Hotels Abroad Cut Costs
We all know and realise that the credit crunch is in major full swing, every industry was going to be hit but the travel industry did not expect to be hit this bad. Holiday accommodation abroad has been majorly slashed in an attempt to get British tourists revisiting foreign destinations. 2009 has seen a large increase in family holidays, simply because a lot of people are fearing going abroad because of the falling power in the pound.
In my opinion this is probably what has led to the crash in the UK in the first instance, thousands of British people used to go abroad every year and spend their savings in overseas countries, effectively pushing up their economy whilst the British economy kept on suffering until it collapsed. Now overseas destinations are beginning to panic because they increased prices ridiculous amounts because they knew they could get away with it and now they are rushing to reduce them all because there is a huge shortage in tourist bookings.
We could in fact see hundreds of more holiday firms go bust as they fail to shift package holidays which has already seen a 11% reduction this year and is also putting fear into people travelling abroad amid fears that they could be stranded overseas.
Although peak travel costs have yet to be slashed a huge amount as travel operators are wishing things will pick up, I am sure they are going to fall very soon.The thing which overseas holiday destinations are trying to do is to relaunch their economy by offering free accommodation and hope tourists spend their money in the high street stores and restaurants. But the whole world is going to be stuck by the credit crisis and there is no escaping. Finally the countries that will come out most successful will be the ones which have the governments that take the lead and control.
Great bowls holidays and dancing holidays
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