By Klaudia Hostynska
Summer is just around the corner, but for many families in the UK, the prospect of a holiday is far from reality. With the cost-of-living crisis continuing to impact households across the country, many people now have to turn to different options compared to how they used to spend their holidays.
According to an October 2022 study, seven in 10 Britons believe that the rising cost-of-living will impact their holiday plans. Many are now choosing cheaper options or are opting for staycations, especially when it comes to younger individuals between the ages of 25 and 35.
Share of individuals believing that the rising cost of living may have an impact on holiday decisions in the United Kingdom. Infographics credit: Klaudia Hostynska. Information courtesy: Statista
The cost-of-living crisis in England was driven by a number of factors, such as rising inflation, supply chain disruptions, and the continuous effects of the COVID-19 pandemic. This resulted in an ongoing rise in prices for goods and services, as well as transport and housing.
For couples such as Anna Lisiecka and Marcin Dobroszek, 30 and 32, who both work in hospitality and usually take up to three holidays abroad every year, this year has been particularly hard.
“As a manager I had to work longer hours than usual due to the lack of staff in general, but even if things were different, we still wouldn’t be able to afford to go anywhere. Our rent went up, prices went up and our usual holiday destinations cost almost 30% more,” said Dobroszek.
Anna Lisiecka says even staycations are not an option this year
Others are choosing alternative options such as staycations because they don’t know how much they will end up spending on holiday. “I know that I struggle to make ends meet at least once in two months anyway, so I’m not planning to risk anything by going to another country this year,” said Annie Dobrev, 25, who works at Zara in Bromley. “This summer will probably be all about spending time in the park or local seasides,” she added.
Annie Dobrev speaking about her holiday plans for this summer
People choosing to enjoy a sunny day outside the Battersea Power Station. Courtesy of Klaudia Hostynska
The general impact of the cost-of-living crisis on the travel industry in the UK has been significant. According to a travel agent working for TUI Bromley, Mike Abbot, 36, who has been in the industry for 10 years, this year has been particularly challenging.
“People still want to go on holiday, they just want to get out of England as it is, but at the same time we do see fewer bookings, and people often complain about the prices and enquire for something cheaper,” said Abbot.
While the cost-of-living crisis is affecting everyone differently, it is clear that many individuals have to settle for different options when it comes to their usual holiday plans. Some are trying to find ways to save money while still enjoying their summer and others are cancelling this year’s plans completely.
For those choosing to stay closer to home, there are many places to explore around the UK and even London itself. England offers many beautiful beaches with available accommodations such as Margate, Bournemouth and Camber Sands. Individuals choosing to spend their summer in London have a number of rooftop bars available, as well as parks and activities.
Infographic by Thomas Jones
For those still wishing to travel abroad, there are many ways in which money can be saved. Darren Mark, 29, who works in Branded restaurant, said: “I chose to book for next year instead of this year, in this way, I still have something to look forward to but then I get more time to save money and I also get to pay it off in instalments spread over eight months, so you practically don’t feel it.”
Choosing a less expensive destination has proven to be a better option this year. And as Abbot said: “We offer more flexible cancellation policies along the payment plans so that customers feel more comfortable booking with us.”
How to get cheap holidays abroad
- Use search engines for price comparisons when booking flights/hotels
- Try out hostels instead of hotels
- Book last minute – often many discounts come in 1-4 weeks before travel
- Book flights separately to accommodation, airlines such as Easy Jet and Ryanair often offer flights for as little as £20
- If you’re going away for longer, package holidays are often all-inclusive and work out cheaper
Overall, the cost-of-living crisis forced the travel industry to adapt to the circumstances. Many travel agencies offer alternatives and focus on all-inclusive deals and activities included in the bundle so that customers can worry less about spending money whilst abroad.
Even during a time like this, affected people continue to budget and find ways to go abroad to enjoy their time, but it does not mean they are not struggling; they are just doing their best to carry on with their lives in the usual way.
Despite these challenges, the travel industry in the UK continues to recover after the pandemic and the issues that come with the cost-of-living crisis. “Looking ahead to 2030, we anticipate demand varying significantly between geographic regions. Europe–North America travel could increase about 20% from its 2019 demand volume in the baseline scenario, while Asia intraregional travel could jump 60%,” Bain and Company said.
In the meantime, individuals like Annie Dobrev are making the best out of their summer regardless of the difficult situation.
“The situation will have to pass at some point, right? Until then all I can do is enjoy my summer as it is. There’s no point being upset, I’m finding happiness in spending time with my family and enjoying London because if you think about it, it’s one of the most beautiful cities out there.”
Anna Lisiecka agrees. “We will definitely book something for next year. This year we decided to just have a lot of date nights in central London and enjoy being outdoors.”
In general, this summer is not what everyone across the UK hoped for. The cost-of-living crisis has made holiday planning more difficult. But people seem to understand and continue to enjoy their everyday life despite the struggles.
Unfortunately, according to ICAEW, things are going to get worse until they get better. The crisis can last for many more years, and at the moment it will definitely be lasting until at least the end of 2024.
Despite this, people are still encouraged to look forward to their plans. There are many cheaper alternatives in place which allow individuals to spend their time off away from home. It is definitely worth checking out staycations around England and getting creative with different free activities which can take your mind off everyday struggles.
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