Yes-associated protein (YAP) is a transcriptional co-activator that binds to TEAD family DNA binding proteins to drive skin wound healing, regeneration and cancer. The role of YAP in epithelial cell proliferation and stromal fibroblast activation is well characterised, but less is known about how YAP controls the immune infiltrate. Here we report that, prior to tumour formation, YAP drives an inflamed but immunosuppressed microenvironment featuring many myeloid cells (including neutrophils, eosinophils, monocytes and macrophages expressing MDSC markers & PD-L1) but relatively few lymphoid cells (except for some Tregs and Th2 cells that also express PD-L1). YAP activation also induces fibrosis as well as secretion of cytokines and chemokines characteristic of an inflammatory type 2 immune response. Accordingly, chronic low-level YAP activation with a YAP∆C transgene causes an atopic dermatitis / eczema phenotype. Thus, YAP activation drives a type 2 immune contexture common to wound healing, chronic inflammation, and cancer.