The present difficulties being experienced in the currency exchange markets are causing a significant number of Britons to think twice about where they will head off in the search for some summer sun, a new study reveals.
Research carried out by moneysupermarket indicates that as the pound continues to weaken against the euro, some consumers are considering not taking a holiday on the continent in favour of destinations which are further afield. According to the price comparison site, just under a third (29 per cent) are looking towards taking a break outside of Europe directly as a result of the diminishing value of sterling compared to the continental currency.
Meanwhile, one out of six people questioned reported that if they knew that the value of the pound would be set to fall as dramatically as it has done over recent weeks they would not have a booked a holiday to Europe in the first place.
Those consumers looking for an effective way to finance a holiday, whether it is in Europe or further away, might wish to consider taking out a cheap loan.
Commenting on the figures, Peter Gerrard, head of insurance research for moneysupermarket, said: “With the pound falling by over 16 per cent against the Euro since September, it's not surprising Brits are re-evaluating their holiday plans and looking away from Europe. Whether you're a sun-seeker, adrenaline-junkie or culture vulture we all want to get the best value for our hard earned cash and it seems Europe may not be the place to do that this summer. Holidaymakers are weighing up their options between a more expensive flight to a long-haul destination or a short hop across the channel and paying through the nose when you get there."
Mr Gerrard went on to assert that it is crucial for tourists to take the time to ensure that the level of cover set out on their travel insurance is right for them. In particular, he claimed that consumers should look at the premium's provision for cancellation and baggage cover. The moneysupermarket chief reported that sometimes the amount of insurance provided can be set below the value of a holiday or belongings.
However, for consumers who have not taken out a travel insurance policy, or have chosen an inadequate level of cover, it may be possible that they have to dip into their own pockets in order to meet the expense of replacing missing luggage or medical treatment while abroad. In turn, this could have an impact on their capacity to manage other constraints on their spending upon their return to Britain in areas such as personal loans, store and credit cards, household bills and mortgage payments.
Whether planning a week in Blackpool, a city break in Barcelona or two weeks in Brisbane, consumers wishing to fund going on holiday might be advised to consider get a low-cost loan. The additional monetary assistance that a loan provides could also help tourists to purchase comprehensive travel insurance, in addition to leaving enough disposable income to provide some spending money. In research carried out earlier this year by Cahoot, it was revealed that some 231 million pounds is splashed out by Brits on souvenirs, presents and cheap “tat" while on holiday each year.
Mark Dawson writes for the the Loan Arrangers where you can compare loans and apply online for cheap secured loans, and bad credit loans
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