Latest posts for the topic "Holiday costs effected by brexit?"

Holiday costs effected by brexit?

Sun, 30 Oct 2016 09:04:10 GMT

It's the time of year where I start looking for the deals and getting a feel for costs for the coming season. With out fail every company I have called so far have said the brexit has effected the costs this year, which I don't doubt. I wonder how much is brexit and how much is "let's put a bit extra on"?

Does anybody have any examples of price increases for this year compared to last year?

Please remember, it isn't apost about staying or leaving the EU. :thumbup: :thumbdown: :D we can leave that to the politicians

Re:Holiday costs effected by brexit?

Sun, 30 Oct 2016 09:57:36 GMT

It's inevitable that prices will be more expensive this year. Tour companies have to pay hotels in their local currency, the Euro, and the pound has dropped 20%, so it will cost 20% more for your accomodation. Aviation fuel has to be purchased in Dollars. The same applies, so look to be paying at least 20% more this year. Then your beer, at an average of say 6E a pint which last year could be converted at 75p to the Euro (4.50), now converts at 90p to the Euro (5.40). Food will be the same, as will lift pass cost, and equipment hire.

Plus ca change, plus c'est la meme chose! Won't stop us ski-ing though.

Holiday costs effected by brexit?

Sun, 30 Oct 2016 09:58:09 GMT

moogy wrote:I wonder how much is brexit and how much is "let's put a bit extra on"?

I think, so far, most tour operators (large and small) have tried to avoid price rises as much as they can. It's difficult to miss the uncertainty in public sentiment and add that to two seasons when the snow came late to popular parts of The Alps... I don't think anyone's going to be profiteering this winter.

There will be some operators thinking "what's the smallest rise we can possibly apply, and still be in business next year".

That isn't meant to sound overly pessimistic, but challenges there certainly are.

On the flip side, we're seeing a lot of thought going into reducing the cost to ski. A number of French resorts, in particular, are going to be promoting late season and Spring skiing this year and the slow but steady increase in flexible booking and short break options will continue.

Actually, I will point up one blatant piece of profiteering in the wider travel industry... the outrageous spread of exchange rates offered by popular outlets at airports! Scumbags!

Re:Holiday costs effected by brexit?

Sun, 30 Oct 2016 10:06:12 GMT

'Actually, I will point up one blatant piece of profiteering in the wider travel industry... the outrageous spread of exchange rates offered by popular outlets at airports! Scumbags!'

Too right, but anyone who buys their currency at the airport needs their head examined!!

Re:Holiday costs effected by brexit?

Sun, 30 Oct 2016 10:14:05 GMT

TBH Moogy, I think the only time you are likely to see a price increase is if you go direct, and that will be due to the change in the exchange rate. I have not seen any evidence of something costing Euro400 five months ago now costing Euro500, the only difference is that when Euro400 is converted to GBP's it costs more GBP's.

The big TO's arrange their quotas and prices in advance, so their prices for this season should not change, although you will almost certainly see a rise for next season. In actual fact, I now notice it is cheaper to buy lift passes for many areas through the TO than buying direct, simply because the TO locked in a price and buying direct now converts to more GBP's.

It may be different for smaller companies who buy to order, they will of course have the lower exchange rate to deal with and will need to charge more accordingly.

Having said all that, the current rate is approx 1.11 euro to the pound, and when I went to Tignes in 2013 the rate was approx 1.15, so while it is a lot worse than earlier in the year (1.30 in May)it is not really that different from a few years ago, so don't let people use it as an excuse to rip you off.

Just my opinion, that's all.

Re:Holiday costs effected by brexit?

Sun, 30 Oct 2016 10:37:25 GMT

What was noticeable and confirmed by one travel agent was the lack of availability of early booking discounts in holidays priced in Sterling back in the spring. On our group trip this equated to a 20% price increase over the previous year for the same accommodation.
It will be "interesting" to see if any tour operators use their small print bring in a supplement to holidays due to a weaker pound rules. Tour operators do hedge forward bookings. I know that a $$$ trip for this new year was hedged at GBP1 to $1.44 when I paid the deposit in May.
As a comparison for the 2009 ski season the pound ran at 1.04 to 1.08 to the Euro.

Re:Holiday costs effected by brexit?

Sun, 30 Oct 2016 11:37:39 GMT

Pretty much as I thought, the companies just putting a little extra pressure to book now. Which is only natural I suppose.

Looking at the prices at the moment we are probably going to leave it for a few more weeks yet before booking I think.
There's a group of 15 of us going....wish us luck ;)

Re:Holiday costs effected by brexit?

Sun, 30 Oct 2016 12:54:25 GMT

Interesting post Brexit Crystal had a really good deal which ran through August with third off 2017 lift passes and equipment. We jumped at it and booked La Plange for snowsure holiday. Four travelling this year with equipment and ski hire staying in the same apartment as we stayed in 2016 same cost as for three people last year.

Re:Holiday costs effected by brexit?

Tue, 1 Nov 2016 16:19:04 GMT

So, comparing rates today verses 4th. January 2016 the GBPGBP is down -17% against the US$, -14% against the Swiss Franc and -18% against the Euro. There's an obvious drop after the Brexit vote, but this was on top of an already downward trend. My analysis - and no one can be certain - is that winter 2016/17 won't be that bad because there will be a lot of forward, pre-agreed pricing between parties and/or currency traders. However, if you're a TO you will still be tempted to slap surcharges on (a) just as opportunism and (b) to get income into a reserve for 2017/18 trading, when forward price agreements will have expired. And for those paying directly either for accommodation or incidentals then the above numbers don't at this point seem likely to improve. But that's just an opinion.