"Fly Now Pay Later" - the UK attitude to holidays
UK Consumers are taking holidays beyond their means and funding these by borrowing more.
An independent survey commissioned by credit reference agency Callcredit shows that 9pc of people in the UK spent over £1000 per person on their last holiday, not including spending money. It was found that Londoners are the most likely to borrow cash to fund their holiday with 10pc admitting to needing extra money to fund their break away.
Very much a younger way of thinking, the age groups throughout the UK most likely to borrow funds to finance a trip are the 18-24s and 35-44s (both 13pc).
Once a luxury, now we all consider our summer holidays abroad a necessity as do our family and friends. Instead of a holiday being a real 'treat' if we have some spare funds left after a long winter, or something that we save for each month, we now use the 'kiss me quick' borrowing that has become all too familiar to many of us.
Owen Roberts, consumer credit expert, Callcredit comments
"With personal debt increasing by £1 million every 4 minutes in the UK and additional research showing that 4.2 million Britons do not have any qualms about jetting off on their next holiday before actually paying for the last, it appears we have the "fly now, pay later" mentality.
We would advise consumers to be more realistic about what they can comfortably afford and ensure that, if they do borrow money to fund a holiday, they are fully aware of the repayment terms and are at ease with meeting these."
- People in the Midlands / Wales are most likely to spend under £100 on their holiday (travel and accommodation only - not including spending money)
- Those in the South are most likely to spend over £1000 per person on their holiday
- Scottish people are the least likely to borrow to pay for their holiday
- Londoners are the most likely to borrow to pay for their holiday
- 9 per cent of people spent over £1000 per person on their last holiday (not including spending money)
- 9 per cent of people in the UK borrow money to fund their holiday
- The 18 - 24s and 35 - 44s are the most likely age groups to borrow to pay for their holiday (13 per cent of each)