Britons heading for the continent might be getting more euros for their pounds than at any time
in the past three years but they shouldn’t relax in their search for the best deals as they plan
their summer holidays.
The pound’s value against the euro has soared to its highest level for more than three years
amid uncertainty in the eurozone sparked by financial and political chaos in Greece and
economic fears for Spain, Italy and Portugal.
Richard Turner, head of foreign exchange at The Money Shop, which sells foreign currency
from its 480 branches nationwide, says that although the exchange rates are improving,
holidaymakers should still be on the lookout for ways to make their money go even further.
“The pound’s value has leapt due to uncertainty in the eurozone. While it is difficult to predict
if it will carry on rising, it certainly doesn’t look like it will dip in the short-term, which is good
news for travellers as the summer gets under way.
“At its height, in May 2002, travellers were getting 1.6 euros to the pound. By 2009 they were
getting less than 1.1 euros and as recently as April this year they were getting just 1.16 euros.
Now we are selling at above 1.2 euros.”
The company’s figures reveal that during 2009 customers of The Money Shop heading for
Eurozone countries bought an average of £387 of euros. As the economic slump took hold,
spending fell by three percent in 2010 to £374 and then a further five percent, to £353, last year.
Mr Turner continues: “We are confident our rates are consistently among the best, but we
would still urge travellers to shop around and do their research – not just for their cash but for
the best deals on almost every aspect of their holiday.
“Many leave currency until the last minute, often waiting until they are at the airport or even
their destination before buying. This could mean they get much lower exchange rates, pay
commission rates, or face a range of charges when using their bank cards abroad.
“They might also exchange too much before travelling and end up bringing foreign cash home.
At the Money Shop we also offer our £2.99 Buy Back Guarantee, allowing customers to return
up to £200 of unused cash at the original exchange rate and so saving significantly on buy back
charges.”
The Money Shop also offers security in the form of its pre-paid holiday cash cards. These can be
loaded with euros or dollars and used without charge at thousands of outlets. If stolen or lost,
funds will be replaced within 48. The only time you might be charged would be if you needed to
use a cash-point which would cost three euros or $3 per withdrawal.
The Money Shop’s money-saving tips
Plan: Excursions and extras, such as boat trips, para-gliding and special events could add to the
cost but, unless it’s an all-inclusive holiday, so will drinks and ice creams bought during lazy
days by the pool.
Research: If you’re in an established resort, there could be cheaper alternatives for organised
excursions – do some on-line investigations, shopping around before you travel to get an idea of
prices. Don’t feel you have to take the hotel or travel operator’s first recommendations. If you’re
planning to eat out, get an idea of how much local restaurants and bars are likely to charge.
Currency: If you have a clear idea about how much you are likely to spend you won’t end up
changing too much or too little cash. This will avoid having to either change surplus cash back
when you get home or risk high fees and charges at foreign bureaux de change and cash-points.
Make sure you take enough though, as using your credit or debit card to obtain extra cash or to
buy goods when abroad can be very expensive!
Security: Pre-paid holiday cash cards can be used without charge at thousands of outlets in
Europe and the United States so they could help reduce the amount of cash you have to carry
with you.
Do it yourself: Don’t rely on package deals – book travel, transfers, accommodation and
excursions separately and don’t be afraid to haggle over the prices. You may also save cash by
choosing to travel at unsocial times.
Book last-minute: It’s difficult during peak times but the bargains are out there, particularly if
you’re not set on a particular destination. Book the time off work and see what you can find. If
you don’t manage to get away, there’s always the dining room to redecorate!

