The world has never been more divided, but there’s one thing that never fails to unite the masses: daydreaming about holidays.
But even that is about to get a lot more expensive.
The pound recently dropped in value, a direct result of a rise in government borrowing and concerns over the strength of the UK economy.
What that means on a level we can all relate to, is that Brits travelling abroad will get less money for their sterling.
The pound has fallen 6.8% against the US dollar, the lowest level since November 2023, leaving Brits with just £1.21 for every $1, compared to £1.30 in October last year.
The pound is also down against major currencies like the Euro and the Swiss Franc, though the biggest drops have been felt across Caribbean and South American currencies.
In fact, new research from travel money specialists No1 Currency shows that since October 2024 – when Rachel Reeves announced her first budget – the pound has fallen against a total of 51 currencies.
There are just three where the pound is currently up: the Hungarian forint, the New Zealand dollar, and the South African rand.
Here’s the full list of all 51 countries, and the value of the pound against their currencies.
However, if you’re heading to any of these destinations soon, don’t panic — this isn’t the be all and end all of affordability.
Along with getting bang for your buck at the currency exchange desk, you also need to factor in the cost of items locally and the price of getting there.
A flight to New Zealand, for example, will offset any savings made against travelling somewhere closer by (regardless of how weak the pound is there).
And why not use this news to your advantage? Metro recently shared a list of the nine cheapest European cities for weekend breaks, with Budapest, Hungary coming in top.
The likes of flights, accommodation and food and drink are already the continent’s most reasonable, but given the pound is strong against the forint, it’s the perfect choice for a budget-friendly break this year.
Our resident off-the-beaten-track traveller Alice Murphy also spent 48 hours in Vilnius, Lithuania’s compact but charming capital which was recently named Europe’s most affordable city.
Do you have a story to share?
Get in touch by emailing [email protected].
2025-01-14T16:44:47Z