An estimated two million people are due to book a winter or summer holiday this week, Abta claims.
The third week of January is the busiest for many travel companies as substantial discounts for early bookers are available.
Spain, Portugal, Greece and Italy are tipped to sell well this year with the pound rallying in recent weeks to almost €1.20.
An Abta spokeswoman said: “With two 4-day weekends in the first half of 2012 (Easter and the Diamond Jubilee) many people are expected to take advantage of the time off work and go abroad.
“The amazing deals and wide availability on offer at this time of year are also guaranteed to help put a smile on peoples’ faces.
“Booking early can also help avoid disappointment, especially if you’re planning a trip during peak times like the school summer holidays.”
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