The combination of a double-dip recession and major attractions such as the Queen's Jubilee and Olympic Games has meant that many families have opted to stay in the UK for their holidays on a so-called 'staycation'.
But while on the surface this may appear to be a prime money-saver during difficult economic times, there are in fact many family holiday bargains to be found in countries on the continent such as Spain and Portugal.
And in some cases holidaying abroad is even cheaper than staying put.
Spain, Portugal, Tunisia...
According to Thomas Cook, the top-value destinations for UK families on the basis of resort prices are Spain, Portugal and Tunisia. The fact that the pound is performing stronger against the euro means that families travelling to the continent can see their money go a great deal further.
Indeed, everyday household goods in Britain are far more expensive than in Europe, so choosing to spend your holidays in low-priced Portugal, for example, may reap considerable financial savings in comparison to a staycation.
Holidaymakers in the Algarve can expect to pay nearly half the price for daily essentials than they would in Britain.
A three-course meal in the UK can also cost twice the £10.14 per person estimated in Spain, which works out as a huge saving for a family of four that could even cover the cost of the plane journey overseas.
Consider costs before booking
All-inclusive holidays usually offer the best value for money and there a rarely any hidden costs while also leaving parents with little else to worry about once they have arrived, but it is important to calculate all the likely costs involved before booking anything.
However, if all-inclusive holidays aren't the best option for your family, swapping homes with another family, holidaying during quieter periods and using discount travel for children are just a few ways to save money on a family holiday.