Britons are spending more on summer holidays despite finances being hit by the cost of living, according to some travel companies.

Several holiday companies and tour operators said demand was high with bookings surging in early January.

Average spending per holiday was £3,104 this week (about 3,500 euros), up about 5% on last year, said the Advantage Travel Partnership.

Spain is the most popular booking destination so far, along with Greece, the US and Turkey, according to the Advantage Travel Partnership, the UK's largest network of independent travel agents.