Hard-pressed Brits are unwilling to give up their holidays, even as they face cost of living challenges.
According to a poll by ABTA, just one in three people would spend less on holidays to cover day-to-day living costs.
Instead, people were found to be much more willing to trim spending on gadgets, clothes, eating out and leisure activities such as going to the cinema.
So why are people so committed to taking a holiday, even as their regular bills get higher and higher?
Holidays are good for our mental health
A trip away might once have been seen as a non-essential luxury, but for many, that’s not the case today.
Instead, it’s become a vital part of our self-care routine, setting us up to thrive at home and at work.
Half of those polled by ABTA said taking a holiday supports their mental health.
Similarly, nearly three-quarters described it as their opportunity to relax.
At the same time, almost two-thirds said holidays are important because they let them spend time with friends and family.
Going away is clearly about much more than sipping cocktails and getting a nice suntan.
Instead, it’s a way to decompress and forget about the pressures of life, if only for a few days.
As Mark Tanzer, chief executive of ABTA, says: “You can’t underestimate the power of a holiday - giving people the chance to relax and spend time together.”
People are taking more holidays
Another change from the past is that many of us are taking more breaks throughout the year, rather than just one summer holiday.
Over the last 12 months, people have taken an average 3.94 holidays each.
That’s up from 3.42 in the previous year, and despite the proportion of people who’ve been on holiday in the last 12 months staying unchanged at 84%.
Notably, it’s younger adults who are fuelling this trend, as 18 to 24-year-olds took more than five trips per year on average, and 25 to 34-year-olds have gone on more than six breaks.
At the same time, families with children aged five or over are heading away about five times a year, and parents with children aged under five are taking an average of 6.49 holidays.
It’s perhaps no coincidence that it was younger adults who were most likely to say that going away is good for their mental health.
At a time when factors such as soaring rents and the lack of affordable housing weigh heavily on this generation, it’s understandable that they want to get away from it all from time to time.
But that makes it even more important for young adults to manage the cost of their trips away carefully.
By budgeting wisely, saving throughout the year and looking for deals, discounts and packages, there’s no reason why people can’t take the breaks they crave, while remaining on course to achieve their wider financial goals.
Written by James Glynn
Senior Financial Content Writer
