How much are you planning to spend on holiday this year? According to research from M&S Bank, you could be spending more than last year, with over half of holidaymakers surveyed admitting that they're planning to spend more.
The figures show that the average family of four intends to spend £1,878 on their main holiday this year – not including spending money – with 57% saying they will spend more than they did on their main holiday in 2014. In fact, 10% are planning to spend more than £4,000, which just shows how expensive a typical family holiday can be.
There are various reasons behind this increased spend, but much of it seems to be due to families choosing more expensive destinations or longer holidays overall. Of those planning to spend more, 34% said that it was due to upgrading to a more expensive destination while 24% said it was because they're going on a longer holiday, with 19% planning to go away for more than a fortnight.
However, it isn't only the cost of flights and accommodation that can add up – so can the cost of spending money. In fact, families are planning to spend £560 per person (£2,240 for a family of four) while on holiday this year, adding a significant chunk to the overall cost of a holiday.
However, despite these costs, it seems that many holidaymakers aren't exactly planning ahead. In fact, 33% don't make a budget at all, while 13% will make a budget but won't stick to it. This can be a big mistake, as there'd be nothing worse than getting yourself into financial trouble as a result of a holiday, or paying for it long after you're back on home soil.
The key to successful budgeting, said M&S Bank, is making an overall budget, with 37% finding this easier than planning their spending for each day or week. Making sure you save up enough to cover the cost is also vital – regular savings accounts can be ideal for this purpose, as they allow you to squirrel away little and often in order to build up a healthy savings pot.
You'll want to be prepared when it comes to holiday shopping, too, with 52% of those surveyed saying that they start shopping for holiday essentials (such as sunglasses and suncream) a month or more before they depart. That way, you've got plenty of time to scout out the best deals, and won't be left paying over the odds at the last minute – or worse, at the airport.
"For many, the family holiday is one of the highlights of the year, so it's great to see that the majority of families are planning to treat themselves by spending a little extra this year, whether that's by upgrading to a more expensive destination or going away for longer," said Paul Stokes, head of products at M&S Bank. "[However,] we would encourage families to set a budget before jetting off to ensure that they get the most from their travel money."
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Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.
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