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Couples could save up to £457 on a one-week summer holiday by ditching typical European holiday destinations for a cheaper one.
According to the Post Office, a one-week holiday in Portugal is now under £1,000 for two people at £903. This is significantly cheaper than the typical cost of a week's stay in mainland Spain.
The research found that two thirds (69%) of holidaymakers would consider swapping their destination for a cheaper deal.
The study measures the price of a one-week holiday package, including flights and accommodation, as well as the daily cost of food and drink. The country offering the best value for money was Portugal, with a one-week package costing £689 and food/drink totalling £217 for two people.
Holidaymakers can save a significant amount by heading to Portugal compared to Croatia, where the overall price is £1,360.
Spain and Turkey are often thought of as cheap holiday destinations by travellers. However, compared to Portugal, travellers are paying £1,088 and £1,135 respectively. Crossing the border from Portugal to the Costa del Sol would cost holidaymakers 20% extra.
"We always advise people to take all holiday costs into account when choosing a destination and this research shows why that is so important,” said Andrew Brown, head of Post Office Travel Money.
"In tough times, it is hard to stay loyal when there are big savings to be made by swapping to a destination that is over a third cheaper.”
The pound is currently at the highest rate against the euro for the first time in 23 months, giving British travellers more spending power. The research, however, points out that holidaymakers could make their money go further by opting for a cheaper destination. Those looking to make the most of their money might want to consider discount car hire.
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