Travel agent members of the Advantage Travel Partnership are seeing a “dramatic spike” in ultra last-minute foreign holidays despite rising interest rates and the cost of living crisis.
The consortium’s chief executive Julia Lo Bue-Said claimed that the outbound travel sector continued to “buck the trend” in the face of Thursday’s interest rate hike to a 15-year high 5.25% from 5% in the 14th consecutive increase.
Commenting on the move by the Bank of England, she said: “Today’s interest rate rise shows that spending in the UK has gone down, high street footfall is also down and prices remain high. However, the UK’s outbound travel industry appears to be bucking the trend once again.
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“At Advantage we are seeing a dramatic spike in people looking to book very last-minute travel to escape the UK’s wet and windy weather and, despite interest rates rising and the ongoing cost-of-living crisis, it is clear that Brits are continuing to use their money for travel.”
Lo Bue-Said added: “Our travel agency partners have found that 18% of bookings in the last month have been for travel in August, which is an incredible increase on the 4% we would normally expect to see for late bookings in the peak summer months.”
The leading destinations for late bookings are Spain, Greece, Turkey and Italy – demonstrating that record hot temperatures in Europe this summer has also not had a “significant impact” on UK travellers wanting to book holidays abroad.
She pointed out that the number of all-inclusive bookings remains high at 37% of the total compared to 13% in 2022, “demonstrating not only that Brits are looking to manage their budgets and travel, but also that people are looking for peace of mind”.
Lou Bue-Said said: “All-inclusive options provide holidaymakers with the opportunity to book a holiday last minute get-away, without having to think too much about logistics and extra expenses on the ground.
“The UK’s outbound travel industry was recently cited as the key driver that avoided the UK slipping into recession, and is also responsible for creating consumer retail spending prior to holidays driving consumer pre-holiday spend to the value of £51 billion.
“For those looking to book a holiday to escape the glum weather predicted to continue well into August there are still some amazing deals to be had, with current availability showing a seven-night break in Crete for a family of three at £1,185 or seven nights in Tuscany for a family of three for £1,275.
“As always we advise to book with a travel agent as they have access to millions of holidays and can also provide that added peace of mind should you need any support whilst you are travelling or overseas.”
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