Holidaymakers carried away by debtSome take another trip before paying for last one

07 July 2007

 

A black leather wallet

Married couples get certain tax breaks

Britons are racking up holiday debt, with one in 10 people taking another break before they have even paid for their previous one, a survey has revealed.

Around 22 per cent of people admitted it took them up to a year to pay for their last main holiday, while 2 per cent said they still had not cleared the bill.

Just under half of people said they did not save the full amount they needed before they went away, according to Alliance & Leicester.

At the same time, 27 per cent said they had overspent on their last break, 9 per cent of whom went more than £500 over budget.

Credit cards

A fifth of those who went over budget put the extra spending on their credit card, despite having no immediate way of clearing the debt, while a further 20 per cent admitted they would have to put off purchases and budget carefully once they got home.

The research found the majority of people take two trips a year, with 11 per cent taking five or more breaks, rising to 13 per cent among the over 55s.

Men were twice as likely as women to go on another holiday before they had paid for their previous one, with 12 per cent admitting they did this, compared with 6 per cent of women.

Holiday spirit

Ross Dalzell, manager for savings at Alliance & Leicester, said: 'It's easy to get carried away with the holiday spirit as we all want to make the most of our time away, however, many holidaymakers run the risk of letting their holiday dreams turn into a potential financial nightmare.

'So much time and effort is put into booking and planning our holidays, it's important that the same attention is given to considering how to fund them.'

* YouGov questioned 2,315 people during May.

The Press Association, All Rights Reserved.