For many households the summer months bring a spike in spending. Holidays, school breaks, social events and longer days all add up, and because these costs arrive together, they can leave a hole in your finances that lasts well into autumn.
V5 Solutions has answered some of the questions people most often ask about managing money over the summer. The aim is not to cancel the fun, but to decide in advance what it should cost.
How Much Should You Budget for the Summer?
There is no standard figure, because it depends on your income, your family and your plans. A useful method is to start with your normal monthly budget and then add a separate list of summer extras:
- Any holiday, including travel, accommodation, insurance and spending money.
- Childcare or holiday clubs while children are off school.
- Days out, including transport, parking and food.
- Higher food bills when everyone is at home for lunch.
- Summer birthdays, weddings and gatherings.
Divide the total by the number of months left until the summer starts. That tells you how much to put aside each month. If the figure is unrealistic, cut items from the list now. Our guide to the numbers that make up a budget can help you see where the money might come from.
How Can You Keep Children Entertained for Less?
The long break is where costs quietly mount, mostly through small daily spending. Planning one or two paid outings a week and filling the remaining days with free activities keeps things under control.
Free and low-cost ideas
- Libraries: most run a free summer reading challenge and holiday events.
- Museums: many national collections charge nothing for entry.
- Outdoors: parks, playgrounds, nature reserves and beaches. A packed lunch can halve the cost of a day out.
- Council events: local authorities often list free summer activities on their websites.
Help with holiday food and activities
In England, the Holiday Activities and Food programme offers free places at holiday clubs, with a healthy meal, for children who receive benefits-related free school meals. Your council can tell you what is available locally.
How Can You Pay for a Holiday Without Adding Interest?
Many people pay from savings built up for the purpose. Booking well ahead and paying a deposit, then saving the balance month by month, spreads the cost without adding interest. Putting a holiday on a credit card adds interest unless the balance is cleared in full, so it is worth thinking about carefully.
Some ways to reduce the bill itself:
- Compare prices for dates just outside the school holidays, if you are able to travel then.
- Check the full cost of budget flights, including bags and seat selection.
- Consider a break closer to home. A UK holiday removes the need for flights and currency exchange.
How Do You Avoid Paying Over the Odds Abroad?
Exchange costs are easy to overlook. Before you travel, find out what your bank charges for card payments and cash withdrawals abroad. Some cards do not charge foreign transaction fees at all.
At the till or cash machine, you may be offered the choice to pay in pounds. Decline it and pay in the local currency, as the rate built into the pounds option is generally less favourable. Airport bureaux are usually among the most expensive places to buy currency.
For travel to the EU, a Global Health Insurance Card gives you access to state healthcare. Apply only through the official service, which is free. The card is not a substitute for travel insurance, which is worth considering when you book.
Can You Save on Energy in the Summer?
Yes. Warmer weather is a chance to reduce use without much effort:
- Switch the heating off completely, and check the timer on your hot water.
- Air-dry clothes and bedding rather than using a dryer.
- Keep blinds closed on the sunny side of the house to stay cool without air conditioning.
- Give your fridge and freezer space around the back for air to circulate, and defrost the freezer if ice has built up.
- Send meter readings to your supplier so your account reflects real usage.
What If Summer Spending Has Stretched You Too Far?
Start rebuilding gently. Set a modest monthly amount aside from September onwards so next summer is easier. Our article on protecting your household finances in tougher times has ideas for finding room in your budget. This article is general information, not financial advice. If you are falling behind on bills, contact StepChange or National Debtline for free advice.
