Brits rack up debt to get away this summer

Over 10 million UK adults going away this year (32%) are racking up debt in order to fund this year's summer holiday, a new survey by Bright Grey has found. The research from the protection specialist reveals millions will pay for this year's holiday by using their credit card, a travel agent payment plan or borrowing cash from friends or family.

Of those borrowing to fund their summer break, over half (58%) do not have the money readily available to repay their debtors straight away, meaning they could face additional interest payments. For credit card borrowers alone this could add over £100 to their holiday costs for each month it takes to repay the balance. 

When questioned as to why they borrowed money to pay for their holiday, nearly one in seven people (13%) said that they have to have a holiday every year, irrespective of their current financial situation. Interestingly, a seventh (13%) of socially conscious respondents said they had to be seen by their friends to be taking a holiday every year.

The study also revealed that more people value the need to go away over their job security, when questioned as to what issue was more important to them. However, the top two priorities for UK adults this year are personal health, followed by financial security.

Roger Edwards, proposition director at Bright Grey said: "Getting away on holiday can be a high point of the year for many people, however with one in three borrowing to pay for their getaway, it is important to make sure they don't end up with a financial holiday hangover on their return. Planning ahead for the future financially can help avoid using expensive emergency measures to cover them for the short-term and also mean that everyone can enjoy the sun without the grey cloud of debt hanging over their heads."