Europe’s biggest package holiday facilitator has said that customers are turning towards more affordable destinations to save money.

TUI states that Egypt, Bulgaria and Tunisia are being booked more often by travellers for their annual break.

These destinations are being chosen rather than more traditional places like Spain.

Sebastian Ebel, the group’s chief executive, told The Guardian that, even though inflationary pressures have, for the most part, subsided, the prices of holidays are at a “significantly higher level” when compared to those seen in 2019.

Mr Ebel said that the cost is “at a level where we think it will remain”.

He added: “We also see quite often new customers who have less income but still want to travel, and they have a budget of €1,000/£800 per vacation, and if they don’t see it in Spain, then they look for alternatives, and they find alternatives.”

The chief exec also said: “Mallorca will be full in summer, the Canary Islands are full now in winter. But there’s enough choice for customers to find the right vacation.”

It comes after a travel expert told Express.co.uk about the top tourist destinations which soared in popularity in 2024.

Seamus McCauley, head of public affairs at Holiday Extras, said his research has shown the countries with an increase in tourists.

He said: “Places that are most up this year so far include the Greek islands, Kefalonia and Zante. Most of these places want tourists, rather than the ones that are trying to discourage them.

“Tivat in Montenegro and Shanghai in China also come up strongly in our data. But that’s the function of the Chinese tourism policy. China has made it much easier to travel to Shanghai.

“Other places include Marrakesh in Morocco, Tirana in Albania, which is explicitly very keen to have more visitors, and then various places like Romania, Agadir, Paris, Estonia and Belgrade in Serbia.

“Tenerife and the Canary Islands remain the single biggest destination for UK tourism, but if tourism is discouraged, people are going to respond accordingly.”