Holidaymakers in the UK are facing a financial crisis during their trips abroad, as a recent study reveals that the average British tourist runs out of money precisely halfway through their sunny getaway. Despite diligently saving an average of £600 to cover their expenses while on holiday, the typical individual exhausts their funds a mere seven days into a standard two-week break.
It appears that extravagant day trips, impulsive purchases, and sentimental souvenirs are among the chief culprits for Brits depleting their finances overseas. Moreover, underestimating the cost of food and alcoholic beverages wreaks havoc on the holiday budget for many travellers.
Commissioned by Kalixa Pay, the study surveyed 2,000 holidaymakers and discovered that a daring one in ten recklessly spends their entire holiday budget within a mere two days of arriving at their destination.
A spokesperson for Kalixa Pay shared insights on the matter, stating, “Although we all strive to adhere to a budget during our vacations, the results of this study reveal how often our plans go awry. This can be attributed to a variety of factors, including confusion about exchange rates, underestimating expenses, being unaware of hidden bank charges, or simply surrendering to the moment and letting go of our spending inhibitions while abroad.”
The spokesperson emphasized the importance of taking prudent measures to ensure the safety and security of one’s money while on holiday, advocating for methods that facilitate monitoring of expenses. Such precautions, they argued, would enable travellers to strike a balance between enjoying an excellent holiday experience and avoiding the horrors that await upon checking their bank balances upon returning home.
Alarming statistics emerged from the study, indicating that 30% of tourists exhaust their entire budget in fewer than five days. Consequently, it comes as no surprise that the average holidaymaker overshoots their budget by £150. Shockingly, one in four individuals takes three months or more to repay their overspending, plunging themselves into financial distress.
Furthermore, a carefree quarter of holidaymakers neglect to save ahead of their trips and instead rely on credit cards to fund their expenditures. Astonishingly, 43% of those surveyed admitted that when it comes to foreign travel, “common sense flies out the window” where money is concerned.
The study also uncovered that for a third of respondents, their annual vacation abroad is the only time they give in to wild spending. Additionally, one-fifth of holidaymakers adopt a “worry about it when I get home” approach, essentially postponing financial concerns until after the holiday has ended.
The repercussions of such spending habits become painfully apparent upon returning to the UK. A staggering 47% of individuals have experienced the horrifying moment of checking their bank balance and grappling with the realization of how they managed to spend so extravagantly.
Unsurprisingly, the study highlighted that a worrisome 65% of participants constantly fret about the security of their money while abroad. It was found that food expenses were the primary drain on holiday funds, as unsuspecting tourists are caught off guard by prices that surpass their expectations.
The spokesperson from Kalixa Pay concluded by stating, “Life is meant to be lived, and it’s wonderful to embrace the holiday spirit. However, it is crucial that this indulgence does not come at an exorbitant cost to personal finances in the long run. Our research reveals that over 55% of us typically carry our spending money in cash, so it is not surprising that keeping money secure remains a major concern for holidaymakers. Through proper planning, budgeting, and ensuring the safety of your finances, you can enjoy a well-deserved break with peace of mind.”