January 25, 2014

What does the recent volatility in the currency markets mean for ski holidays?

The 15th January saw huge volatility in the currency markets when the Swiss National Bank announced they were no longer going to continue pegging the Swiss Franc to a weakening Euro. Within minutes of the announcement, the Franc gained 20% in value and a trading frenzy followed. But what does all this mean for ski holidays?

  1. Not only did the Franc get stronger but the Euro also got weaker meaning that the British pound goes even further in the Euro-zone. Rates are currently around 1.31 Euros to the pound. On the basis that on average a week’s skiing in France is likely to cost around 1500 Euros, if you are earning pounds, your holiday just got £50 cheaper.
  2. If you have not yet decided where you are going skiing, Switzerland is suddenly looking like a rather expensive option. The Swiss Franc is now 15% more expensive than it was 48 hours ago. Given that Switzerland was already an expensive place to visit, prices are starting to look prohibitive.
  3. If you still want to ski in Switzerland but don’t want to get stung, the Portes du Soleil covers both France and Switzerland. You can stay in France, buy your ski pass in Euros in France and then pop over into Switzerland for some skiing with a big, smug smile on your face!

So, now is the time to book a ski holiday in France! What are you waiting for?