The luxury travel sector has seen strong growth in the first three months of 2008, despite the effects of the ongoing credit crisis.

This is according to accommodation website Luxury Explorer, which has seen luxury room bookings rise in recent months.

It said that the most popular destinations for those seeking a premium holiday were London, Italy, France, Mallorca, South Africa and Bali.

Peter Matthews, founder and chairman of Luxury Explorer, said that the increase in bookings showed a surprising trend.

"We expected to see customers opting for more shorter breaks, but that's just not happening to date," he commented.

A number of recent reports, including one from the Post Office, have indicated that holidaymakers looking to make their cash go further should consider a break in destinations outside the eurozone.

These could include Thailand, Egypt, Bulgaria, Turkey and the USA, according to the Post Office.

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