TAMPA - Travel is projected to be down over the Fourth of July Weekend despite lower prices at the gas pumps.
According to a press release from AAA Auto Club South, the number of Americans expected to travel is projected to decrease by 1.9 percent, largely due to consumer concerns over personal finances, rising unemployment and the sluggish economy.
Nationwide, 37.1 million are projected to travel for Independence Day gatherings. In Florida, 1.8 million people are projected to travel.
AAA’s travel projections are based on research conducted by IHS Global Insight. The Boston-based economic research and consulting firm teamed with AAA earlier this year as part of an agreement to jointly analyze travel trends during major holiday periods.
The research says that the number of people traveling by air should increase by 4.9 percent as compared to last year.
The number of people projected to drive over the holiday weekend is projected to decrease by 2.6 percent.
“Although the research (completed in early June) suggests some consumer apprehension, the fact that gasoline prices appear to have peaked and may be on their way down may encourage some families to reconsider a vacation getaway starting with this holiday weekend,” said Kevin Bakewell, senior vice president, AAA Auto Club South. “We’ve had many visitors come to our branch offices in recent weeks coming in to plan family vacations, cruises and tours so perhaps there’s more optimism in our territory than the national survey data reflects.”
AAA’s officials also say that gasoline prices should continue to decline, making travel by automobile much more economical this year.
“Last year at this time, we saw the national average price of gasoline increased from $4.07 to $4.10 on July 4th. Fortunately, it’s a much different story this year. All the indicators reflect that the peak price is behind us and we can now expect retail gasoline prices to edge downward, even as we approach the Independence Day weekend,” said Gregg Laskoski, managing director of public relations, AAA Auto Club South.
Gas prices in Florida averaged $2.683 on Monday, June 29, compared to $2.716 a week ago and $2.446 in May. Last year’s price on the same date was $4.036, according to AAA’s Daily Fuel Gauge Report.
According to AAA’s Leisure Travel Index, air fares throughout the Fourth of July holiday weekend are expected to decrease by 16 percent from last year as air passengers will pay as little as $169.
Car rental rates are projected to edge up slightly to $51 per day compared to $49 per day last year. Hotel rates for AAA Three Diamond-rated properties and Two Diamond properties are expected to decline by 12 percent.
