Could foreign jaunt price rises tempt people to take caravan holidays?

With the cost of heading abroad set to rise, the idea of taking a caravan holiday on the south coast of England may be one that appeals to more and more people.

New research by the independent think-tank Civitas has found that a Brussels-backed green levy will force Britons to pay more for their breaks on foreign shores.

The Daily Telegraph reported that a family of four travelling from the UK to the US currently have to pay £260 in air passenger duty, but this will increase by £130 if the Emissions Trading Scheme (ETS) is implemented.

According to official European Union (EU) figures, the average transatlantic flight will cost an extra £10 per person, but Civitas believes this will increase even further until a family is paying £130 on top of the current price.

Such statistics could mean travelling overseas becomes less realistic for a large number of people who are already struggling to meet financial commitments.

But getting away is still a vital part of the year for many, especially those with young children, so looking for something a little more budget-friendly – such as a caravan holiday – could be a wise move.

David Merlin-Jones, the author of the study, said Britain's economy could be particularly badly hit, while Heathrow may lose its status as an international travel hub.

Ironically, the green scheme could even force airlines to deviate from expensive EU spots and take longer routes, burning more fuel.

"Perversely, the EU ETS will encourage flight paths to deviate from the shortest, most fuel-efficient, routes in order to avoid the EU's unilateral price hikes," Mr Merlin-Jones explained.

Caravan holidays have a number of benefits beyond their great value for money, including the opportunity to undertake a period of physical exercise in the great English countryside. The Department of Health recently urged Britons to get active in 2012.

Posted by Tony Clish