With airline prices rising, flights being cancelled, and the conflict in the Middle East ongoing, UK holidaymakers are planning for a summer of staycations and more financial planning, according to new consumer insights.
The survey of 1,000 UK adults from investment app XTB, found that of those Brits who have travel plans this summer, 47% are looking at cutting back their holidays due to the rising cost of flight prices driven by the escalating cost of fuel, with 20% considering skipping a trip altogether.
A further 20% of Brits will be shifting to a staycation closer to home to avoid flights altogether. As a sign of growing consumer caution, a majority 60% of Brits say they will put away the money saved for a rainy day into a savings or investments account.
With more than half (51%) of Brits estimating they would save at least £1,000, with 22% saying savings could reach between £2,000 and £5,000, this could be substantial for UK savings figures.
Younger travellers are the most likely to react, with 23% of 18–29-year-olds surveyed considering changing their plans due to the conflict, compared to just 8% of those aged 60–75.
Kathleen Brooks, Research Director at XTB comments: "This summer looks set to be a turning point for how UK consumers think about discretionary spending. The combination of surging flight costs, geopolitical uncertainty, and a cost-of-living hangover that continues to weigh on household budgets is pushing people to make more deliberate financial choices.
"What's particularly striking is that rather than simply spending less, many Brits are actively redirecting that money into savings and investments. Younger travellers are proving more reactive to global events than older generations, which suggests we may be seeing a more financially conscious cohort emerging. For the UK economy, a staycation summer combined with stronger household saving rates could have significant implications for both the leisure sector and retail investment trends in the months ahead."
