Travel experts are cautioning that holiday costs could increase if the conflict in the Middle East persists.
The Foreign Office is recommending against non-essential travel to the UAE, Bahrain, Kuwait, and Qatar, resulting in numerous flight cancellations.
Rising jet fuel prices and a surge in demand for safer destinations may soon lead to higher travel expenses in other areas, as per experts’ warnings.
According to the BBC, the price of north-west European jet fuel has spiked to $1,500 per tonne, up from $830 per tonne before the air strikes on Iran.
The impact on holiday costs will be dependent on the duration of the Middle East conflict, experts emphasize.
Independent travel specialist Jane Hawkes highlighted that the Middle East conflict is likely to influence holiday prices across various destinations.
Hawkes explained, “Elevated fuel costs due to rising oil prices lead to increased operating expenses for airlines, potentially resulting in higher flight prices for passengers.
“Furthermore, a shift in demand towards perceived safer destinations can drive up prices in those locations as accommodations and flights become booked up more rapidly.”
Andrea Platania from Transfeero also noted that rerouting flights from the Middle East is expected to contribute to increased prices.
Platania added, “Extended flight routes consume more fuel, and with the surge in jet fuel prices due to oil price fluctuations, airlines are likely to transfer some of these expenses to travelers through higher ticket rates.”
The costs of accommodations, rental cars, and activities may also be impacted by increased demand and potential fuel price hikes.
According to the RAC, petrol prices have risen by 3p to 136p per liter, while diesel prices have increased by 5p to 147p per liter.
Platania highlighted, “Hotels in safer destinations have not yet witnessed a significant shift, but higher transportation costs and cautious booking behavior could lead to short-term upward pressure on room rates and travel packages.”
“Increased demand for non-conflict zones, in combination with limited flight availability, may drive local price increases.
“On the ground, price fluctuations in petrol and energy linked to geopolitical risks are likely to impact the broader travel ecosystem, from car rentals to tours and activities.”
