The current exchange rate of the US dollar – at around $1.90 to the pound – is encouraging UK outbound tourism to America but could affect inbound tourism to the UK from the US.

The weak dollar – which has experienced a 20 per cent decline over the past year alone – is also expected to increase visits to Caribbean destinations, due to local currencies being linked to the dollar.

Although bargain-shopping is expected to take precedence for most tourists travelling to the US, add-ons to holidays such as car hire and rental, dining, drinking and attractions visits will also benefit from the state of the pound/dollar.

On the whole, UK tourism authorities are currently unconcerned by the repercussions of the weak dollar on the inbound tourism industry but recognise there may be a future risk.

UK tourism body, VisitBritain, said: “North American visits were up 16 per cent in December 2003 and, although the weak dollar does present some risk for Britain’s inbound tourism industry, VisitBritain believes it will impact less on the number of visitors coming here but may affect how they spend their money during their holiday.”