Far East dominates winter sun destinations offering best value in 2025 Long Haul Holiday Report

• Hoi An, Vietnam regains its place as best value among 30 long haul destinations, thanks to a dip in local prices and its weak currency (www.postoffice.co.uk/longhaul)
• Asian destinations offer the best bargains, taking seven of the top 10 barometer places
• Prices have dropped in over two-thirds of the long haul hotspots surveyed
• Biggest price falls of almost 19 per cent are in Barbados and Malaysia
  

British holidaymakers hoping to bag a winter sun bargain will find the best value in the Far East and Indian subcontinent, which take seven of the top 10 barometer places in the latest Post Office Travel Money Long Haul Holiday Report¹. Vietnam tops the chart of 30 long haul destinations in the 17^th annual report, while the UK’s leading foreign exchange provider also found big price falls in Malaysia and Thailand. They are among over two-thirds of destinations surveyed where barometer costs are lower than a year ago².

Top Vietnamese resort Hoi An has regained its position as the cheapest destination, which it last held in 2023. A small drop in local prices and the falling value of its currency, the dong, have combined to bring costs down by 10.9 per cent since last autumn. At £58.81, the barometer basket of 10 tourist staples³, including a three-course evening meal for two and a range of drinks, is over eight per cent lower than in Cape Town, South Africa (£64.28), which has dropped one place to this year’s runner-up position.

Post Office research conducted with the help of national and regional tourist offices found that sterling’s value is likely to play a big part in keeping down prices. For example, local prices in third-placed Bali have risen 10.8 per cent since last autumn but an 11.3 per cent fall in the value of the Indonesian rupiah against the UK pound means barometer costs are slightly lower (-0.5 per cent) year-on-year at £67.79. Bali also boasts the cheapest meal price, with a three-course dinner for two people with wine costing just £35.48.

Completing the top five destinations, Mombasa, Kenya has moved up to fourth place in the table on the back of a 1.7 per cent fall in barometer costs to £68.33, overtaking Japan’s capital Tokyo, which drops back to fifth place after prices rose by 5.6 per cent to £68.61.

There are two new entrants to the top 10 - Penang, Malaysia in seventh place with a barometer cost of £83.85 and Phuket, Thailand in ninth place at £87.82. Both have registered big barometer price falls of 18.6 per cent and 14.1 per cent respectively. In the Indian sub-continent, falling prices have enabled Sri Lanka to gain ground on India. Prices in Colombo are down 5.4 per cent to £73.93 taking the Sri Lankan city up to sixth place, while Delhi has dropped to eighth after prices leapt 14.6 per cent to £85.89.

Encouragingly, eight of the top 10 are among over two-thirds of destinations to record lower prices this year. Post Office found that barometer costs are down in 19 of 28 destinations also surveyed a year ago.

Laura Plunkett, Head of Travel Money at Post Office, which accounts for one-in-four UK foreign exchange transactions, said: “Although sterling has fallen from its high point earlier this year and there are concerns about possible volatility this autumn, it’s important to note that it is stronger against most currencies than a year ago. Furthermore, local prices are stable in most of the destinations we surveyed, with falls in over 40 per cent of them, so the prospects for winter sun holidaymakers look bright – especially in many Far Eastern and Caribbean countries where a combination of these factors means reduced prices for British travellers.”

The biggest barometer price fall of 18.8 per cent was in Barbados (20^th, £116.38) followed by Malaysia (-18.6 per cent) and Thailand (-14.1 per cent). There have also been significant falls of 11.1 per cent in Dubai (22^nd, £124.99), 10.9 per cent in St. John, Antigua (17^th, £112.90) and 10.1 per cent in Darwin, Australia (27^th, £141.13). Exchange rates are a pivotal factor in this because sterling is currently stronger against 20 of the 25 currencies used by destinations featured in the Long Haul Holiday Report.

Where sterling has dropped in value year-on-year, the falls have almost all been minimal (Brazilian real: 0.5 per cent; Mexican peso: 2.0 per cent; Thai baht: 2.1 per cent and Peru nuevo sol: 3.0 per cent). However, there has been a sharp fall of 18 per cent for sterling against the Egyptian pound and, coupled with a 16 per cent increase in local prices, barometer costs in Sharm el-Sheikh have rocketed by 41.5 per cent year-on-year. At £110.21 the Red Sea resort has fallen seven places to 14^thin the Post Office chart.

A reintroduction for 2025, Mahé in the Seychelles rates as the most expensive destination this year at £187.57 for the basket of tourist items. This is primarily because of the high cost of eating out - £129.88 for a three-course meal for two with wine. Mahé’s barometer total is more than twice as much as all ten of the top ten. Last year’s highest-priced destination New York (29^th, £165.85) is the second most expensive destination and significantly pricier than Orlando, Florida (15^th, £111.56). Both destinations have benefited from a four per cent fall in the value of the US dollar against sterling.

Laura Plunkett said: “Holidaymakers can save themselves a lot of money if they pick a winter sun destinations where the pound is riding high and where tourist costs are low. They can check resort prices online and ensure they change enough holiday money to cover the cost of meals, drinks and other tourist items. By changing more than £500, holidaymakers can get a better exchange rate at their local Post Office and on our website – and avoid the poor rates offered at airports.”

Ends

The full results of the 2025 Post Office Travel Money Long Haul Holiday Report can be viewed online at www.postoffice.co.uk/longhaul and a breakdown of costs is given in the attached barometer tables.

Notes to Editors:

Post Office is the UK’s leading foreign currency provider, offering over 60 currencies for pre-order at 7,000 branches or online at www.postoffice.co.uk/travel for next day collection at any branch or home delivery. 3,600 larger Post Office branches stock the leading currencies and over 4,300 offer US dollars over the counter without the need to pre-order. US dollars and euros can also be ordered online for same day ‘click and collect’ at selected branches.

¹ The Post Office Long Haul Holiday Report barometer table is compiled from prices provided by national or regional tourist offices of participating countries, where possible, and otherwise using online research. Resorts featured are chosen as representative of the prices that UK holidaymakers will generally find in the country/destination. Exchange rates used are September Post Office internet rates for exchange of £500-£999.