Happy holidays for over-65s as pension freedoms fund more getaways

 People are using extra cash from pension freedoms to go on more holidays, figures from the Association of British Travel Agents (Abta) suggest.

Over-65s now go on more holidays per year than young adults, with older people taking an average of 4.1 trips a year, compared to 3.6 for 18- to 24-yearolds. Pension freedoms, introduced in 2015, allow over-55s to withdraw 25 per cent as a tax-free lump sum.

In 2015, 18-24s took more holidays than any other age group, averaging 4.6 a year. However, this has fallen for two consecutive years and, as a group, they now take the second lowest number of trips.

Overall, people were taking more holidays than at any point since 2011, at an average of 3.8 a year.

The rise in “staycations” has also continued, with the average number taken almost doubling since 2013, from 1.2 to 2.1, while the average number of foreign holidays declined from 1.9 to 1.7.

Mark Tanzer, Abta chief executive, said: “While the retired are enjoying more holidays thanks to greater spending power, it suggests that the youngest age group, in particular, is feeling the pinch.”

Separately, Visitbritain, the UK’S official tourist board has also said it expects tourism to reach a record of almost 40million people visiting from overseas during 2017.