UK consumers ‘spend £45bn on holidays’

The UK holiday industry is worth almost £100 billion, according to new research.

The data from AXA Insurance based on a poll of 1,000 adults in July, shows that UK consumers will spend £97.3 billion on various elements of their holiday this year.

The cost of holidays, at £45 billion, was the highest expense, followed by spending money at £29 billion.

Tours and excursions cost £4.4 billion while £4.2 billion was spent on travel insurance and £2.2 billion on car hire.

More than half of people (53%) will take between one and three holidays, one in ten expect to go on four or five breaks. More than 2 million people will take more than five breaks, according to the findings.

The most popular holiday is the traditional hotel/apartment and beach break, which attracts 65% of people. This was closely followed by the city and beach combinations (60%) and fly-drives (44%). Least popular were holiday camps, cruising and safari holidays.

The UK and Ireland proved to be the most popular destinations with 68% or more than 22.4 million taking a domestic break or holidaying over the Irish Sea.

UK and Ireland also proved to be most popular with the over-65s with three quarters choosing to holiday at home or in Ireland.  People in Yorkshire/Humberside (82%) are more likely to holiday in the UK/Ireland, the research found.

*The most popular 2006 holiday destinations:

Destination     Percentage and number  (millions) of consumers planning to holiday at destination     

UK and Ireland  68% or 22.4m 

Spain, Balearic and Canary Islands      37% or 12.2m 

France          25% or 8.3m  

Italy   19% or 6.2m  

US      17% or 5.6m  

Greece  13% or 4.5m  

Canada          10% or 3.2m  

Portugal        11% or 3.6m  

Australia and New Zealand   9% or 3m     

Africa  8% or 2.8m   

South America   7% or 2.4m   

Southeast Asia  7% or 2.2m   

India   6% or 2m     

*How much do we plan to spend on holidays and related add-ons in 2006:

Area of expense Total cost    

Booking the holiday itself      £45 billion   

Spending money  £29 billion    

New clothes     £7 billion    

Tours and excursions            £4.4 billion  

Travel insurance        £4.2 billion  

Holiday toiletries      £2.4 billion  

Car hire                £2.2 billion  

New electrical equipment        £1.5 billion  

Holiday equipment, e.g. toys / tents etc        £1.6 billion  

*Most popular holidays during 2006:

Type of holiday Percentage and number (millions) of consumers planning to holiday at destination      

Hotel/beach apartment   65% or 21.6m 

City and beach           60% or 19.8m 

Fly/drive                    44% or 14.5m 

Villa holiday               25% or 8.3m  

Camping                    21% or 7m    

Theme parks              19% or 6.1m  

Sporting holidays        16% or 5.3m  

Holiday camp             14% or 4.7m  

Cruise                       14% or 4.5m  

Safari                          9% or 3m     

Report by Phil Davies

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