What’s really behind the end of Australia?

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P&O Cruises Australia drops anchor after 90 years.

To the shock of many dedicated cruisers, the P&O Cruises Australia brand will set sail for the last time in March 2025.

Aerial of P&O Cruises Australia Pacific Explorer ship
P&O Cruises Australia drops anchor after 90 years.

P&O Cruises’ shock exit from Australia

Australia’s most historic cruising brand reached the end of the line when parent company Carnival Corporation announced on Tuesday P&O Cruises Australia will be folded into Carnival Cruise Line’s operations from March 2025.

Two of P&O Cruises Australia’s existing cruise ships (Pacific Encounter and Pacific Adventure) will be transferred into the Carnival fleet, while Pacific Explorer will exit the fleet.

P&O Cruises Australia Pacific Adventure ship
Pacific Adventure will be transferred into the Carnival fleet.

How Carnival Corporation explains the move

Carnival Corporation chief executive officer Josh Weinstein said that while the company is proud of what P&O Cruises Australia has achieved, the costs have become too high to be able to operate the brand in Australia.

“Given the strategic reality of the South Pacific’s small population and significantly higher operating and regulatory costs, we’re adjusting our approach to give us the efficiencies we need to continue delivering an incredible cruise experience year-round to our guests in the region," Weinstein said.

While it’s not clear how many jobs will be lost, the ABC reported that between 10 and 20 jobs will be lost in Australia.

P&O Cruises Australia Pacific Encounter ship
Costs have become too high to be able to operate the brand in Australia.

But what is really behind the demise of Australia’s home-grown cruising brand?

To get some insights we asked Australian Traveller Media’s co-founder and cruise enthusiast Quentin Long what he thinks is going on.

“There are three driving factors I can see," he says.

“The first is pure economic efficiency through cost rationalisation. Running a small regional cruise line without the centralised systems of a huge corporation is a lot of cost on a small revenue base – in other words incredibly difficult to make profitable."

So, cost consolidation would instantly make it a lot easier for P&O to be more profitable. “Well maybe just profitable as the rumour is they have not been profitable for 10 years," he adds.

The second motive follows closely on the first according to Long.

“The Carnival brand has great penetration into the valuable US and global cruise market so now these rebranded ships address a larger source market. To meet that market, you can now easily move the ships to the destinations and develop itineraries to match this demand."

P&O Cruises Australia Pacific Explorer ship
Pacific Explorer will exit the fleet.

So, does that mean we may have fewer or even no cruise ships permanently based in Australia?

“Yes, that is certainly a possibility. It will be purely demand driven whether three, two, one or no ships are here in Australia year-round," Long says.

According to Long, the impact of that outcome will be felt far deeper than just the cruise passengers.

“Sure, a lot of Australians who could really only afford a P&O cruise will be left high and dry which is devastating. But what about the businesses that are serving the ships? They will lose 50 per cent of their business if they are pulled out of the market for the quiet winter season," he says.

P&O Cruises Australia Pacific Explorer ship
The impact of this decision will be felt across the board.

And dare we ask about the third driving factor?

“Oh, that’s just about modernising and evolving the product to meet the new cruise passengers’ expectations," Long says.

Carnival Cruise Line will implement some technology upgrades and other small changes to the P&O fleet, most notably by introducing Carnival’s HubApp which allows guests to make reservations, get food and drinks delivered and chat with other guests.

“After the initial swift tech upgrade, I expect they will add more contemporary experiences that are in line with the Carnival Cruises brand – more glitz and brash US-style fun. So, more water slides etc," he continues.

Oasis on P&O Cruise ship
Carnival Cruise Line will upgrade the P&O fleet.

What P&O passengers need to know

Passengers who have booked a P&O Cruise in 2024 won’t be affected.

Guests booked on Pacific Encounter and Pacific Adventure after March 2025 will not be affected in most cases as the itineraries and departures will be maintained. Just a bit more tech when you get on the ships named Carnival Adventure and Carnival Encounter.

Passengers booked on Pacific Adventure will have options for a full refund, future cruise credit and even in some cases onboard credits.

Magrodrome on P&O Cruise ship
At this stage, it’s unclear how many jobs will be lost.
Emily Murphy
Emily Murphy is Australian Traveller's Email & Social Editor, and in her time at the company she has been instrumental in shaping its social media and email presence, and crafting compelling narratives that inspire others to explore Australia's vast landscapes. Her previous role was a journalist at Prime Creative Media and before that she was freelancing in publishing, content creation and digital marketing. When she's not creating scroll-stopping travel content, Em is a devoted 'bun mum' and enjoys spending her spare time by the sea, reading, binge-watching a good TV show and exploring Sydney's vibrant dining scene. Next on her Aussie travel wish list? Tasmania and The Kimberley.
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Your guide to feeling rested and reconnected after your holiday

The wild, otherworldly beauty of The Grampians offers a perfect place to unwind, slow down and relax.

Not all holidays yield the same result; some are bustling, with endless things to do, events to book and places to see. All great things, but they leave you feeling more tired than before. Then, there are destinations that help you slow down, making real connections and participating in self-care.

Destinations like The Grampians : surrounded by untouched nature, allowing a chance to reconnect with yourself and loved ones at a slower pace.

Discover six science-backed ways to enjoy a holiday and feel restored at the end of it.

1. Practice mindfulness

Hamilton Gallery, the grampians
Be present at Hamilton Gallery. (Image: Visit Victoria)

Mindfulness – the practice of tuning into the present moment – has been found to help in reducing stress, anxiety and depression. One way to practice this art is by immersing yourself in art.

Hamilton Gallery has been in operation for over 60 years, and is not only home to many significant art pieces but also runs workshops and events for all ages to expand their awareness and understanding of art. The gallery is also the custodian of the largest collection of Gunditjmara artefacts held on country.

If you prefer to practice mindfulness through movement, visit Halls Gap Zoo to feed the meerkats – who wouldn’t feel better after focusing on these little guys? Or visit The Grampians Horse Riding Centre for an unforgettable morning ride through 10 kilometres of bushland. Enjoy the soothing movement of the horse and experience the bush anew.

2. Indulge in self-care

two people swimming in the Venus Baths, the grampains
Take an immersive bath in nature on the Venus Baths loop walk. (Image: Visit Victoria)

While the term self-care might conjure up images of indulgent bubble baths or a soothing massage, there’s more to it than pampering. Self-care is any action that protects your physical, emotional and mental well-being.

Like taking an immersive ‘bath’ in nature. Do just that on the Venus Baths loop walk – ideal for less experienced hikers or those walking with kids – stopping at freshwater-filled rockpools to cool down along the way.

Serious hikers (we’re talking some rock hopping and traversing slippery tracks) can tackle the Wurgarri, or Mount Sturgeon walk, which rewards the effort with panoramic views from the summit.

For those whose idea of self-care leans more towards arts and culture, a visit to WAMA is a must. Australia’s first national centre for environmental art is home to exhibitions that explore the natural world through film, installation, painting, performance and more.

3. Embrace nature

Boroka Lookout, the grampians
Soak in incredible views over Halls Gap at Boroka Lookout. (Image: Visit Victoria)

Spending time in nature is the ultimate way to soothe your body and mind. It’s been proven to help with all manner of things, from reducing stress to boosting cognitive function. And there’s no better place to enjoy it than among the raw sandstone, wildflowers and native creatures of The Grampians.

Rocklands Reservoir, spanning 6700 hectares, is an ideal spot. Breathe in the fresh air and enjoy the view over Grampians National Park. Cast a line, hire a canoe or follow nature trails along the water’s perimeter. How’s the serenity?

To appreciate nature’s imposing power, head to Splitters Falls. Here, find unrivalled tranquillity. Spring is the best time to visit, when bouquets of native spring flowers greet visitors.

Those with limited mobility will appreciate Boroka Lookout, a viewing platform surrounded by breathtaking views over Halls Gap and the eastern Grampians. Come early to witness a sunrise you’ll never forget.

4. Prioritise Rest

outdoor bathtub at Nook On The Hill
Recharge at Nook on the Hill. (Image: Visit Victoria)

Above all else, a holiday should be an opportunity to recharge, and there’s no better way to do it than to get a good night’s sleep. We don’t need to tell you how essential sleep is, for everything from mental health to strengthening the immune system.

Try Wanderlust Glamping , where guests fall asleep to the soothing sounds of nature after an evening relaxing around the fire pit and wake to your very own green oasis.

For pure luxury in the foothills of the Grampians National Park, look no further than Nook on the Hill – a handcrafted tiny house surrounded by rewilded, lush native Australian bush. It might be small, but Nook on the Hill has everything needed to unwind in style, including an outdoor bath for balmy nights.

For a modern farm stay, book at Mount William Station in the foothills of The Grampians. The station combines old-world charm with modern amenities and easy access to everything this region has to offer.

5. Engage Your Senses

Salingers Cafe, destinations that help you slow down
Indulge in a meal at Salingers. (Image: Visit Victoria)

Few human senses are as fun to indulge in as taste. A meal at Salingers in Great Western is the ultimate treat, and not only for the taste buds. The food is excellent, but Salingers’ really unique attraction is the bustling beehive that lives within the walls of the historic building.

For an expertly smoked burger, ribs, or beef brisket, head to Flame Brothers in Halls Gap. Tuck into delicious food while you enjoy the view.

If you prefer your senses heightened by the pump of adrenaline, Grampians Soaring Club offers an eagle-eye view of the Grampians National Park and Pyrenees Ranges from a glider. Take in the sights with a cross-country flight, ridge soar, or altitude wave flight.

6. Connect and reconnect

The Dimboola Imaginarium, Wimmera Mallee victoria
Step into the whacky Dimboola Imaginarium. (Image: Denis Bin)

Making shared memories is a wonderful way to reconnect with old friends or make new ones. These unexpected finds make it easy to discover something new in The Grampians.

Amateur geologists will delight at the Kanawinka geotrail, which covers 60 sites over Australia’s most extensive volcanic province. Visit the Penshurst Volcano Discovery Centre to learn more about volcanic activity in The Grampians, or head to nearby Mount Napier State Park for a trip into the Byaduk lava caves.

Pop in to the Ros McArthur Art Studio to peruse the gardens full of native and exotic plants and flowers that serve as the subjects of Ros’s still life paintings.

For a shopping experience like no other, head to the Dimboola Imaginarium . Far more than a shop, the Dimboola Imaginarium is an immersive experience where you’ll find all manner of quirky bits and pieces. Expect the unexpected.

Put these science-backed holiday benefits to the test during a trip to The Grampians. Plan your peaceful getaway at visitgrampians.com.au.