If you’re thinking of going away, why not pick a location where the exchange rate really works in your favour?
If that sounds daunting, Simon Phillips, managing director of No1 Currency, has some thoughts…
As you can see from the table above – demand from Britons for certain currencies has risen as the pound gains against them.
A rise for the pound means that currency is “cheaper” to exchange than in previous years.
Exchange rates matter – as they determine how far your hard-earned pounds go whenever you travel.
“Fortunately the pound has been rising against a number of foreign currencies this year, offering British travellers the chance to get a bigger bang for their buck if they choose wisely,” Simon explained.
“South Africa is a prime example – prices there have long been reasonable by UK standards, but sterling’s strength has now made it even better value,” he explained.
This time last year, a pound would buy you a little over 19 South African rand, but it now buys 23 – an increase of nearly 20%.
Simon gave us a practical example of what that means when you’re there: “A meal for two people in a mid-priced restaurant in Cape Town would today set you back under £30,” he said.
“This time last year it would have cost a UK traveller over £3 more.”
This hasn’t gone unnoticed by travellers, as between June and August, sales of South African rand at No1 Currency spiked by 35% compared to the same period in 2022.
“Sales of Australian dollars and New Zealand dollars, which have respectively got 15% and 9% cheaper since this time last year, also jumped by 30%,” Simon said.
Simon urges travellers to remember that “cash is still king in many countries” – so why not make it work for you and take advantage of the lower exchange rates?