Brits are cutting back on nights out, non-essential items and Christmas spending in order to save for a holiday, according to On the Beach.
The online travel agent polled 2,000 Brits earlier this month and found that two-thirds (63%) say the cost of living, weak pound and economic turmoil “negatively affected” their holiday plans.
This means that three-quarters (75%) have cut back on entertainment and nights out (41%), shopping for non-essentials (31%) and Christmas spending (25%) in order to go away.
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When asked how they would save money on their next holiday, 41% said they would have a UK staycation instead of going abroad; 33% will make packed lunches instead of eating at hotels/restaurants; 27% will pack hand luggage only; 24% won’t pre-book seats for flights; 18% won’t tip service staff; and 11% won’t be taking out travel insurance.
However, the OTA warned that staycations may well be more expensive than overseas holidays.
It said an all-inclusive package for a family of four during the October half-term – including transfers, flights, accommodation and Atol protection – was on average £1,025 cheaper than a staycation.
A seven-day family break to Center Parcs in Sherwood Forest was £3,558 – for the price of a lodge at £2,848 plus illustrative costs for food and activities – while a week-long all-inclusive holiday to Greece was £1,451 – a difference of £2,107.
A week’s stay at a National Trust property in West Sussex would cost £2,709, while an all-inclusive stay at a four-star resort in Costa Dorada, Spain, would cost the same family £1,003 less, at £1,706.
Zoe Harris, chief customer officer at On the Beach, said: “At a time when energy bills are sky-rocketing and the economy is faltering, people need to be careful with their money.
“To see that so many people wrongly assume that a holiday in the UK will be cheaper than a trip abroad is worrying.
“You have to wonder why anyone would pay a premium for a cold, soggy autumn holiday in the UK when they can enjoy drier, warmer weather at a fraction of the cost.”
She also warned that dropping travel insurance to save money is “a false economy”.
In a trading update for the year to September 30, the OTA said five-star holiday sales were up 83% compared to 2019, contributing to average booking values rising 31% compared to 2019.
However, it noted: “Partly due to continued rising costs of living, the lates market for value holidays has remained subdued in H2FY22 and as a result, sales of three-star holidays for FY22 were 18% below FY19.”
Picture: 4 PM production/shutterstock.com
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