Rush to Book European Holidays As Euro Crashes
There’s some great news for holidaymakers this year… thanks to the falling value of the Euro.
As the Euro crashes, the price of European holidays is also falling – the first time since the 2008 financial crisis.
Currently, the Euro is worth just 78 pence – last March it was worth 84 pence – the Euro is also at its lowest level against the US dollar in four years.
Mario Draghi, the European Central Bank’s President, said that the Eurozone’s recovery was “fragile and uneven”, so 2015 should be a good year for us Brits to bag a holiday bargain.
This low value of the Euro, combined with the fact that the Government is axing Air Passenger Duty (APD) tax for children from May, means there’s no better time to book a European summer holiday.
That goes for winter sun and ski holidays too. If you’re in two minds about booking a last-minute holiday, it’s worth taking advantage of these cheap prices – although watch out for holidays in Switzerland which will be more expensive now they have scrapped the Euro cap.
The travel industry is predicting that, as a result of the falling value of the Euro, this year’s holidays will be at their cheapest - 5 to 15% down on last year’s prices.
The biggest area to see a reduction in prices will be self-catering holidays where accommodation will be cheaper and, once out in resort, the prices of eating out, drinking and groceries are expected to be around 20% less than the last few years.
So how can you make the most of these holiday savings and discounts?
Several money experts have suggested some ways to take full advantage of these low prices:
- Pay Now
If you’ve booked self-catering accommodation, but don't need to pay for it yet, find the cash and pay it as soon as you can – prices could increase if the Euro gains strength.
- Buy Currency Now
If you can, find the cash for your spending money now because, compared to 18 months ago, €500 Euros cost £50 more than it does today, yes, that’s £50 extra, free, call it what you will! Foreign exchange prices have never been better for us Brits, so buy as much as you can afford.
What’s more, it may be that we will also benefit from lower air fares before long too, as this week, oil prices reached their lowest in 6 years. Currently, the airlines are saying that because they hedge their fuel prices, they aren’t benefiting from the fall in oil prices and therefore cannot pass any savings on to their passengers. But here’s hoping…