Spain and Portugal great value for self-catering holidays
Before you book a self-catering holiday, do a bit of research in to the costs of food and drink in your chosen country as this could have a big impact on the total cost of your holiday.
As tough financial times continue to bite many holiday makers are choosing self-catering options in a bid to save money on their annual summer holiday.
If you do decide to go self-catering, it's worth doing a bit of research before deciding on your holiday destination. Remember, paying for the accommodation and flights is just part of the cost when you go self-catering.
A recent survey by the Post Office has found that self-catering in Italy, Greece and Cyprus can cost up to 80% more that in Spain and Portugal.
The difference in cost seems to be mainly down to price of food in supermarkets and the cost of eating out.
The important thing to remember is that things change, so it's worth doing a bit of research before you decide on your holiday destination. Although this survey shows that Spain is one of the cheaper options for self-catering holidays at the moment, this may change.
A VAT rise recently announced by the Spanish Government will cause an increase in prices in the coming weeks. VAT on holiday accommodation is rising from 8% to 10% on 1st August. It looks like Tour Operators will absorb the tax increase for bookings already made this summer, but prices for future bookings are likely to be affected.
VAT on food and drink has also been increased to 10%. The increases in VAT are part of a range of measures being taken by the Spanish Government to meet its public deficit targets.
Choosing self-catering can be a good way to save money on your holiday, but remember whether you choose self-catering, all inclusive or anything in between, travel insurance is vital.
Get a quote for travel insurance Spain.