Brits scrap summer holidays as credit crunch becomes a concern

A quarter of British adults (24 per cent) are shelving their holiday plans this year, with 43 per cent of them worried about the impact of the credit crunch on their finances according to a study by CreditExpert.co.uk, the online credit monitoring service from Experian. Those who do choose to take a break will pay the price, with over two and a half million British adults getting into debt each time they go away - twice as many as this time last year.

People living in Wales and the South West of England are the most concerned about the credit crunch hitting their finances and are trying to cut back on spending. 65 per cent of people in these regions cite this as the main reason for not planning a holiday in the next twelve months. In Scotland, the main reason for not planning a holiday is affordability, with 68 per cent of Scots saying they are unable to stump up the cash for a break.

The research, which is based on a survey of 1,047 adults, also reveals that:

18-24s are most worried about letting people down with a third (33 per cent) saying they succumb to peer pressure to go on a holiday which then pushes them into debt

People in the North East of England (27 per cent) are the most likely to go into debt from holiday spending

16 per cent of British adults admit that holidays are so important to them that they only think about the money they have spent when they return home

Share and share alike

One in five people (19 per cent) cutting back are choosing to share a holiday with family or friends rather than do without a break. This figure rises to 37 per cent of 18 - 24 year olds, who are likely to be going back to family holidays this year to get their summer sun.

Jim Hodgkins, Managing Director of CreditExpert.co.uk, says: "The credit crunch is really biting now and it will be painful for people to make the choice between not going on holiday or taking on more debt to do so. Due to the recent increases in the cost of living, we are seeing more people keeping a closer eye on their credit commitments using Experian's credit monitoring service."

CreditExpert provides you with a summary of your credit status and alerts you to significant changes on your credit report. You can get your free credit report with a 30-day trial at creditexpert.co.uk.