Co-operative Bank drops foreign transaction fees for UK holiday spenders

A poll of 2,000 UK adults traveling abroad found the average holidaymaker overspends their budget by more than £100 per trip, with surprise charges such as currency‑exchange fees and data‑roaming identified as the main culprits. Forty‑three percent of respondents said hidden fees broke their spending limits, while 34% struggle to understand exchange charges. About 48% now pay in the local currency at overseas ATMs, but one in eight still select pounds and risk extra conversion costs.

In response, The Co-operative Bank announced it is scrapping its 2.75% foreign transaction fee on debit‑card purchases made overseas across all personal current accounts. Kat Robinson, head of everyday banking, said, "Spending abroad should be straightforward, but extra card fees can quickly catch people out," and added, "By removing foreign transaction fees, we're making it more affordable for customers to use their debit card overseas and make the most of their money." The move aims to help millions of Britons control holiday spending and avoid unexpected charges.