Taking the plunge

According to website Travelzoo, which posts a weekly Top 20 list of holiday bargains, demand is so low that big discounts could continue into the peak summer season this year.

Travelzoo managing director Joel Brandon-Bravo says: “We are seeing some of the best summer deals witnessed in years due to a combination of a difficult economy, uncertainty fuelled by the ash cloud and potential airline strikes, and problems in the Middle East due to the ‘Arab Spring’.

“All this is leading to an extremely late booking market, which, in turn, has led to these great discounts. Expect to book and go within a fortnight for the best deals.

“From July 14, prices start rising but deals will remain, because so many consumers are unsure as to whether they are able to afford holidays this year.”

Current Travelzoo offers include seven-night Mediterranean cruises from £599, seven nights’ all-inclusive on the Greek island of Kos from £329 – and three-night half-board hotel breaks in Stratford-upon-Avon from £119.

For long-haul, Travelzoo offers seven nights’ all-inclusive at the four-star Smugglers Cove Resort & Spa, in St Lucia, from £899 per person (saving 50 per cent) – including return flights ex-Gatwick, seven nights’ accommodation in a Deluxe Garden View room, all meals and drinks, plus activities and motorised water sports with tuition.

According to lowcostholidays.com, the Canaries, Majorca and the Algarve lead the way in producing deals families can still afford.

Product director Matt Hall says: “Lots of holidaymakers are feeling the bite and waiting for the best deals to make their hard-earned pounds go even further.

“The best value deals are available now and my advice is not to wait any longer. For real value, try Majorca which topped the Post Office Travel Money report for the cheapest supermarkets and where hotels are cutting rates for the summer.

“Hoteliers in Turkey are also cutting prices with improved deals on the increase for Turkish holidays too.”

In Florida, British travellers are benefiting from the pound holding relatively strong against the American dollar, ensuring holiday money goes further. Seven-night packages in June start at £399, with various schemes to reduce entrance fees to big attractions and cut the cost of eating out.