The financial crisis in Turkey means Brits can party there for 1990 prices, with beer at £1.22 a pint

SUN, sea and a pint of beer for £1.22 — with the collapse of the Turkish lira, travellers can party not just like it’s 1999 . . .  but like it’s 1990.

That was the last time an average pint in the UK cost so little, and it explains why bargain-hunting holidaymakers are flocking to the resorts of Marmaris and Antalya in droves.

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Because of the country’s currency crisis, the Pound is worth 89 PER CENT more against the Turkish lira than a year ago.

And with yesterday’s latest drop in value, those changing £500 into lira will get £235.74 MORE than they would have in August 2017.

As a result, Turkish resorts are full of holidaymakers gleefully upgrading their breaks.

Thomas Cook’s manager in Dalaman, Richard Ward, said last night: “Those on bed and breakfast or self-catering holidays are trading up to the higher end restaurants.

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“Luxury leather shops are enticing more customers than ever.”

Meanwhile, foreign exchange bureaus are running out of the lira as travellers try to make the best of the problems brought on by economic woes and a trade row between the US and Turkey.

• Where to book a cheap holiday in Turkey - read more

The Post Office has seen unprecedented demand for the ailing currency — with orders up 198 per cent in its stores and 598 per cent online year-on-year.

Yesterday it was offering an exchange rate of £1 to 8.16 Turkish lira — an all-time record.

Prices are almost HALF those in Spain and Greece.

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And while savvy travellers had already worked out that Turkey would be the best-value Med destination this summer, demand is now soaring even more. Thomas Cook boss Ingo Burmester said yesterday: “Bookings to Turkey are more than 60 per cent ahead.”

The UK’s second biggest tour operator, Jet2, has doubled the number of its airline seats to Turkey to cash in on the boom.

Online travel agency On The Beach has seen bookings to its resorts increase more than any other destination in 2018.

Marketing boss Alan Harding said: “In-resort costs are the cheapest they have been in years.”

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You can now pick up a week in a luxury 4H hotel on its own private beach from just £310 per person, including flights and an all-the-works breakfast.

Or opting for a decent 3H and a week’s self-catering including flights in Alanya will only set you back £261pp.

Step outside the hotel and the prices will drop even further.

In May I visited the beautiful new Mark Warner resort in Phokaia.

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Cycling into the nearest town of Foca we discovered boat trips for just £1.60. For £10 you could enjoy a four-hour coastal dinner cruise with all food and drinks.

Shopping is even more of a bargain.

Queues are forming outside high-end designer stores including Chanel, Louis Vuitton and Hermes in capital Istanbul as expats cash in on the plunging lira.

At Chanel, a classic camera case bag is selling for a “bargain” 18,500 lira — the equivalent of £2,308, 25 per cent cheaper than the £2,911 it costs on a European Chanel website.

After years of seeing prices rise in euro destinations as our Pound took a battering, the lira’s drop is great news for British travellers.

What caused the situation

WHAT is happening in Turkey?

Turkey’s currency, the lira, has crashed due to an economic crisis in the country – and its fall has been made worse by a row with the US.

The slump has panicked currency markets worldwide, leading to dips as far off as South America.

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How bad has it got?

The lira fell a massive eight per cent against the US dollar on Monday, before recovering slightly yesterday.

Overall, the currency has dropped by 45 per cent this year and 28 per cent since the start of the month alone. Inflation has gone up by more than 15 per cent in Turkey, more than six times the rate of inflation in the UK.

What has the US got to do with it?

Donald Trump has slapped economic sanctions on Turkey in a move against President Recep Tayipp Erdogan, over the detention of Turkish-based US missionary Andrew Brunson. Last week he also doubled tariffs on Turkish steel and aluminium.

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Brunson was arrested in 2016 accused of plotting to overthrow the Turkish government. It is alleged he has links to a movement which the Turkish regime believes were responsible for a failed coup in 2016.

Christians in the US say the accusations are baseless and that he is being persecuted for his faith.

Erdogan has rounded up thousands – including academics and journalists – since the failed revolt.

What is Erdogan doing?

He accused Trump of stabbing Turkey in the back. He also claims his country’s economy is fundamentally sound and insists the lira will settle at a “reasonable level”.

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Will this impact the UK?

In the City of London, UK companies with links to Turkey saw share prices fall and European banks could suffer losses on loans to Turkish businesses.

The FTSE index of companies on the London Stock Exchange – seen as a barometer of the UK economy – fell as a result.

Could it lead to another global financial crisis?

Turkey is a heavily indebted country which finds itself in a jam.

The currency has plunged, which could in turn affect other countries and may end in an expensive globally financed bailout.

Some economists have warned the lack of response might put other nations at risk as investors get nervous about other developing economies.

The Argentinian peso and the South African rand have taken hits in the currency markets already. India’s rupee has also hit a record low and the Russian rouble and Mexican peso look to be in jeopardy.

Nick Pritchard