By Ian Lewis
With the average summer holiday set to cost just over £1,000 per person this year, more than eight million people are likely to be staying at home instead this summer, new research has found.
According to the Money Advice Service around 27 million UK adults plan to take a summer holiday, spending an average of nearly £1,028 per head and amounting to a total of over £27 billion.
But almost a third - or some 15 million people - are not planning on going away this year with more than half (8.5 million) of them saying it's the cost that is putting them off taking a holiday.
Among those who are planning a break, either overseas or within the UK, most say they know exactly how they will fund it. Almost four-fifths of holidaymakers intend dipping into their savings to help pay for their getaway with around 800,000 set to take out a bank or other loan, use their overdraft or borrow from friends or family.
Jane Symonds is head of service delivery at the Money Advice Service, which has launched a Summer Cost Calculator to help people gauge how much the warmer months are going to end up costing them.
She said going abroad could be expensive especially when added to cost of other activities during the summer.
But she added: "Everyone deserves a break once in a while. It's vital to make time to recharge the batteries and enjoy time out with family and friends. I'm worried so many people feel they can't afford to have a holiday. Before you decide you absolutely can't afford any kind of holiday, get a clear picture of your money across the whole of the summer."
The research found the amount people expect to pay for their holidays increases as they get older. Among 18 to 24-year-olds, the average holidaymaker plans to spend just over £640 per person but those aged 55 and above are set to spend some £1,110 per head.
About one per cent of holidaymakers say they'll take out a payday loan to pay for their summer break with a similar number turning to the banks, 2% borrowing from friends or relatives and 3% using their overdraft.
Holidaymakers from the West Midlands are set to splash out the most on a holiday (£1,108 per person) with their counterparts in the South West intending to spend the least - almost £928 per head.