This year, more Swedes than ever plan to leave everyday life behind and discover the world. But how we afford these dream trips differs markedly.
News24 has previously written about Swedes’ increased holiday spending. Last year, the Swedish people spent 40 percent more abroad than in the comparison year 2021. This was shown in the annual Consumption Report from the University of Gothenburg.
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But a new survey from Länsförsäkringar reveals that last year’s trend is not about to reverse. Last year, a whopping 48 percent of Swedes ventured outside Sweden’s borders for their holidays. But behind these happy numbers hides a worrying trend.
Differs thousands of dollars
The average Swedish family with children plans to spend a whopping SEK 18,522 on this year’s holiday adventure.
But the amount spent varies widely depending on household income.
Households with incomes below SEK 35,000 plan to spend SEK 15,407, while those with incomes above SEK 84,000 plan to drop a whopping SEK 24,576 for their holiday luxury.
But the traces of inflation are still visible in the Swedes’ way of spending. 34 percent of lower income households plan to cut back on their holiday spending. In contrast, 7 percent of well-off households are considering increasing their vacation funds.
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Photo: Mao Li/PexelsWorrying trend
Going on vacation can get expensive quickly. According to Lån & Spar Bank, a holiday last year cost an average of SEK 21,800 per person.
A worrying trend Länsförsäkringar’s experts are sounding the alarm about is that as many as 4 percent of Swedes plan to take out a private loan to afford the holidays this year.
Particularly alarming is that among low-income families with children, fully 20 percent plan to borrow money to be able to travel.
– There are big personal financial risks in taking out a private loan to travel with the family,” says Stefan Westerbergprivate economist at Länsförsäkringar in one press release.
He believes that the pattern raises questions about long-term financial health and points to the need to think wisely.
– A holiday trip is a consumption expenditure which means that the economic value of a holiday disappears as soon as you are back home. Private loans should preferably be used for necessary things, such as repairing the car you need for work, says Stefan Westerberg.
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