The worlds of high finance and top-level governmental negotiations might be a world away for most of us, however there’s one area in which everyone will be directly affected when it comes to the Brexit: travel. From a quick trip across to France on a booze-cruise through to family holidays in the sun to Spain and Italy, everyone will feel the effects of the UK’s withdrawal from the European Union. In fact, even those heading outside of Europe on their holidays will likely be affected, as you’ll find out…
Lower Exchange Rates = Less Spending Money
For years now, UK travellers have benefitted from fantastic exchange rates, and these mean that holiday costs could be kept low. Visiting anywhere from the USA to Spain almost inevitably saw UK travellers paying less than they would at home, and this, of course, made more elaborate holidays a distinct possibility.
From the moment the markets got even a brief whiff of the Brexit though, the pound started to plummet. It didn’t just fall slightly though, but made a remarkable decline. It’s now estimated that the pound will lose 20% of its value, as a direct response to the UK’s withdrawal. This means that travellers will essentially have to pay 20% more when they go on holiday – 20% more on hotel rooms, 20% more to eat out, 20% more for car hire. In short, those family holidays are about to get a lot more expensive.
Rising Air Fares
Low-cost airlines have become a mainstay of British holidays, offering rock-bottom flights to countries like Spain, France and even Egypt. Now they are under threat though, as they were only able to offer such low prices due to EU regulations. This means that the UK government will now need to implement their own regulations and make their own decisions, and they could decide that low prices are no longer an option.
Of course, the airlines will fight hard for low fares to remain in place, and the government will be well aware of the furore should they hike up prices too much. Until the process comes to an end though, who knows if you’ll be paying £50 or £250 for that next flight to Spain?
Uncertainty Over European Health Insurance
If you’ve ever been to Europe, you’ll probably have applied for an EHIC (European Health Insurance Card). Even pre-Brexit, the EHIC should never be relied upon for health care whilst abroad. A good travel insurance policy is the only way to ensure adequate health care whilst outside the UK.
The EHIC entitles you to free or lower cost treatment in any EU country, should you fall ill or have an accident. As the UK will not be a part of the EU though, the card could well become defunct. The only way it could remain in force is if the UK agrees to reciprocal health agreements with the EU – whether the UK population would be accepting of this remains to be seen.
The answer to the possible disappearance of these cards is ensuring there is adequate travel insurance, which will cover British nationals against all eventualities when they head abroad. We offer a comprehensive comparison service when it comes to these types of insurance, so why not input your details today and see how much you could save?
Higher Mobile Charges
Do you remember the days when you had to take out a second mortgage in order to make an international call on your mobile? Well, since the EU stepped in, these roaming charges have been slashed, leading to much cheaper calls home when travelling anywhere in the EU. What’s more, thanks to EU pressure, roaming charges are now set to be eradicated entirely from 2017. Will the UK implement this ruling though, considering it will be leaving shortly after this date?
If the EU rule isn’t implemented, it will mean a return to the days when mobile companies could charge what they liked for international calls – and they certainly won’t miss out on this opportunity to make money. Of course, the UK government will probably introduce its own restrictions, but will they be as beneficial as the ones introduced by the EU over the years?
The exact repercussions of Brexit are yet to reveal themselves. However – one thing which is certain is that change is on the way.
