As Brits are feeling the squeeze of the credit crunch, more than half of us will take fewer than average holidays this year. According to research by Norwich Union, one in three people will take their holidays in the UK so that they do not get into debt by going abroad.

33% will be avoiding foreign travel in a bid to save on debt and slash their outgoings. Worryingly over half (51%) admitted that they would consider not taking travel insurance in order to save a little bit of extra cash.

Norwich Union’s Suzi Fenn said: “Understandably, people are looking to make savings on their holidays this year given the economic climate.” The credit crunch is leading people to think more about their money. As 65% of people are intending to shun their credit cards to pay for their holiday, as they will use their savings instead.