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Pound’s Strength Gives Holidaymakers More Spending Power While US Tariffs Deter Travellers

Sterling’s surge since March against eight in ten major currencies has improved spending power for two-thirds of Brits planning foreign holidays this year.

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Overview

  • The pound is stronger than a year ago against 25 of 30 major currencies and has gained ground against 80% of them since March, adding almost £31 to every £500 exchanged in the US and £116 in Turkey.
  • Turkey, Spain and Thailand top the value rankings among 39 destinations, with sterling’s 30% rise against the lira giving travellers a particularly large boost.
  • Two-thirds of respondents say they plan a foreign holiday this year, and over half have already booked trips despite nine in ten worrying about affordability.
  • Eighty-two percent of holidaymakers set budgets averaging £377 but 71% admit to overspending by about £140 once abroad.
  • Nearly four-fifths of Britons are concerned US trade tariffs will drive up resort prices, leading 53% to avoid destinations perceived as affected and 39% to rule out US holidays entirely.