Holiday spend set to increase?

More than two-thirds of consumers will increase or maintain their holiday budget this year despite the economic gloom, according to Abta.

Its Holiday Value Report, out today, found that 68% of people asked were prepared to up their travelling budget or spend the same as last year.

It predicted the average spend this year will be £632 per person, or £2,500 for a family of four.

More than half were prepared to spend up to £500 on flights and accommodation, with 8% happy to pay more than £1,200 each.

It also found that the annual holiday was rated as the most prized annual purchase by 37% of respondents, well ahead of the next most popular purchase of a new car, which was backed by 15%.

Abta also found members were reporting a good response to early booking deals in the past couple of weeks.

Egypt, Turkey and long-haul destinations such as Orlando, as well as cruises, were said to be selling well.

“Holidays are important to people in different ways but the research is clear that holidays are a vital part of people's year and still will be this year despite the economic downturn,” said Casia Zajac, Abta head of communications.

The poll surveyed 2,447 adults between December 24, 2008, and January 5, 2009.