Consumer group Which? examined data supplied by car hire broker Zest Car Rental for more than 5,000 rentals in nine destinations including Spain, France and the US, and found that seven out of nine destinations have seen weekly increases of more than £100.

Cyprus has seen the most dramatic price rises, with the average daily rental rate more than doubling this year compared with pre-pandemic figures. A seven-day rental now costs £248, up 112% on pre-pandemic rates.

Portugal and Greece saw increases of 99% and 97% respectively, while rentals in the US would now set holidaymakers back £537 per week on average – £239 more than the same time in 2019.

Despite seeing the smallest price increases overall, at 25%, France still emerged as one of the pricier regions to rent a car, with a week’s rental costing £364 on average.

Which? said the inflated costs come due to widespread vehicle shortages last year, and although companies have begun to restock their fleets, rates have not dropped as much as might have been anticipated.

Jo Rhodes, deputy editor of Which? Travel, said: "High demand combined with a shortage of rental vehicles means prices across Europe and the US are still incredibly high compared with before the pandemic. 

"Shop around and book in advance to lock in the most competitive rates, especially during peak periods.

"Use recommended companies, or small local firms endorsed by a trusted broker, and always be wary of ‘too good to be true’ prices."