Spain 'doesn't Costa Packet any more'

Updated

A study into resort prices at a range of international resorts has revealed that prices have tumbled by 40 per cent in Spain.

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The annual survey, conducted by the Post Office, buys a "basket" of eight items in 33 destinations around the world - to give a snapshot of what tourists will have to pay "on the ground".

And the big surprise from this year's survey is that prices appear to have tumbled in Spain, making it 40 per cent cheaper than it was five years ago. Only Sri Lanka was cheaper, out of the countries tested.

In contrast Portugal was up 39 per cent in a year, Turkey could only manage 17th cheapest and Italy was the most expensive destination in Europe.

The eight items purchased in the survey are a cup of coffee in a bar or café, a bottle of local beer, a can of Coca-Cola, a 1.5 litre bottle of mineral water from a supermarket, a bottle of suncream, insect repellent, a pack of cigarettes and a three course evening meal for two adults - including a bottle of house wine.

The items came to £37.72 in Spain - compared to £53.19 in Cyprus, £60.20 in Turkey, £72.90 in Florida, £89.03 in Italy and a whopping £115.69 in Australia.

The basket cost just £27.95 in Sri Lanka.

Post Office head of travel money Sarah Munro said: "The message that came out clearly from our holiday budgeting research was that 2012 will be all about affordability. Holidays may still be a priority but they are not a necessity and people will not knowingly get into debt to fund them.

"The winning destinations will be those that offer good value not just for flights and accommodation, but for tourist staples like meals out and drinks."

What do you reckon? Is Spain back on your holiday hitlist? Comment below...

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