Trips to UK now much cheaper

A trip to the UK has become more affordable for Australians, as the Brexit vote causes a sharp plunge in the pound.

Foreign currency exchanges

A trip to the UK has become more affordable for Australians. (AAP)

A UK holiday has suddenly become a lot cheaper.

Already enjoying some of the cheapest airfares to the UK, Australians now have the benefit of a much weaker British pound, thanks to the Brexit vote.

The pound plunged against all currencies as the UK voted to leave the European Union, a move that is set to cause long term uncertainty for an economy already under pressure.

The Australian dollar is now buying 54 pence, up from 51 pence on Thursday, and just below a 15-month high hit in April.
"At the moment cheap outbound airfares are at unprecedented levels," Webjet managing director John Guscic told AAP.

"Now with an Aussie dollar that can buy more euros as well as more pounds, we expect to see a lot more leisure travellers to head over there for the northern hemisphere's summer."

The Australian dollar is buying almost 67 euro cents, up from 64 euro cents a month ago.

Flight Centre spokesman Haydn Long said greater buying power would make the UK a lot more attractive to Aussies.

"People get most excited about airfare prices, however this exchange rate benefit would certainly make the UK an even more attractive proposition," he said.

But the Australian dollar has plunged against the US dollar, as well as the Japanese yen, as the Brexit vote caused investors to buy into assets seen as less risky.

The Aussie was buying 76.5 US cents on Friday morning, but is now worth 73.7 US cents.


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Published 24 June 2016 5:38pm
Updated 25 June 2016 8:39am
Source: AAP


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