With ‘workcations’ becoming a growing trend, we delved further into this new type of travel. Who would consider working remotely abroad and what would they need to do so?
A growing number of the UK workforce are using their ability to work remotely while taking a trip overseas. By combining a holiday with their day job, a new type of travel is born: the ‘workcation’.
To find out more, we’ve asked the nation their thoughts on the trend. Who would consider taking a working holiday and should their employer allow it? We also uncovered what is needed to make remote working abroad more appealing, and discuss the implications on tax and travel insurance.
To be able to take a trip abroad and continue your regular job requires the ability to work remotely via a laptop, meaning you can do your job as usual from any place you choose. According to our recent survey, over half (53%) of Brits have a job that requires them to use a laptop, making remote working possible for the majority of the nation’s workers.[1]
Workcations are a growing trend in travel, and three-quarters (76%) of eligible Brits said they would consider working remotely from another country for a week if their employer gave permission. This would allow them to continue their day job while enjoying a short holiday abroad.
Our research also indicates that millennials (those born between 1982-99) are the generation most willing to take their work with them on holiday, as 82% say they’d do so if their employer allowed it. Although Gen X (1965-81) and baby boomers (1946-64) are slightly less eager, many in these generations would still consider remote working from another country if given the chance, at 78% and 66% respectively.
When asked whether they thought more employers should allow staff to log on from overseas, over half (58%) of Brits said yes. Baby boomers are the only generation with more people seemingly against employers giving permission to work abroad, as 55% of them answered no.
Gemma Chase, Head of Marketing at Lightfoot Travel, is confident that working holidays have plenty of potential and that the trend is likely to continue growing. When asked about the luxury travel agency’s stand on working remotely from abroad, she said: “With a lot of our team working remotely as we operate in Asia, Australia, Dubai, London, Hong Kong and the US, we absolutely endorse this.
“We anticipate that working remotely will encourage an increase in more experiential travel too, as it allows people to visit a place as though they were living in it, considering they’re still adhering to a work routine. The trend has special potential for those in senior management positions, as they often are too busy to take full time off, making a working holiday their best option.”
For around half (53%) of eligible workers, the biggest reason to consider working remotely on a trip abroad is it provides the opportunity to travel without using up annual leave. The current legal annual leave entitlement for UK workers is 5.6 weeks,[2] which many consider insufficient, making this the most popular benefit of a working holiday.
The second largest draw is getting to work in more pleasant conditions, which was chosen by half of those with the ability to work remotely from overseas. Whether that be better views, better weather, or a more comfortable room far from your usual workplace, Brits say idyllic surroundings would make them consider jetting off, laptop in hand.
Other factors that could entice people to work remotely and travel at the same time include the ability to take a trip during the quieter off-peak seasons (36%) and, in turn, saving money on travel and holiday costs (35%), both chosen by over a third of eligible workers.
Interestingly, baby boomers are the only generation where most didn’t choose saving annual leave days as the biggest reason for working remotely while on holiday. Instead, their most valued benefit is being able to work in more pleasant surroundings, chosen by half of their generation.
When it comes to working remotely abroad, there are a few essential facilities needed. For more than two-thirds (78%) of potential remote workers, stable and free Wi-Fi would be a must. Having access to a reliable power supply is also one of the top requirements (65%), followed by a quiet space in which to work (63%).
Other facilities that people want for their working holidays are flexible itineraries that allow them the time to get their work done (37%), easy access to local amenities (32%), and air conditioning (29%) for those looking at destinations with hot weather. A further 9% of workers say free or discounted refreshments would also be required.
This means that holiday destinations would have to offer all or most of these facilities to entice people to travel while bringing their work on the go.
Many eligible employees would also consider taking a working holiday if specialised packages tailored to working remotely from abroad were available from travel agencies. But, is the trend big enough for travel agencies to provide this?
Gemma Chase commented on whether Lightfoot Travel would consider creating this type of tailored holiday package: “Yes, although our holidays are generally tailored at the luxury end so they would be better suited to senior management workers looking to multitask their job with a fully-catered getaway.
“We have a huge amount of product knowledge within the team and know all the best hotels in the world! This gives us the ability to understand what types of places could offer the facilities needed for a working holiday, which could of course be included as part of a potential travel package.”
Taking your work with you while you travel abroad could allow you to spend more time at a destination, as you’re not taking up those precious annual leave days. But what type of trip would Brits choose?
A beach destination was the most popular option, chosen by 32%, while a city break was the second-most preferred location for working remotely, picked by 28% of workers.
This is especially true for women, as 39% would choose to take a beach holiday, compared with just a quarter of men. Meanwhile, 31% of men opted for a city getaway as their main preference, which appealed to only 24% of women.
Countryside destinations and all-inclusive resorts are less popular when it comes to working holidays, picked by just 17% and 14% of eligible workers respectively.
Taking your work on holiday can sometimes affect the practicalities of your employment, as well as your travel, given that you’re combining both into one.
Yet, our survey found that the majority (69%) of workers were not aware that working remotely could affect their tax payments. For example, the country you’re visiting could seek to tax your income on top of your normal tax payments, since you’re performing your work duties in their location. Short-term stays abroad are unlikely to trigger this, but you might be required to report that you’re working during your stay, so it’s always worth checking the rules for your chosen destination.[3]
Equally, more than two-thirds (69%) were also not aware that working remotely from abroad may require a different type of travel insurance.
If you’re looking to mix work with pleasure by working remotely while on a holiday abroad, make sure to double-check the details of the travel insurance policy you want to take out. In some instances, policies will be specific to the reason for travelling, and working overseas could require business-specific travel insurance, especially if you’re going to be working from abroad for an extended period of time.
It’s always important to get the right sort of insurance for your exact situation, so that you’re covered should you encounter any problems while away. But by comparing deals from multiple providers, you can easily find a policy suited to your needs.
[1] To collect the data used in this report, we ran a YouGov Survey of 2,000 UK adults on 7 March 2023. Respondents were selected at random across several demographics. All statistics were sourced from this survey unless otherwise stated.
[2] UK annual leave entitlement information was sourced from Gov.UK.
[3] Information sourced from the working remotely tax guide at the Low Incomes Tax Reform Group.