Travel question of the day: Simon Calder on when to book a Caribbean holiday
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Your support makes all the difference.Q I’m looking at package-holiday prices to the Dominican Republic for 2017. Is it worth waiting to see if the pound gets stronger against the US dollar so that operators will lower prices?
Martin Gibbons
A Whatever happens to sterling over the next few months, the cost to the tour operator of putting together a fortnight’s package to the Dominican Republic next year will not be materially affected. Travel firms will have “hedged” their currency needs, i.e. locked in to specific rates. That applies to pretty much everything denominated in US dollars: the leases for aircraft, fuel for those planes, and the bills for hotel rooms. While 2018 costs may well rise significantly, next year travel firms will benefit from the stronger pound that prevailed prior to the EU referendum.
However, as you appreciate, the cost of producing a holiday and the price that it is sold at are two different things. If you are planning to go during the school term, then I would wait a while — I can’t see any great benefit of booking early. But if it is a trip during the school holidays, prices are likely only to rise.
Every day, our travel correspondent, Simon Calder, tackles a reader’s question. Just email yours to s@hols.tv or tweet @simoncalder
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