Three-quarters of Brits went on or were planning to 'staycation' this year – up from 70 per cent a year ago.

The move to staying at home helped turnover at accommodation and food businesses grow by 8.3 per cent.

However, the Barclays Business stats show the average staycation spend is down 14 per cent to £530, with hard-up Brits feeling the pinch.

Nearly a quarter (23 per cent) of those who are spending less say this is as they have less money than a year ago, and one in 10 (11 per cent) say they can't afford to spend any more because the cost of living has increased.

However, the current value of the pound has attracted more overseas visitors with 3.5 holidaying in the UK in June 2017 - up seven per cent from the same period in 2016.

Ian Rand, chief executive at Barclays Business Banking, said: "While it's good news for the UK economy that more Brits are opting to spend their holidays in the UK, our poll shows purse strings are being tightened and domestic spend is down.

"However the weak pound is attracting growing numbers of inbound tourists, which is having a healthy impact on SME businesses in the accommodation and food services sectors."

He added: "It is essential that UK businesses plan ahead and carefully position themselves to take advantage of the opportunities both domestic and overseas tourists can offer."