The pound is crashing and you may be wondering if this will make your trip cheaper. It’ll only partially do so, but still bring some relief when spending money on vacation!
The pound sterling crashed to a historical low against the US dollar on Monday. As of September 26th, one GBP was valued at ₹87.84 while six months ago it was around ₹100.61 against GBP!
You might be surprised to find out that depreciation in GBP will only give you a limited benefit for your overall travel budget. The fluctuations of exchange rates don’t translate into savings on flight tickets as airlines follow standard practice and denominate the ticket price in the currency of the origin country.
Airfare is priced in Indian rupees, so fluctuations of the currency don’t affect airfares at all.Indiver Rastogi, President & Group Head – Global Business Travel
Hotel packages priced in GBP are expected to see a decline, but not those denominated rupee. Savings will be minimal as the value of Sterling has been falling consistently over last 7-8 months
With the recent fall in rupee value against pounds, prices for hotels are expected to drop between 5-8%.Ajay Awtaney, Founder, LiveFromALounge.com
Remember that you will pay 2-3% extra for payments done in GBP.
The depreciation of the pound is beneficial to tourists who are already in Great Britain and will exchange their money for transportation, shopping or dining.
The rates for hotel accommodation can vary depending on the date you’re traveling. If your trip falls within this time frame, then it may be worth checking out cheaper fares before paying more at a higher-end hotel.
Booking a sweeter deal for November-December may not be the best idea if you still need to apply for your UK visa. The process currently takes about two months.
The visa process is a major drawback to the current window of opportunity.Rajeev Kale, President & Country Head, Holidays, MICE, Visa
The visa process can take some time, so be patient if your application gets rejected or denied. You’ll need to pay for both airfare and hotel bookings cancellation.
One can commit to the fares now and save some money. It’s hard to anticipate how long this crash in pound value will last, so booking pre paid hotels or packages denominated by £ sterling for travel dates after December could help you manage your finances better.Awtaney