Brits lose £5bn of unclaimed paid leave a year

patong beach lodge

50% savings can be had on Phuket holidays in early December

Hard-working Brits are giving up 60m days of their holiday entitlement resulting is more than £5bn of unclaimed paid leave a year.

The Post Office Travel Money Holiday Entitlement Report shows that £5.37bn of holiday entitlement is lost and that 31 per cent of those whose current holiday year ends in December plan to use some or all of their entitlement on holidays before then, using an average budget of £638 per person.

The research shows that only 50 per cent of all employees – falling to a third of those aged 18-24 – took all the holiday due to them in their last full holiday year.  44 per cent of the survey respondents were in full time employment, thus qualifying for at least 28 days’ statutory leave per annum, and they lost around six days’ paid leave, which is worth £542.40, based on the average weekly earnings of employees in Great Britain.

The same pattern is emerging for the current holiday year – with an average of more than seven days still due to employees and little compensation if they cannot take their full entitlement.  Only 10 per cent of respondents said that their employer has agreed to pay them in lieu of lost days.  17 per cent said they are too busy at work to take time off and a further 16 per cent said that their employer makes it difficult for them to take their full entitlement.

Although people with paid leave to take before the end of December set a generous average holiday budget of £638 per person – rising to £1,000 or more for one-in-five (22 per cent), separate Post Office Travel Money research found that people would be better advised to travel early in December rather than over the festive season.  A week away including Christmas and Boxing Day to four destinations rated among the cheapest in the Post Office’s recent Winter Sunshine Report was found to cost 43-52 per cent more than it would earlier in the month.

Cost Comparison of a seven-night B&B flight-inclusive package for one with resort meals/drinks 

Destination

Departing 6-7 December

Departing 20-23 December

Saving early December

Tenerife: 4* Interpalace Hotel, Puerto de la Cruz

£383.00

£805.00

52%

Cyprus: 4* Napa Mermaid Hotel, Ayia Napa

£473.00

£836.00

43%

Sri Lanka: 3* Coral Sands Hotel, Hikkaduwa

£830.00

£1,448.00

43%

Thailand: 3* Patong Beach Lodge, Phuket (above)

£798.00

£1,562.00

49%

Andrew Brown, Post Office Travel Money said: “The message for people who have only a short time left in which to use up this year’s holiday entitlement is clear:  Do your homework on the timing of your trip and pick a destination where package costs are reasonable and resort prices low to ensure you get the best possible value. 

“Early December is always a cheaper time to travel and our latest research has found that Tenerife and Cyprus are great value in Europe while those old favourites, Thailand and Sri Lanka, are good choices further afield.

“Keep an eye on exchange rate movements to ensure you get the most travel cash for your pounds. Calculate how much you are likely to spend while abroad and change enough cash to see you through, remembering that there are improved rates for higher value transactions.”