Bargain Bulgaria has pipped Turkey to top spot in the latest survey of value-for-money holiday hotspots. Skyrocketing prices in Turkish resorts have contributed to the change, according to a new study.
Research from the latest Post Office Family Holiday Report has highlighted how local prices in Marmaris, Turkey, have mushroomed as restaurants, cafes and shops raise prices to cushion themselves against the drastic fall of the Turkish lira against sterling. Even though sterling is significantly stronger against the lira, there will still be price rises for Britons.
By comparison, the rise in meal costs in Bulgaria's Sunny Beach was smaller so it has edged ahead of Turkey. Produced for the first time in conjunction with TUI, the Post Office Beach compared costs in 16 European destinations and found prices have surged in most resorts since before the pandemic.
Costs provided by TUI resort reps and Marmaris Info, converted into sterling by Post Office Travel Money, show that Britons can expect to pay almost 11 per cent more than three years ago. But Sunny Beach’s smaller eight per cent price rise helped the resort nudge ahead of Marmaris.
Despite these price rises, resort costs in Sunny Beach and Marmaris were more than 20 per cent less than the cheapest Eurozone resort, Portugal’s Algarve (£108), and around half the price of the two most expensive destinations. The barometer basket in Puglia, Italy weighed in at just below £186, while Ibiza was the highest-priced in the survey at over £186.
However, prices have fallen in both destinations - by 4.9 per cent in Ibiza and 5.2 per cent in Puglia. Along with Majorca (£139, 3.3 per cent down on 2019), Ibiza and Puglia were the only destinations to show price falls.
The biggest increase of 38 per cent was in Crete (£162) but there have also been double-digit percentage rises in the Algarve (+12 per cent), Costa del Sol (£127, +23 per cent) and Porec, Croatia (£155, +11 per cent), together with Marmaris (+11 per cent).
Nick Boden, Head of Post Office Travel Money, which accounts for one-in-four UK foreign exchange transactions, said: “Sterling’s recent fall against European currencies and ongoing uncertainty about how it will perform in the coming weeks means that keeping a tight rein on resort spending will be crucial for families this summer to avoid busting the holiday budget.
“We found big price variations in the 16 destinations surveyed, particularly across 13 Eurozone resorts. This makes it doubly important for holidaymakers to do their homework and budget carefully to cover costs in the holiday resort they are visiting.
"We also found that prices can vary dramatically between resorts in the same country. In Greece, for example, barometer costs were 17 per cent lower in Corfu than in Crete.”
Richard Sofer, commercial director at TUI UK, added: “Despite the rising cost of living, there are plenty of holidays that demonstrate good value for money for our customers for this year and beyond. We are seeing strong demand, especially for holidays in these more affordable destinations, with Turkey bookings up 60 per cent versus 2019 and the Algarve remaining a firm family favourite, with bookings up a third on 2019.
“In addition, we’ve seen a trend towards customers booking our great value all-inclusive offerings in these destinations, which allows customers to budget more effectively when it comes to the total cost of their holiday, as they can work out what they have to spend in destination on any extra meals out, activities or items they might want to buy when they are away.”
