Less sun fun for Brits stretched to the hilt

Nearly three in five Brits (57%) will be forced to cut their holiday spending this year according to new research from pre-paid currency card provider FairFX.com. And almost one in 10 admitted the credit crunch and fear of recession had spooked them enough to cut how much they'll spend.

Despite this, 19% of people plan to spend more than £700 this year. 30% don't plan to cut back their spending at all and 4% actually plan to increase it.

Meanwhile, 20% of those aged 55 and over said the poor exchange rate and weak pound was the main reason they were planning to cut back vs 9% of those aged between 18 and 34.

Stephen Heath of FairFX.com makes the point that unless conditions change holidaymakers are planning to spend just £460 each on what should be the main break of the year.

"The survey also showed 14% are planning to cut back as a result of the poor exchange rate and weak pound making travel more expensive. However, using a pre-paid currency card allows travellers to buy currency when rates are favourable and store them for later use.

"Savvy travellers should consider the benefits of using a currency card to ride out the volatility in the market and lock in great exchange rate deals," says Heath.

06 May 2008 © Moneyextra.com

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