Sign up to FREE email alerts from businessInsider - Daily Subscribe Thank you for subscribing See our privacy notice Invalid Email

It is not the weather hotting up this summer, it's the domestic tourist market. More than half of Scots (52%) are planning a staycation in the UK this year.

A report for digital payment company Square points out that the weaker pound and the uncertainty of Brexit is luring holiday-makers to destinations across the UK, presenting an opportunity for small businesses to boost sales during the summer months. The report did not appear to ask the Scots if the reason for staying was the beauty of their own country!

The average Scottish ‘staycationer’ plans to allocate £315.33 for spending money, apart from of accommodation and transport, on their UK holidays, with the average staycation of UK respondents adding a potential £5.3 billion worth of cash for the UK economy and Britain’s tourism businesses.

The staycation boom in Scotland can be attributed to consumer concerns about Brexit (39%), the high cost of foreign travel (30%), the value of the pound (25%), and a staggering quarter of people in Scotland have worries over security abroad (26%).

Nearly one in five (18%) simply prefer to holiday in the UK.

Convenience is key this summer, with an overwhelming 97% of Scottish consumers expecting to pay by card at their holiday destination.

Research also shows that 47% of Scottish SMEs remain confident about the current business environment compared to 54% of those polled at the beginning of 2017, demonstrating a decline in positivity due to the ongoing saga of Brexit.

Despite this, half (50%) of these small businesses say they’re ready to adapt and 59% feel better equipped to deal with Brexit than their bigger business counterparts. The future continues to look bright despite the uncertainty with over half of Scots (53%) saying they have aspirations to grow their revenues over the next three years.

Helen Prowse, a spokesperson for Square, said: “Staycation spending is set to provide a much-needed boost for the nation’s seasonal businesses this year. With nearly all Scottish holiday shoppers expecting to pay by card, now’s the time for business owners to jump on board. Whether you’re driving a taxi, renting out a room, hiring out deckchairs, running a beach bar or selling ice cream, by setting yourself up with a mobile payments technology like Square you can accept card payments quickly and affordably, wherever you are.”

Square commissioned a nationally representative survey of 2,000 consumers and 1,000 owners of small businesses across the UK, conducted by Censuswide, May 2019.