The research found that domestic hotels and B&Bs are the favoured holidays this year, picked out by one in four would-be holidaymakers. This was followed by self-catering accommodation (21%), while around one in five (17%) hope to stay with friends and 13% are planning a holiday in a caravan, motorhome or campervan.

Of those polled, around one in four (23%) said the pandemic was the primary reason for holidaying in the UK this year, with a third (30%) stating they were worried about travelling abroad because of the virus.

It’s not just the virus itself that has put so many off the idea of heading abroad though ‒ the expectations of delays and quarantine requirements have also dampened the appetite for international trips, while one in 10 said they were sticking to a staycation because they cannot afford a foreign holiday this year.

Hannah Isitt from GoCompare Travel Insurance cautioned that it was important to keep on top of not only the restrictions and precautions against the pandemic that different countries introduce, but also what the advice is over travelling there before heading off ona  trip.

She said: “The Foreign, Commonwealth and Development Office (FCDO) regularly updates its advice about travelling in the UK – so, it is important to check the rules for the area of the UK you are travelling from, as well as your destination and, follow advice for both.  If you travel against FCDO advice, you won’t be covered by your travel insurance.”

Where can I go?

While the government has started to lay out its plans for international travel as part of the loosening of restrictions, there remain big questions over the implementation of the ‘traffic light’ scheme, with different destinations resulting in different rules over quarantine on your return. 

There is also the issue of paying for Covid-19 tests and whether those costs will fall on the shoulders of individual holidaymakers.

Travellers have been advised against booking foreign trips until we are in a clearer position, while the Civil Aviation Authority (CAA) has extended the protection afforded to those who are issued with credit notes if their booking has been cancelled due to the pandemic.

Do I need insurance for a domestic holiday?

It’s easy to assume that sticking with a staycation means saving a few quid on travel insurance, but GoCompare emphasised that this isn’t a great idea. 

Almost three quarters (71%) of domestic holidaymakers surveyed by the firm said they don’t bother with travel insurance, with 12% saying they didn’t believe policies provide any cover for holidays within the UK. 

However, GoCompare highlighted that unexpected and expensive incidents are just as likely on staycations as international trips, and can provide important cover if travel plans or accommodation are cancelled due to Covid.

Isitt added: “If you’re thinking about holidaying in the UK this year, you should still consider taking out holiday insurance as soon as you book your holiday – just as you would for a vacation abroad.  While you may not need to worry about medical cover, there is still very valuable cover available in terms of financial protection for cancellations and baggage loss or damage.”