16 January 2024
A recent survey by InsureandGo has revealed that despite the financial challenges of the cost of living crisis, almost half of UK holidaymakers are nevertheless willing to pay a premium to stay in green or sustainable accommodation on their holiday.
The study found that 47% of respondents are prepared to pay at least £100 extra per person to stay in green or sustainable accommodation, with one in eight prepared to spend an additional £500 or more. This equates to an average spend of £152 pp on top of what they would normally pay.
Interestingly, the willingness to pay a premium for sustainable accommodation increased among frequent travellers. Among those who take several overseas trips each year, 61% are ready to pay more than £100 for greener accommodation options, with the average additional spend being just over £200 per person. Nevertheless, even among those who typically have just one major holiday abroad each year, a notable 54% were willing to pay a premium for environmentally friendly accommodation (average additional cost of £194 pp).
Similarly, while two-thirds of individuals who said they placed sustainable travel at the “heart of their holiday planning” were the most willing to pay a premium (£243pp average), even among less eco-conscious travellers, 52% would spend over £100 more (£169pp average).
Rising costs prompts shift toward sustainable choices
The research also found that the pressures of rising costs have inadvertently prompted a shift towards sustainable choices for many people planning their holidays.
Overall, 81% of travellers could point to one or more ways they are looking to both save money and their impact on the environment. The ways they were doing this included:
- Closer destinations: A fifth (19%) said are considering visiting closer destinations, cutting back on the number of air miles travelled
- Light weight travel: Around a quarter (24%) said they plan to take fewer bags, and for these bags to be lighter, both to save money and to reduce their carbon footprint.
- Changing modes of travel: 12% are avoiding flights for their trips to save money, reflecting a shift towards sustainable travel methods. Additionally, 18% will choose public transport over personal or hired vehicles for airport commutes.
- Eco-friendly Packing: A third (32%) of respondents said they will re-use last year’s summer clothes for their next holiday in an effort to be greener, while a quarter now plan to take refillable cups, and 17% are opting for second-hand clothing.
- Support local enterprises while there: A quarter (24%) of respondents said they plan to eat local produce with low food miles while at their destination. Additionally, 21% said they would opt for self-catering, again, actively supporting local shops and markets.
Chris Rolland, CEO of InsureandGo commented: “At a time when household budgets are squeezed and every penny counts, choosing to pay a premium involves a deliberate and thoughtful decision. The fact that so many people are willing to pay more to support environmentally responsible practices clearly illustrates their commitment to being greener on their travels. The various steps people are taking to do their bit – both small and large – continue to demonstrate that sustainability is increasingly becoming a key factor in people’s holiday planning.
“People’s awareness of their impact on the environment, heightened by the severe consequences of environmental change witnessed through forest fires and flooding last summer, has led to a growing willingness to contribute positively to the environment. Additionally, recent events have emphasised the importance of quality cover offering protection against unforeseen circumstances.”
Proportion of people who would be happy to spend more in order to stay in green/sustainable accommodation while on holiday
The eco-friendly habits adopted during the cost of living crisis that people will keep due to their environmental benefits
- Use last year’s summer clothes rather than buying new ones – 32%
- I’ll stay in the UK for holidays – 29%
- Take refillable cups, mugs and toiletry bottles – 25%
- Reduce the amount of bags we take – 24%
- Eat local produce and drinks when at resort – 24%
- Using public transport rather than a car or taxi at resort – 21%
- Go self-catering and use local shops – 21%
- Avoid first class and the needless luxuries – 20%
- Go to a country a bit closer to home – 19%
- Using public transport rather than a car or taxi to get to/from the airport – 18%
- Buy second hand summer clothes – 17%
- Avoid flying to the destination – 12%
- Share a room at the hotel – 8%
- We’ll go on holiday with another family – -6%
- Not applicable – I’m not looking to save money from holidays – 12%
- Not applicable – I’m not looking to do things that are good for the planet – 6%
