Package Holiday Costs Have Risen in 2025 But Post Office Report Has Great Advice

10th July 2025

New analysis of over 8,000 European package holidays shows prices for summer 2025 bookings are on average 4.2% higher than a year ago, with some destinations seeing rises up to 11.5%. Eurostat data also indicates the cost of a typical European package break climbed 6.6% between July 2023 and July 2024.

Key Drivers of the Rise
Inflationary pressures across travel services

A post-pandemic surge in demand ("revenge travel").

Higher energy and utility costs for hotels.

Airline capacity constraints driving up fares.

Rising fuel prices and new environmental levies.

Staffing shortages and supply-chain bottlenecks.

Counter-Measures and Early-Bird Deals
Despite these headwinds, booking early can sometimes reverse the trend. HolidayPirates reports that average per-person prices for 2025 package holidays are currently £552, down from £614 for 2024 trips—around a 10% saving—thanks to early-bird offers.

Overall, yes—package holiday prices have climbed noticeably this year, driven by inflation, strong demand and cost pressures on suppliers. However, savvy early booking can still secure discounts.

For many more details see the Post Office
Holiday Money Report 2025

For the detailed report covering 15 countries offering value go HERE
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