With the news that the numbers of people choosing to holiday in the UK is growing, it is perhaps not surprising that costs across European holiday resorts are down. Countries like Spain and Portugal have been hit hard by hard by the economic downturn. So, the news that prices for goods at mainland Spanish resorts have dropped by 20% and 15% in the Portuguese Algarve region over the last year should come as no shock.
The news comes as more figures show that sterling is worth 4.5% less than it was this time last year. However, since resort costs have fallen, this drop has been negated to some extent. According to the Post Office Holiday Costs Barometer, Portugal has emerged as having the cheapest holiday costs thanks to low prices for meals and drinks. However, Spain is close behind in terms of costs of goods and services in the main holiday resorts.
The cost of the ten items used to measure costs in holiday destinations across Europe found that at £46.34, the Algarve was cheapest. The Costa del Sol, Costa Blanca and Sunny Beach Bulgaria were all not far behind with these goods coming in at less than £48.
Costs in other popular global holiday destinations were higher, although these destinations had also seen significant drops in prices. The costs of the ten items in Orlando, Florida were £58.16 - 21% less than last year. Sharm El Sheikh in Egypt saw prices of £62.83, 17% lower than last year. Drops in prices also occurred in Split, Corfu and Bodrum in Turkey.
Andrew Brown of Post Office Travel Money said: “The pound may be worth less in Europe than a year ago but fierce competition means that lower prices in several of the resorts we surveyed can easily offset the falling value of sterling.”
Tellingly, no UK destinations were in the top half of the survey, which may mean that for UK holidaymakers heading abroad may be the cheapest option for their annual getaway. Wherever you go, remember to book early and ensure you have the correct travel insurance.
Date Created: 24/04/2013