Nearly half of Brits have tucked money away for their next holiday

• Nearly half of jetsetters have already squirrelled money away for holidays
• On average, hopeful holidaymakers have £1,200 saved this year – 13% more than last year

• Tesco Bank reveals customers took out loans averaging £5,900 for holidays in the last 12 months

Whether it’s a shorter mini break to see family, visiting a well-loved destination to unwind or embarking on a once in a lifetime adventure, holidays are the most common thing Brits are saving up for.

New research from Tesco Bank finds nearly half (45%) of people have got their ‘holiday money’ already ringfenced for 2025, saving up an average of £1,250 this year – 13% more than they had in 2023.

Holidays are a popular pastime for Brits, with ONS figures reporting UK residents made more than 86m visits abroad in 2023, spending £72.4bn¹.

It’s not just savings that are funding Brits holiday plans. Internal data analysis from Tesco Bank shows that people who are taking loans for holidays borrowed an average of £5,900 to fund their trip.

Tesco Bank’s research also found that nearly three in 10 (29%) people have a specific savings goal in place for holiday budgets, with 16% committed to sticking to it so they are fully ‘holiday-ready’.

 
Chris Henderson, Savings Director, Tesco Bank commented: “The price of a holiday – large or small – might be on the rise but, clearly, it’s not stopping people getting away. Brits have stashed away over £1,000 already for trips in 2025, with the lure of time away with loved ones, space to relax, and the opportunity to try new things making holidays a top savings goal.

“Factoring in holiday budgets ahead of time and having a clear view of your finances is the best way to ensure you’re jet-set-ready! And, if you’re planning to take out a loan to cover your trip, it’s well worth working out your repayments and that these are factored into your budgets ahead of time, so all your finances are manageable.”

Chris has also shared a few extra tips to help boost people’s holiday budgets ahead of next year:

1. Whether you’re saving for that next holiday or just want to get yourself in a better position for a bigger purchase or investment next year – setting realistic saving goals are always more motivating. You might want to consider adding a little extra to your savings at the start of each month or try to commit to a new goal ahead of the new year. Set yourself a target, work out how you will get there and make a head start if you can.
2. Once you’ve made sure you can cover the essentials like your weekly food shop, rent or mortgage, dividing up the rest of your money for other spending or savings is a good habit to get into. If you don’t do this already, it’s something you can start now and it will stand you in good stead for New Year money goals when we all want a fresh start with our finances.
3. If you plan to use your debit or credit card overseas, remember to pay in local currency for best rates. If you have a Tesco Bank Credit Card, there’s a helpful guide on using your card abroad.
4. Don’t forget to budget for departure tax which is sometimes required at the end of your holiday. Some package holidays may include this, but not all, so it’s best to check before you go and allow for it within your 2025 holiday budget.

 
Research conducted by Opinium Research on behalf of Tesco Bank. Sample was 2,000 UK

adults (aged 18+). Fieldwork was undertaken 20th September – 23rd September 2024. All

data has been weighted to be representative of the UK population.
 
¹https://www.ons.gov.uk/peoplepopulationandcommunity/leisureandtourism/articles/traveltrends/2023#:~:text=UK%20residents%20made%2086.2%20million,billion%20more%20than%20in%202022.