Keep knowledgeable with free updates
Merely signal as much as the Journey & leisure trade myFT Digest — delivered on to your inbox.
The variety of Britons selecting to journey overseas has risen for the fifth consecutive yr, regardless of rising issues over US tariffs making holidays costlier.
Greater than two-thirds of Britons intend to take a vacation abroad this yr, however of the 54 per cent who’ve already booked a visit, the bulk are anxious about affording the general price, together with meals, drinks and different vacationer gadgets, in line with the Put up Workplace’s annual vacation spending report.
Almost 80 per cent stated change charges, in addition to the influence of US commerce tariffs on costs, had been a notable concern, prompting adjustments to monetary behaviour, together with placing cash apart earlier and rising budgets to stop overspending.
This had prompted some to keep away from locations the place tariffs might have an effect on costs, whereas almost 40 per cent deliberate to keep away from travelling to the US, regardless of having beforehand thought of doing so.
As a substitute, Britons rated Spain, Turkey and Thailand as locations with one of the best worth for cash, whereas Kenya and Scandinavia had been rated as providing the poorest worth.
Greater than 80 per cent stated that they had set a vacation price range averaging £377, however the majority admitted overspending by £140, whereas households spent £323 greater than their common price range of £766 on their final vacation overseas.
“This yr’s vacation analysis once more demonstrates that holidaymakers don’t all the time set a practical price range and overspend by giant quantities consequently,” stated Laura Plunkett, head of journey cash on the Put up Workplace.
“It’s nice to listen to that holidaymakers are already planning to price range extra for his or her holidays this yr, to keep away from coming unstuck once they arrive at their vacation spot.”
Regardless of being a well-liked vacation spot, the Put up Workplace Alternate Charge Monitor discovered that the rise in Thailand’s foreign money in opposition to sterling meant British guests would get almost £30 fewer Thai baht on a £500 transaction.
Almost half of UK holidaymakers added that their alternative of vacation spot would depend upon the energy of sterling, with Vietnam and Bali providing extra worth for cash.
Though the US has fallen out of favour with many, holidaymakers will really feel the advantage of a weak greenback in nations the place the buck is extensively used, reminiscent of within the Caribbean and Center East.
The Put up Workplace report additionally uncovered situations of utilizing debit and bank cards overseas turning into a “expensive follow” as a result of financial institution transaction fees on ATMs.
“Far too many holidaymakers informed us they paid considerably greater than they anticipated due to the transaction fees made for utilizing credit score and debit playing cards at an abroad ATM,” Plunkett added.
