Middle East war could have 'knock-on effect' for Brits on wider travel plans including UK breaks
Holiday prices could rise even in destinations not affected by conflict
UK holidaymakers looking forward to a summer break could find their plans affected by the conflict in the Middle East, no matter where they are travelling to. Amid ongoing concerns about the effects of the war on Iran - from regular updates on travel advice for Brits to rising costs - comes a warning for anyone hoping for a getaway this Easter or summer.
Holiday prices could rise across all destinations and that even includes staycations. Those staying in the UK or planning to visit countries nowhere near the Middle East could also see higher prices for flights, accommodation and even everyday spending, reports The Mirror.
Hannah Mayfield, a qualified financial advisor, says the situation in the Middle East could affect prices, following similar patterns seen during times of instability. "Rising tensions in the Middle East can have a knock-on effect on holiday costs, even if you’re travelling somewhere completely different," she said.
"But this isn’t a new phenomenon. We’ve seen similar patterns during previous periods of geopolitical instability, where travellers change their plans and demand shifts toward destinations perceived as safer."
Hannah, who is working with travel insurers PayingTooMuch, explained why flight prices could rise. "Airlines can face higher operating costs during periods of geopolitical instability," she said.
"If flights need to avoid certain airspaces, routes can become longer. At the same time, global oil prices usually rise during conflicts in major energy-producing regions, and that can eventually feed through into the price for fuel.
"For travellers, that might mean more expensive plane tickets." She added: "There’s also the potential impact on taking holidays, especially to destinations closer to home.
"If some holidaymakers decide not to travel as far afield, demand for popular destinations such as coastal towns, national parks and major cities can increase. When that happens, accommodation prices often rise during peak periods, particularly if availability is limited."
This could mean that staycations could become pricier, as they did during Covid. For anyone planning a trip, even to 'safe' destinations, Hannah said: "When travel feels more uncertain making sure you have the right level of cover for your trip becomes even more important, so you are less likely to face unexpected costs.
"Booking early, staying flexible with travel dates, comparing travel insurance policies and prices for flights can make a noticeable difference to the overall cost of a trip." She added: "Most standard travel insurance policies don’t cover acts of war, so conflicts itself may not typically have a direct impact on premiums.
"However, travellers should always check their policy details carefully so they understand exactly what is and isn’t covered." Her advice is to think about a policy that offers additional cover for travel disruptions as this can "offer another layer of protection" if official Government travel advice changes and costs cannot be recovered elsewhere.
"It’s also worth noting that travel insurance does not cover events that are already known at the time the policy is purchased." Hannah, who also runs What is Wealth, which offers financial education for women, offered some additional money-saving tips for holidaymakers, saying: "Keeping an eye on exchange rates and fuel prices can also help holidaymakers budget more accurately and avoid unexpected costs closer to their trip.”