Some airports offering just €0.99 for the battered pound
A survey by Caxton FX of five London airports revealed Luton and Stansted are offer holidaymakers a measly €0.99 to the pound, while Gatwick was the best value for last minute foreign currency exchanges, offering travellers €1.05 for every pound sold.
This means a family of four exchanging £1,000 would get €60 less changing money at Luton than if they did so at Gatwick.
*Rates correct as of 16.08.16
Caxton FX analyst Alexandra Russell-Oliver, said: “The pound fell below 1.1500 against the euro [on 15 August] for the first time since August 2013. The next rate on the horizon for this pairing eyes that month’s low of 1.1403.”
“An already weak pound has faced additional woes recently due to increased stimulus measures and disappointing data from the UK.”
Currency exchange bureaus at airports have a captive audience, which means in spite of poor rates, they still manage to attract a large customer base. However, the airport offerings are much lower than the current rate of £1 to €1.1536.
Buying holiday money at the airport is not the only option for last minute purchases.
Holidaymakers may want to consider a prepaid currency card, a convenient alternative to carrying cash, which allow you to lock in the exchange rate at the time of loading your money, rather than when you make a purchase or withdraw cash abroad.
Based on a £1,000 exchange, Caxton FX said customers using its prepaid currency card would receive an extra £137 based on today’s exchange rate, compared to purchasing currency at Luton airport.