Significant savings are continuing to drive bargain-seeking holidaymakers further afield as they look to maximise holiday quality while minimising their cost. In its latest review of long haul travel trends, Hayes & Jarvis says that holiday bookings mushroomed last month by up to 70 per cent year-on-year for destinations like Thailand, already perceived to offer the best value but with the added bonus for 2010 of bargain prices in top luxury resorts.

Continuing the downward price spiral first reported by Hayes & Jarvis last autumn, many holiday prices are lower in long haul destinations worldwide than 12 months ago - with eye catching discounts available on one and two week flight-inclusive packages averaging 15 per cent but sometimes reaching over 40 per cent.

Best of all for the beleaguered-British tourist, says the operator, is that the five-star resorts which generally held their prices steady last year are now discounting quite significantly, resulting in tremendous savings on luxury holidays. Typical of this is the offer in Thailand of a 14-night flight-inclusive package at the five-star Amari Orchid Resort, Pattaya for £599 per person in March – saving £430 per person (43 per cent).

Niel Alobaidi, Commercial Director for Hayes & Jarvis said: “This is the year when holidaymakers who have traditionally booked three-star accommodation can now have a five-star experience for the same price – or even less. We have identified a number of cases recently, particularly in Thailand, Egypt and Dubai, where a five-star luxury package costs less now than a more modest three-star one did last year.? As a result, the proportion of bookings made for luxury hotels has increased to such an extent that our three bestselling Dubai properties this January were all five-star resorts compared with only one a year ago.”

“2010 could also be the year when a long haul holiday can finally prove cheaper than a European trip. We are currently selling holidays for spring and early summer where couples can get away to a high quality resort for a little over £1,000 for two, which obviously helps to explain the boom in luxury long haul trips.”

Other factors influencing the long haul success, suggests Alobaidi, are the improving sterling exchange rate for destinations linked to the US dollar, including the Caribbean and Dubai, and low tourist costs in many resorts. The Post Office’s Worldwide Holiday Costs Barometer recently found Thailand second cheapest of 30 resorts surveyed (and the lowest priced long haul destination), while its latest Travel Money Monitor reported January currency purchases up 45 per cent for the Thai baht, 23 per cent for the UAE Dirham and 17 per cent for the Egyptian pound – all currencies that have lost ground to the strengthening UK pound.2

Despite a slow start to 2010, January proved a strong holiday booking month for Hayes & Jarvis. Late sales for January and February getaways boomed while forward bookings for October 2010-April 2011 rose by over 60 per cent year-on-year - perhaps spurred on by the prospect of a second snow-filled UK winter.