Sri Lanka cheapest long-haul holiday spot

03/10/2011

By Natalie Thomas

Euro exchange rates may be poor but that isn't stopping British holidaymakers from visiting long-haul destinations, which are showing to be more financially attractive.

Research by Post Office Travel Money found that the long haul destination at the top of a holiday cost-of-living-index was Sri Lanka.

It was found that Sri Lanka was 38 per cent cheaper that its closest rival Thailand, when it came to buying items like a meal out, drinks and sun cream.

Vietnam, which is becoming a popular destination for British tourists, came third in the list.

The most expensive destination surfaced as Hong Kong, and China showed the biggest increase in prices over the last year.

South African prices have dropped 27 per cent, with the country now more financially friendly to tourists after price increases when it hosted the 2010 World Cup.

The dearest Caribbean holiday was revealed as Barbados, while the Dominican Republic was found to be the cheapest.

Head of Post Office Travel Money, Sarah Munro, said: "Things are looking up for hard-pressed holidaymakers.

"After a summer when the weak UK pound bought less holiday cash in Europe, tourists heading further afield for winter sun can look forward to seeing their pounds stretch further in most long-haul destinations."