01:25, UK, Tuesday 24 May 2016
The cost of a typical family holiday in Europe will rise by £230 if the UK votes to leave the EU, David Cameron claims.
The Prime Minister says the value of the pound falling will make foreign holidays more expensive and data roaming charges – set to be abolished next year – could start to rise again.
But while Mr Cameron puts the cost of flying at the top of the EU referendum agenda, one of his Cabinet ministers has flown to the US and attacked President Obama for intervening in the UK referendum campaign.
In a highly controversial move, Leader of the Commons and Leave campaigner Chris Grayling has made a speech in Washington DC saying the UK’s future is for its people alone and US politicians should "stand aside".
In his latest Remain salvo, Mr Cameron says holidaymakers travelling to Europe also risk losing benefits such as free healthcare within the EU and the “booze cruise” enjoyed by thousands of day trippers every year.
His claims follow a bruising row between Remain and Leave campaigners over a new Treasury analysis of the impact of leaving the EU, dismissed as a “dodgy dossier” and “scare-mongering” by Tory Euro-sceptics.
They also follow a rare show of unity last week by George Osborne and his two former Treasury opponents Ed Balls and Sir Vince Cable, who agreed leaving the EU would force up the price of flights and holidays.
Mr Cameron is now claiming: “All the evidence points to the value of the pound falling after a vote to leave the EU. A weaker pound means people’s hard-earned savings won’t go as far on holidays overseas.
“The choice facing the British people on 23 June is increasingly clear: the certainty and economic security of remaining in the EU, or a leap in the dark that would raise prices – including the cost of a family holiday.”
Based on the Treasury’s forecast of a 12% fall in the pound’s value, the PM claims the impact on foreign holidays after two years would be:
:: The EU average, an eight-night stay for four people, up £230
:: Spain, a nine-night stay for four people, up £225
:: France, an eight-night stay for four people, up £210
:: USA, 14-night stay for four people, up £620
Portugal, a 10-night stay for four people, up £325.
The Remain campaign also claims cheap flights within the European Union could also be jeopardised if the UK leaves the EU’s single market.
Carolyn McCall, Chief Executive of easyJet said: “For easyJet and our passengers membership of the EU has been a good thing. The common aviation area created by the EU allows any European airline to fly anywhere in Europe.
“This has kept all airlines' costs low and has enabled low fares airlines like easyJet to expand. If the UK were to vote to leave the EU any new, more restrictive aviation arrangements would add cost and therefore fares would rise.
“And a weaker pound would mean the cost of a holiday abroad – including food, accommodation and drinks – would be more expensive. That is why we think our customers are better off in Europe.”
But while Mr Cameron talks about the cost of air travel, Mr Grayling has taken the fight to quit the EU to the United States and told President Obama and other US politicians to stay out of the UK’s referendum campaign.
Speaking in Washington, the leading Leave campaigner said President Obama was wrong to urge the UK to remain in the EU during his visit to London last month.
"In the same way that the United Kingdom should respect the big decisions taken in the US, so the verdict on the future of the United Kingdom must be one for the people of the UK alone,” said Mr Grayling.
In a swipe at the President’s “back of the queue” trade warning during his London visit, he said: "Inside or outside the EU, Britain's relationship with the United States will and must remain strong. Neither of us should ever be at the back of the line when it comes to working together.
"If Britain chooses to leave, our partnerships in defence, in intelligence, in counter-terrorism, in trade and in culture should remain strong and unchanged. Neither of us would benefit from growing apart, and neither of us should want that to happen, regardless of how Britain chooses to shape its future.
"We have a unique and special relationship that has survived changes of Government and changes of circumstance. That relationship will and must stay strong regardless of how the British vote in June. As David Cameron himself has said, I believe our best days together lie ahead.
"And our friends here in Washington and across the United States should understand the challenge we face, and should stand aside as we reach our own best view about how we secure our future."
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