Eight million Brits to choose staycation due to plummeting pound

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The UK’s seaside resorts could be the destination of choice for many British holidaymakers this year due to the current value of the pound.

 

The seaside sector could get a boost this summer after new research claimed an estimated eight million Brits will change their travel plans and holiday in the UK due to the post-Brexit fall in the value of the pound.

In a survey of more than 2,000 British adults by travel insurance firm Columbus Direct, 41 percent said sterling’s slump had affected their decision making, with 16 percent saying they would opt for a staycation in order to save money.

The pound dropped by nearly 20 percent against the dollar in the weeks following the EU referendum, and although it has recovered slightly it remains 16 percent lower than it was prior to the vote.

“We have enjoyed a strong currency for many years so the reduced strength of the pound is going to be noticeable for holidaymakers when it doesn’t go as far as it used to,” said Rob Thomas, head of brand at Columbus Direct.

“Anyone heading to Europe, the US and Australia especially will feel the pinch of less favourable exchange rates.”

Half of the respondents in the survey revealed that they have had to tighten their holiday budgets, with many popular overseas destinations more expensive following the referendum vote and falling value of the pound.

Anyone travelling to Europe today would get around £65 less for every £500 they exchanged, compared to February 2016. Holidaymakers heading to the US would feel the pinch too, with £500 now worth $88 (£70) less than last year.

Those who went skiing in the Swiss Alps for half-term will have seen their £500 worth 110 Swiss Francs (£88) less than it was in 2016.

Australia is the destination where British tourists would be hardest hit, according to Columbia’s currency analysis. Jetsetters making the journey down under would only get A$830 from £500, as opposed to A$1,014 a year ago – a reduction of £111.


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