Budgeting for your next holiday

Are you ready to plan your holiday for 2025? Follow these tips to make your money go further so you can travel stress-free and focus on what really matters – having fun!

  1. Assess how much you can spend

Before you begin planning your holiday, assess how much you can spend without going into the red or compromising your ability to save for major expenses like insurance and vehicle maintenance. Bear in mind the current economic climate: council tax, energy bills and broadband subscriptions are all going up this April, and inflation is set to increase to 3%.

Once you know the maximum amount you can afford to spend on your holiday, keep this in mind while browsing options and treat it as a hard ceiling. This will help you avoid the risk of going beyond your means.

  1. Identify affordable destinations

When looking at where to go, thoroughly research all available options to identify affordable destinations. Investigate special offers with airlines: companies like Jet2 can offer flights and all-inclusive hotel stays at significant discounts for last-minute travel. Visiting a country during their shoulder or off-peak season rather than in the most popular months can also save you considerable sums on transport and accommodation.

Consider less well-known or closer destinations that offer the elements you’re attracted to in traditional tourist traps. For example, Croatia and Albania offer beaches as beautiful as Greece, and the Scottish Highlands offer some of Europe’s most sensational walking trails at a fraction of the price of mainland alternatives.

  1. Embrace the staycation trend

Staying close to home minimises your travel costs so you can spend less or splash out more on food, accommodation and activities – and you might be surprised at the amazing options available on your doorstep!

Some of Condé Nast Traveller’s best UK staycation ideas for 2025 include paddle boarding in the corner of Cornwall, autumn walks in the New Forest, driving the Pembrokeshire Coast National Park and exploring the attractions of London. Incredible options further north include the historic city of York and nearby North York Moors, Edinburgh and Scotland’s staggering Highlands.

  1. Plan your travel costs

Minimising your holiday spending can begin before you arrive in your destination. Monitor the fluctuating exchange rates to find a good time to purchase your foreign currency. You could also consider opting for a credit card that offers favourable exchange rates and low fees on foreign transactions.

Having an outlined itinerary in place prior to your trip can also help you save. Pre-booking tickets for activities and attractions is usually cheaper than buying them on the day, likewise with local public transport like buses and trains. Knowing your itinerary also means you can plan to shop and eat in at certain points rather than dining out every day.

  1. Find cost-effective accommodation

Cheap holiday accommodation doesn’t necessarily mean unclean hostels, leaking tents and hotels in the middle of nowhere. The rise of platforms such as Airbnb means you can rent out entire homes at great prices, and you can utilise comparison sites to find deals on traditional holiday accommodation.

Try to avoid compromising on elements that are important to you when browsing cheap places to stay. Being in an inaccessible location, risking poor hygiene standards and suffering poor service could all ruin your trip, so it’s best to balance cost with the essentials for an enjoyable experience.

Piggy bank wearing sunglasses resting on the tropical beach with copy space