An extra 200,000 holidaymakers are predicted to book versus January 2025, which saw around 4.3 million people choose an Atol-protected package holiday.
This record demand is expected to surge during the first Saturday of the year (3 January), commonly known as "Sunshine Saturday", and continue through to September 2026.
Selina Chadha, group director for consumers and markets at the UK Civil Aviation Authority, said: "Sunshine Saturday is seen as the busiest day of the year for people booking holidays, as travellers look for bargain deals on their next getaway."
The CAA's positive prediction builds on a "resilient" year for the trade, with consumers spending 3.2% more with travel agents compared to last year, according to figures released by Barclays.
Barclays' head of retail Karen Johnson added that while "confidence in the UK economy had declined", UK households' efforts to manage their own money had remained strong, which protected "joy-bringing" categories such as travel.
The industry is clearly gearing up for what is predicted to be a positive peaks season, including Abta, which will launch its 'Book It' campaign from 26 December.
The campaign, which includes a travel influencer campaign and marketing toolkit for the trade, is designed to support agents during such a "vital" booking period.