69% UK holidaymakers have overspent on their pre-holiday expenses, with many having to cut back on key elements of their holiday as a result, according to new research from Starling Bank.
Holidaymakers say they spend an average of £265 to prepare for their holiday, with the number one expenditure being new clothes and swimwear.
60% of holidaymakers typically purchased travel insurance, spending on average £89 before they travel and almost 68% spend an average of £121 on a new holiday wardrobe.
Getting that beach-ready look also includes beauty treatments, with over four in ten making sure to get a haircut beforehand, spending £44 on average on their trim.
Meanwhile one in five opt for a pedicure or manicure – comprising 7% of men and 33% of women – at an average cost of £65.
60% of holidaymakers typically purchased travel insurance, spending on average £89 before they travel.
All this pre-holiday investment means that seven in ten holidaymakers admit to overspending ahead of a holiday.
Among those who have overspent, 22% experienced the reality of missing out and had to limit their budget while away.
Overspenders missed out activity such as eating out (38%) and excursions (25%) and 31% of them ended up staying in for the evening rather than going out.
For those who weren’t going to let their manicures and haircuts get in the way of their holiday, over a third (35%) had to dip into their savings to compensate for overspending pre-holiday and nearly one in ten (8%) had to borrow money from friends and family to get by while away.
Some 3% have even been left unable to afford to go on the holiday itself.
Among those who overspent and found it impacted their holiday, a third (32%) said it left them feeling annoyed, and three in ten (29%) said they felt silly for getting carried away.
However, among those who did take pre-holiday spending into account when budgeting for their trip, six in ten (60%) felt that they enjoyed the holiday more as they didn’t worry about running out of money.
Over a quarter (27%) also had more money leftover to spend than expected.
Among those who didn’t account for pre-holiday spending within their travel budgets, over a quarter (28%) said that they didn’t think these costs were significant enough to warrant budgeting for, 29% said that they simply forget about these costs, and 26% admitted to trying not to think about these costs in order to make the holiday feel cheaper.
Rachel Kerrone, personal finance expert at Starling Bank, said: “While it is easy to assume that these pre-holiday costs might not add up to much, our research shows that they can have a very real impact on your holiday.
“Before booking a holiday, it’s worth having a think about everything you would like to spend on before your trip, and dedicate a specific Saving Space to these costs, just as you would save for the main holiday.”
