Strong pound sees half term holiday bargains

The cost of a half-term holiday has risen by less than 1.5 per cent since last year in all ten popular family holiday destinations, according to research by M&S Bank. The average price increase is just 0.4 per cent, largely as a result of the strong performance of the pound against the euro.
 
The top four most affordable holiday destinations (Majorca, Amsterdam, Algarve and Brittany) for a family of four are all in Europe; good news for families looking for shorter flight times and a great deal on foreign currency this May half-term.
 
A trip to Dubai also costs less this half-term, down by 1.2 per cent to £610 per person. This provides better value for money than two of the European destinations researched: Sardinia and Crete. At £71.78 cheaper per person than a holiday to Egypt, Dubai is almost £300 cheaper than the next most affordable non-European destination.
 
The destination which offers best value for money is Majorca, with a week long holiday to the Spanish isle costing just £486 per person. The cost of a holiday to Majorcahas risen by 1.1 per cent or £21.86 since May 2013.
 
Phuket represents the biggest saving year-on-year, where the cost of a holiday has fallen by 2.8 per cent or £83.39 overall. However, it remains the second most expensive holiday destination, with costly long-haul flights boosting the price to £712.76 per person.
 
The most expensive holiday destination for the second year running is Florida, with a week-long break costing £1,045.95 per person; higher flight and activity prices make this popular half-term destination costly for those on a tight budget.

Strong pound prevents price hike
 
The pound has risen three per cent against the euro in the last twelve months. Coupled with comparatively low inflation - the average level of inflation across all six European destinations was 1.0 per cent, 0.6 per cent lower than current UK inflation rates – this makes European holidays a good choice for families this half-term.
 
Paul Stokes, head of travel money at M&S Bank, said: “Families will be pleased to hear that the cost of a half-term holiday has risen only nominally since last year, with the average price increase (0.4%) far less than current UK inflation (1.6%). European destinations in particular offer good value for money as the pound has continued to improve its position against the euro over the past year, so families won’t need to travel too far afield to get a good deal this half-term.”
 
Follow Paul’s travel money tips:

Plan your holiday budget so you know how much your holiday is going to cost and how much travel money you need, remembering to factor in currency to cover taxis, tipping and any extras, even if you’re going all inclusive

Do some research to find out whether tickets for any of the activities you’re planning are cheaper if bought in advance

Choose a travel money provider that doesn’t change their rate by channel; many providers have different rates online and in-store, meaning you can’t rely on internet rates if buying from a bureau de change, some also change their rate throughout the day

Don’t leave your holiday money until the last minute, airport bureaux often offer less competitive rates and may not have a wide variety of note denominations

Always take both travel money and a credit/ debit card, to ensure you’ve got multiple methods of payment

M&S Bank has introduced exclusive card holder rates across all currencies purchased from M&S Travel Money.