Parents planning to treat their kids to a family holiday over the school summer holidays face paying staggering premiums of as much as 85 per cent for some resorts, according to new research by Santander Cards.
The card provider analysed a selection of holiday packages currently on sale and found that for foreign holiday packages, the prices on offer increase by an average of 38 per cent from mid-July, when most schools haven't yet broken up, to mid-August, when all schools are on holiday.
During the same period, prices for UK holidays increase by an average of 30 per cent.
The highest increase in foreign holiday premiums can be found on package holidays to Portugal, which increase by an average of 85 per cent from mid-July to mid-August. The lowest premiums can be found on holidays to Majorca, which carry an average premium of 16 per cent.
Of the selection of holiday packages available in the UK, prices rose by up to 75 per cent from mid-July to mid-August.
Unsurprisingly however, once schools start back in September, prices for holidays abroad drop by an average of 33 per cent from their August peak, while prices in the UK fall by more than half on average (55 per cent).
"Massively inflated premiums are an unfortunate inevitability for families going away during the school summer holidays,” said Emma Roberts, Director of Santander Cards.
“With prices increasing by up to 85 per cent for those going abroad and 75 per cent for those taking a break in the UK, it's not going to be cheap for families hoping to get away this summer.
"While school holiday premiums may be punitive, however, for Britons going abroad this summer, there are other things they can do to make their holiday money go further.
“Holidaymakers spending abroad should make sure they always use a card that doesn't charge them a foreign exchange fee for converting transactions made in a foreign currency, such as the Santander Zero
Credit Card, which offers fee-free foreign usage anywhere in the world."
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