How to have a cheap holiday

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Making plans for a summer break is perfect cold weather escapism. But if money is tight, brochure prices can be a cruel dampener. With research and a flexible approach, however, you can wipe out much of the cost of conventional travel, sourcing free accommodation and free, or cheap, flights.

Getting there

Reward schemes

If you are a member of a reward scheme, such as Nectar or Airmiles, check your account, as you may have collected more than you realise. If you are not a member and shop at affiliated retailers (see Nectar.com and Airmiles.co.uk for lists), it makes sense to register. A spend of £85 a week at Tesco nets holders of the retailer’s Clubcard 1,000 Airmiles each year. One return flight to Paris with British Airways (BA), including taxes and charges, costs 750 Airmiles.

Budget airlines

If you do not have reward points, budget airlines are the next best bet. Ryanair often has 1p or even free flight offers - it will cost you £4.75 in payment booking, although this can be avoided by using Visa Electron. EasyJet will charge £4.95 for credit card use.

Watch out, too, for extra charges per item of cabin baggage – £5 or £10 with Ryanair and £3.99 with easyJet. At popular times, such as school holidays, budget fares can hit premium prices, so compare deals at eBookers.com or Expedia.co.uk as well as airline's own sites.

Courier flights

For a long-haul break, BA offers two courier flights a day to Tokyo and one to Bangkok. Passengers carry documents on behalf of a company in return for a discounted, or free (though rarely), round trip. Call BA on 0870 3200301 for information.

Accommodation

Exchange websites

International hospitality exchange websites, such as CouchSurfing.com and HospitalityClub.org, allow members to offer a few nights accommodation on a spare bed or sofa, or the chance to meet for coffee or a meal. All users have a profile page stating what they can offer and when, with information on themselves and comments – de facto references – from other members. Each of the sites has more than 350,000 members, most of them in Europe, Australasia and the US.

Some hosts offer a couch and key while others throw in home-cooked meals and tours of the town. The sites are free and members cannot charge. However, some help with chores and contributions to shared food are expected. “Exchanges” need not be reciprocal. Some members host but do not travel, while others travel but cannot – or choose not to – host.

Home swap

If staying with a stranger does not appeal and you are a homeowner, a home swap could be a comfortable alternative. Members pay about £30 to £120 a year to list their property at websites such as www.homebase-hols.com and HomeLink.org.uk. Listings give a description and photographs of each home, plus the owner’s availability for travel and preferred destinations. Other members whose requirements mirror their own, can offer a rent-free exchange. Homes in Europe, the US and former British dominions, such as South Africa and New Zealand, are best represented.

Renting

Alternatively, renting a privately-owned villa is more expensive than the above - but could work out cheaper than a hotel. It also allows you to go self-catering, which means you do not have to spend money eating out every night. Websites such as Owners Direct and Holiday Rentals list thousands of houses, villas and city apartments across the world and allows you to liase directly with the property's owner. Do not be afraid to haggle on price - especially if you are not booking during the school holidays.

Hot tip

Tom Hill, editor of Lonely Planet travel guides, tips Romania and Bulgaria as ideal for a cheap short-haul break. He says that both offer unspoilt natural and historical sites, plus the chance to trek. “Visit the Saxon villages in Romanian Transylvania. In Bulgaria, I would go for the medieval monasteries and Black Sea resorts.”

Return BA flights from London to Bucharest or Sofia come to 2,500 Airmiles, including taxes and charges. Hospitality Club and Couch-Surfing members offer spare beds in both countries.

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