Recent research has found that 90 per cent of UK citizens travelling abroad will inadvertently overspend their budget.
The Travel Money Club found that British travellers will overspend their budgets by more than 54 per cent this year, with one in four survey respondents admitting that they will be likely to run out of cash currency by day three of their holiday.
Londoners were found to be the most reckless with their spending, with 75 per cent admitting that they regularly overspend on food and alcohol, as well as souvenirs.
The Welsh were found to be the most frugal, with just 29 per cent failing to stick to their travel budget.
A staggering 75 per cent of those surveyed confirmed that they did not know the foreign currency exchange rate before converting their pounds, leading to overspending unintentionally.
As many as one in five travellers admitted to unintentionally spending 50 per cent or more in extra charges when purchasing drinks while abroad, some even paying as much as £20 for a single alcoholic drink due to extra charges.
Overall, many UK travellers abroad spend up to £200 more than they budgeted for on purchases abroad during their travels.
Don Clark, founder of Travel Money Club, commented: ‘Foreign currency is a minefield for holidaymakers if they don’t know what to look out for.’
He continued: ‘Familiarising yourself with the current conversion rates and reading the small print on charges and commissions will prevent unexpected surprises when buying foreign currency. Our study revealed that 33 per cent of holidaymakers don’t know whether it’s better to pay in local currency or sterling when paying on card, which can lead to paying far more for food, drinks and souvenirs than expected.’
When travelling abroad it is essential to be aware of the correct exchange rates for the currency of the country you are visiting. Information is power.