Brits plan holidays abroad despite lack of faith in UK economy

Despite confidence in the UK economy hitting an 18-month low, more than half of Brits plan on taking a holiday abroad, new research has revealed.

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The survey of more than 5,000 consumers for the annual Holiday Confidence Index (HCI) produced by First Rate Exchange Services, found that the determination of the 54 per cent of Brits who will be taking a holiday is reflected in the fact that 44 per cent have already booked their first holiday and over 22 per cent have booked a second one. But fewer Brits – 47 per cent down from 53 per cent a year ago - will be taking an all-inclusive holiday as they did not consider it a good way to control costs.

Consumer confidence in personal finances has also fallen and a growing numbers of Britons plan to curb their costs by making cut-backs in the frequency with which they travel and the length of their stays. Three in ten holidaymakers say they will take shorter breaks of one to six nights, overtaking those who will take seven-night holidays (27 per cent) for the first time.

Almost two thirds (65 per cent) of holidaymakers will head to the Eurozone on their first trip abroad, despite continuing speculation about sterling and the strength of the euro, while demand for transatlantic trips has dropped significantly and the 'Trump Effect', which has included tighter entry restrictions into the USA, may help to account for this downturn.

Meanwhile, the threat of terrorist attacks in holiday resorts does not appear to be acting as a deterrent to travel, with two thirds of holidaymakers admitting to being concerned about terrorism but that this will not put them off travelling. Just one in five (21 per cent) changed their destination because of terrorism, a fall of 7 per cent since last year.