Its a hard call to make a choice. But for 2010 I would wait. Most airlines don't even publish prices that far out.

Also paying a deposit doesn't always 'fix' or guarantee the end price you are given by the airline or holiday company. Some travel companies and Uk abta travel agents impose surcharges on holiday packages, even after you have paid in full, it could go up, but by putting this in their terms and conditions, they must offer a reduction if the price reduces. You have a right to cancel, but you still may incur a small loss or none at all.

Read the terms and conditions before you book. If you DIY book direct with the hotel they will require you to pay in local, ie Euros, USdollars, so that when the pound goes up or down, it only hurts or helps your wallet not theirs.

If you do book a holiday package, beware of low deposits. There have been a few threads on here, warning people about these low holiday deposits. If you cancel, you will have to pay the 'extra' part of the deposit that is usually about another 50 to 70 per cent of the low deposit value. Ask if there is an additional deposit payment required, or it it will be only the final outstanding balance to pay.

Tough times ahead.

Hi

I would book NOW, prices are going up, the major tour operators prices have risen by over 12% in the last 2 months and they have already confirmed they will be going up by as much as 25% over the next 2 years.
Fuel prices are now starting to rise again and the current trend with the value of the pound is still showing a fall and not expected to rise in any great strength in the forceable future.

The descision is a hard one and can only be made by you

lol

Do it, don't do it. Go on. No wait. Are we helping? I do expect that some will say it is the best time to book because the travel companies are desperate to sell something. Some are cutting volume, selling less but at a higher price.

No one wants to be the next XL. Sell too low, cut your own throat, then go bust. So do think if you find something on the web, if it is too good to be true, it may well be.

If you are booking that far out, take out travel insurance as it may be you who decides you can't travel if your circumstances change in the next 12 months. This is why I wouldn't do it. Some insurance policies don't even cover you that far in advance of your travel date.

It depends what you are wanting to book really, and how difficult it is for you to get the time off work.If you want to be sure of getting into a particular accommodation or onto specific flights eg from a local airport, best to book early. Earlybird prices are always cheaper. The days of last minute bargains seem to have disappeared, unless you don't really care too much about where you go. Holiday insurance covers you from the date you booked the holiday or the date you took out the insurance, whichever is later. It is vital that you take out insurance before or at the same time as booking a holiday.Shop around. Insurance from tour operators is always expensive. Try Insureandgo or look on one of the comparison sites. If you travel frequently then annual insurance is best.