Cheap sunshine deals available after recovery in sterling: Destinations including the US, the Caribbean and Dubai more affordable for Brits in 2018

  • The pound is now performing better against the dollar than it did at end of 2016
  • Brits will see their money go further in the Dominican Republic and Kenya, too
  • Eurozone locations offer cheapest deals despite pound weakening against euro

By Jennifer Newton for MailOnline and Press Association

Published: | Updated:

British holidaymakers looking to book a winter sun getaway could grab a bargain thanks to the strengthening pound, new research has revealed.

Destinations including the US, the Caribbean and Dubai are now more affordable than in December 2016 due to more favourable exchange rates.

The research was carried out by Post Office Travel Money, which looked at the most popular holiday currencies.

The pound has seen the biggest growth against the Dominican peso, with Brits seeing their money go 14 per cent further now in resorts such as Punta Cana in the Dominican Republic, pictured 

The pound has seen the biggest growth against the Dominican peso, with Brits seeing their money go 14 per cent further now in resorts such as Punta Cana in the Dominican Republic, pictured 

And the biggest sterling growth of the 12 resorts analysed is in Punta Cana, in the Dominican Republic.

Here, UK tourists will have 14 per cent more travel cash to spend compared with a year ago.

Meanwhile a dip in value in the US dollar - and the currencies linked to it - are giving holidaymakers around 10 per cent more cash on trips to the States, the Caribbean and Dubai. 

But eurozone locations still offer the cheapest overall deals as the lower travel costs outweigh the weakening of the pound against the euro by three per cent.

A table showing the holiday currencies where Brits will see their money go further compared to last year

A table showing the holiday currencies where Brits will see their money go further compared to last year

Paphos in Cyprus has the lowest prices for a one-week package holiday, followed by Tenerife and Lanzarote, both in the Canary Islands. 

But though a cheap deal within Europe might seem like a bargain, warm temperatures can't always be guaranteed in the winter.

Andrew Brown of Post Office Travel Money said: 'Bargain hunters will certainly find Europe cheapest for a new year break but they should bear in mind that the best January temperature they can expect is 21C.

'By comparison, temperatures soar to 27C in long-haul beach resorts, with the promise of longer sunshine hours as well.

Destinations where the pound is going much further include Costa Rica, Kenya, Barbados and Dubai, pictured 

Destinations where the pound is going much further include Costa Rica, Kenya, Barbados and Dubai, pictured 

'The downside is that flying further means higher airfares so it all depends what matters most: the cheapest holiday deal or more sunshine and extra cash in the pocket.'

The new research comes after another study found that destinations such as Argentina and Brazil are where the pound goes furthest.

Currency exchange experts FairFX looked at the countries where the pound has been performing well and where it is expected to continue to do well next year.

And its research revealed that sterling goes a staggering 196 per cent further in Argentina that it did compared to five years ago.

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