For those of us stuck at home watching food prices go up, inflation has become a depressing reality. But holidaymakers escaping it all for a week are also having to cope with higher costs as the price of everyday goods in leading UK travel resorts has shot up, a report published today suggests.
After being ranked as some the best value-for-money destinations only five months ago, Egypt and Turkey have seen the cost of 10 "typical holiday items" shoot up 24% and 21% respectively, according to the survey by the Post Office.
Using a basket of goods including a suncream and a three-course meal out, the survey showed that holiday inflation was becoming an irritant for tourists at a number of mid-haul destinations, driven by worldwide high oil prices and food costs.
By comparison, countries in the Far East represented a much better deal in terms of daily costs - even though this was somewhat offset by the price of a long-haul flight.
The basket of items cost half as much in Thailand as in Cyprus, according to the Post Office's price index. Travelling east is a better bet than going west, with holiday costs far cheaper in Malaysia than in the Caribbean, the survey found.
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Most expensive for the 10 items was Barbados, where holidaymakers would have to fork out a total of £126.89, with most of this going on a meal. This was 78% more for the 10 holiday items than sister island Jamaica. However, the total was inflated by the high cost of eating out which, at around £104 for an evening meal, was at least twice as expensive as any of the other destinations surveyed - largely because restaurant meals on the island are generally taken within hotel complexes.
In contrast, the 10 items, which also included an English language newspaper, cigarettes and a cup of coffee, would set tourists back only £33.83 in Thailand and £37.98 in Malaysia.
Despite the inflated cost of holiday items, foreign currency sales for holidays to Egypt and Turkey were booming as were sales of American dollars despite a weakening pound, the Post Office found.
Helen Warburton, head of travel at the Post Office, said: "Egypt and Turkey were among our fastest-growing currencies this summer and that trend is continuing with a year-on-year September sales growth of around 19%.
"The perception of good value combined with the fact that they will suffer relatively less from airline fuel surcharges than destinations further afield is likely to make them popular half-term choices."
Hayes & Jarvis, a long-haul tour operator, said that mid-haul holidays to the Middle East and Egypt now accounted for almost one-third of autumn bookings, up from just over one-fifth last year.
The Post Office, whose counter sales account for some 28% of UK currency sales, said that despite sterling having slipped against the US dollar in recent weeks, demand for the dollar had remained resilient, and was up 21% in September.
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