Summer holidays hit by inflation - as hospitality prices are up 5% year on year

Holidays are a key part of Wednesday's rise in inflation, with hotels, restaurants, and recreation costs all increasing faster than general inflation.

It was announced that UK inflation has risen for the first time since December to 2.2%, sitting just above the Bank of England's target.

As many holidaymakers will notice, hotels and restaurant prices are up around 5% year on year.

The hospitality trade faces rising overheads including Labour and energy, so despite the need to attract customers, many have been forced to increase their prices.

Hotels are caught in an inflation dilemma: their costs have risen but hard-pressed holidaymakers are using every trick in the book to get discounts.

Subscribe free to our weekly newsletter for exclusive and original coverage from ITV News. Direct to your inbox every Friday morning.

A hotelier I spoke to on Wednesday in Bournemouth says many people are leaving it to the last minute before booking in the hope that accommodation providers will have to lower their rates to bring in guests.

Many other aspects of a good holiday are also affected by todays inflation figures, including recreation and culture where prices are up around 4% annually.

Alcohol and tobacco, another feature of many holidays, are up over 7%.

Whilst today's rise in inflation was broadly predicted, it remains lower than European neighbours like France and Germany.

They might be feeling the squeeze, but many people are still heading for a get-away - thinking a summer break is the one thing they can’t do without.

Want a quick and expert briefing on the biggest news stories? Listen to our latest podcasts to find out What You Need To Know…