Trips abroad can get Brits in debt

You work hard all year long, you’re tired, you’re stressed out of work and life and the only thing that makes you looking forward to something is to get rest at some point – to go on holidays. But that might get stressful too. Holidays cost money and according to data from ONS, Brits might not have enough money to cover their holiday expenses, especially  those, who have kids.

In 2018 UK residents made 71.92 million visits overseas which is 9. 4 % more than in 2015.  In 2018 they spent 45.8 billion pounds abroad which means an average trip costed approximately 636 £. For a four member family that would be 636 £ x 4 = 2540£ (approximately) per a family holiday.

According to ONS a median household disposable income in the UK was 28,400£ in the financial year ending (FYE) 2018, based on estimates form our Living Costs and Food Survey.

Average weekly household expenditure in the UK was approximately 570 £ / week in the FYE 2018. This means an average household expenditure per year is approximately 29, 600 £. According to this many families are in debts even without going on holidays. So how can families afford holidays abroad? According to a recent report from Nationwide Building Society , half of Brits  (of 2,000 surveyed) aren’t willing to give up anything in order to go on holiday. Four in ten paid for their last holiday using savings while a third used their current account. A quarter said they had to borrow money to go on holiday, including credit card (15%), personal loan (4%), while 3% said they borrowed money from family and friends. Of those who borrowed money for their holiday, 88% said this was the only way they could afford to go away. As such, the average Brit takes three months to pay off a holiday, while 11% said it took more than six months.  When asked about holiday regrets, a quarter said they spent too much money while 21% said they didn’t have enough money to enjoy themselves. A further fifth regretted spending so much on their holiday.

There are some ways that might help you to get cheaper holidays. It is known, that you can get many good deals on flights from London or any other airport in the UK, nearly everywhere. If you do not mind a bit of discomfort, budget airlines offer fair prices for the flights. Also, the sooner you book your holiday, the better deal you get. If you do not like booking your flights months prior to  holidays and do not mind planning everything in a rush, you can book your holidays just a few weeks before going and use last minute deals, which sometimes offer up to 50 % of the full price.

But what were the reasons behind many trips that Brits took? Most of them – 56 % travelled abroad for holidays. 20 % were visiting friends and family. 16 % of Brits had miscellaneous reasons and only 7,8 % of them travelled abroad for business reasons.

Whether you’re going for a holiday, visit a friend, or just a business trip, remember to always plan your expenses, so you do not end up in debt.