According to the Las Vegas Convention and Visitors Authority’s (LVCVA) latest report, just under 3.1 million guests visited the glitz-and-glamor-filled city during June, an 11.3% year-over-year decrease.
Caught in the crossfire, hotel occupancy fell 6.5 percentage points, and the average daily hotel room cost was down 6.6% to $163.64.
A quiet storm
The effects in Vegas aren’t just down to a general shift in attitude from Americans. International travel plummeted a reported 13% year-over-year during June.
The LVCVA pointed to the economy as the top reason why less people visited Sin City at the start of summer. Its report cited “the broader backdrop of persistent economic uncertainty and weaker consumer confidence, compounded by a slower convention month.”
Fittingly, Harry Reid International Airport, the primary airport serving the Vegas area, reported a 4.1% year-over-year drop in passengers entering the city.
Caesars Entertainment CEO Tom Reeg told analysts on Tuesday that he thinks it's just a blip.
"It's really, get out of the group-light third quarter and into the group-heavier fourth quarter, first quarter, second quarter [of 2026], when we have significant business booked."
According to the Nevada Office of Workforce Innovation, leisure and hospitality comprises more than a quarter of Las Vegas’ total workforce employment. That creates serious economic turmoil if hotels and casinos aren’t filled.
Nothing to worry about?
While tourism in Las Vegas suffered in June, casinos did not feel the effects.
Properties on The Strip posted revenue of $765.3 million during June, a 3.5% year-over-year increase. That means significantly more winnings on a per-person basis.
June actually marked the end of a four-month streak of declining casino revenue.
MGM Resorts CEO Bill Hornbuckle told investors this week that despite the recent downturn, the long-term outlook for Las Vegas is still positive.
“I want to take this opportunity to emphasize that Las Vegas remains fundamentally solid.”
Another reason Las Vegas’ tourism fell could be due to President Donald Trump’s "Big Beautiful Bill."
Among the many changes in the bill, deductions on gambling losses – including sports betting, casinos, and online casinos – were changed from 100 to 90%. The plan, which will take effect at the start of next year, will make it significantly harder for gamblers to turn a profit, since they could have a winning year but end up in the red once they finish paying taxes.
Nevada Rep. Dina Titus (D) has introduced the FAIR BET Act, which would restore the previous 100% deduction on gambling losses. That bill was referred to the House Committee on Ways and Means on July 7, where it remains today.