1. Introduction

The Nordic countries have seen a surge in tourism over the past few decades. This influx, driven by factors like growing international interest in nature and adventure travel, has benefited the region economically and is an important factor for regional development. However, the rapid growth also presents a challenge:  balancing tourism's economic contributions with its environmental and social impacts.

Globally, the tourism industry plays a big part in the economy. According to the World Travel & Tourism Council Economic Impact Report, in 2022, the Travel & Tourism sector contributed 7.6% to global GDP (WTTC, 2023). While tourism undoubtedly fuels the global economy, its impact can be a double-edged sword.  While destinations like the Canary Islands, Venice, and Barcelona grapple with "overtourism," signs that the Nordic region are beginning experiences similar challenges are becoming more evident. 

Since the millennium, a significant growth in international tourist arrivals have occurred in the Nordic countries. In total, overnight stays in the Nordics has increased around 75% from the millennium (Nordic Statistics, 2024). While significantly contributing economically to the Nordic Region, the rapid growth in tourism has brought several challenges to some parts of the Nordic region, including concerns about overtourism at popular destinations, strains on infrastructure and public services, environmental impact, and a potential threat to local cultures and traditions (Bogason et al, 2020, Karlsdóttir et al, 2021). Popular rural areas like Lofoten in Norway or parts of Iceland, Greenland, and the Faroe Islands face concerns about how to manage an influx of tourism in a sustainable way, for both the tourists, the local community and the environment.

The public has become increasingly aware of the social and environmental costs of unbridled tourism development.  Residents raise concerns about housing affordability, displacement, and the preservation of the local traditions and way of life. Discussions around better tourism management, responsible development practices, and engaging local communities are ongoing (OECD, 2024). Balancing tourism growth with the well-being of residents and the conservation of natural and cultural resources is crucial for ensuring the sustainability of the industry and preserving the region's unique character for generations to come (Broegaard, 2022).

Tourism development discussions have the last 20 years or so revolved around the notion of “sustainable tourism”. UNTWO defines sustainable tourism as "tourism that takes full account of its current and future economic, social and environmental impacts, addressing the needs of visitors, the industry, the environment and host communities" (UNTWO, 2005). In theory, sustainable tourism development should therefore consider economic, social, and environmental factors equally and aim to balance these three dimensions of sustainability. However, in practice, economic considerations have often taken precedence historically. The focus has been stimulating regional growth by, for example, increasing tourist numbers, job creation and revenue generation. This is often translated to national policies and strategies aimed at attracting high visitor numbers, looking first and foremost at the economic gains (Bogason et al, 2020). The visibility and relatively easy measurability of economic outcomes of tourism have likely also contributed to the economically focused analyses of tourism effects in both policy and research.

While economic factors remain important, there's a growing recognition of the environmental consequences of tourism. This can partly be attributed to international climate obligations but also to the increased awareness of tourism's potential negative impacts caused by the massive increase in international tourism with congestion and crowding in fragile natural environments. The growth in tourism seems to have caused stakeholders and authorities alike to pay more attention to the environmental aspects of tourism. After all, nature is the main attraction when it comes to Nordic tourism and especially the more rural Nordic tourism (Óladóttir, 2020; Árnadóttir, 2019; Øian et al, 2018). The increased awareness of individual tourists to the consequences of their actions and the role their travels play in an environmental sense has also increased significantly in the past decades. 

While economic and environmental impacts are well-documented and often quantifiable, the social dimensions, such as community well-being, cultural changes, and social cohesion, remain underexplored and less understood (Torkington, Stanford & Guiver, 2020). This gap in research is problematic because the social impacts of tourism are profound and multifaceted. Tourism can influence local cultures, alter social structures, and affect the quality of life for residents. Issues such as housing affordability, the displacement of local populations, changes in community identity, and shifts in social values and norms are critical areas that require more focused research. Furthermore, understanding residents' perceptions and attitudes towards tourism is essential to developing sustainable tourism policies that balance growth with community welfare. 

Employing both qualitative and quantitative methods can provide a richer, more nuanced understanding of the social impacts of tourism. Enhanced research on these aspects would help policymakers create more holistic and sustainable tourism strategies that promote not just economic and environmental sustainability but also the social well-being of local communities.

While both research and tourism policies are in general paying more attention to the social challenges associated with tourism growth in recent years, how and in which ways to address possible social issues related to tourism still remain quite unclear. Recent Nordregio studies show that all Nordic countries aim for sustainable tourism development in their national tourism strategies. Numerous regional and local tourism development plans also reflect these aims, although the degree of the holistic view on sustainable tourism development – tourism that accounts for economic, environmental, and social sustainability—varies considerably. Instead, the focus is often exclusively on growth, and few concrete actions or measures connected to social sustainability are evident (Karlsdóttir et al, 2020; Bogason et al, 2021; Broegaard, 2022). 

After the COVID-19 pandemic, all Nordic countries have, or are in the process of, releasing new national tourism strategies/policies. As more attention has been brought to the social part of sustainable tourism development it is interesting to look into how social and cultural components are addressed in the updated national tourism plans of the Nordic countries. Recent and ongoing research on tourism that is being conducted on behalf of the Nordic Council of Ministers has mainly focused on the economic assessment tools of tourism (TSA) and possible updates to such an evaluation system as well as extensive research on the environmental impact of tourism. After the COVID-19 pandemic and the de-facto stop of tourism that followed, stakeholders have understandably put their emphasis on rejuvenating the tourism industry. Now, in 2024, tourism has regained its position in many places and even already exceeded the pre-pandemic levels (OECD, 2024). In this regard, a sustainable tourism development is more vital now than ever.

The focus of this project is to look at the social and cultural impacts of tourism on local, regional (and maybe even national) level in relation to the sustainability concept. This project intends to zoom in on the less researched dimension of social sustainability in relation to tourism in the Nordic countries, to see how the topic is addressed in research literature, how social elements are considered in existing frameworks for measuring the sustainability of tourism and how social features of tourism are discussed in Nordic tourism policies. This project’s aim is therefore to examine social and cultural effects of tourism and possible indicators to measure the social dimension of sustainability in the ongoing quest of the Nordic countries for a sustainable tourism development. For this, the project will explore the following research questions: 

The project will be based on a qualitative methodology, combining a literature review and policy review with case studies and document analysis. The following research steps will be taken: 

A) Literature Review: A literature and policy review will determine how the Nordic countries are currently working with sustainable tourism, focusing on the social aspects of the effects of tourism, both positive and negative. We will conduct a comprehensive literature review to identify relevant documents. This will include searching academic databases, government websites, and policy reports. The literature review will focus on both academic and grey literature, exploring the social dimension of sustainable tourism, key concepts and indicators. The policy review will include existing national policies focusing on tourism development from all Nordic countries. These reviews will provide a comprehensive overview of the existing literature and policy landscape related to the research questions. 

B) In-depth Case Studies: Based on findings from step A, case studies in all Nordic countries will be conducted to gather data and local experiences on the subject. Also to understand how socially sustainable tourism is addressed in practice to identify potential best practices and lessons learned. Maximum case sampling will be employed, where we intentionally select cases that represent the widest possible range of variation, with the aim of gaining a deep understanding of different challenges and approaches connecting social sustainability in Nordic tourist destinations. The case studies will be chosen based on specific criteria, e.g., a specific social element that is being addressed in tourism development, diversity, relevance, or success stories. Each case study will include desk research (document analysis), and interviews with local tourism stakeholders.

C) Analysis, Conclusion and dissemination of findings. The data gathered in steps A and B will be explored and analysed in step C.

As beforementioned, this report is the first output of the project and provides the literature and policy review. This first part of the project will contribute to answer the first three research questions from a literature and policy standpoint. The next part of the project will address those same research questions along with the fourth one, adding a more experience-based perspective to the questions through more qualitative data and insights into how the social dimension in considered in practice in sustainable tourism development.