EAST LANCASHIRE holidaymakers heading to Greece are being advised to pack extra euros in case ATMs run dry.

It comes as speculation mounts that the country is heading for an economic meltdown which could see them leave the eurozone.

Greece's central bank has warned that the country could face an exit from the euro bloc and even the EU if it fails to reach a deal with bailout creditors by the end of the month.

The foreign office is said to be preparing to issue new travel advice to British holidaymakers while travel and money experts are advising people travelling to the country to ensure they have sufficient cash in euros.

Chancellor George Osborne told MPs on Tuesday: "Out in the real world there are some serious economic risks, not least the risk that we see growing in Greece of a potential default and exit from the euro. People should not underestimate the damage that that would do to financial confidence."

A spokesman for the Foreign Office said: "There have been conversations across Whitehall planning for all contingencies, and part of that is how we can give advice for travelling Britons."

Following talks with travel companies, the Foreign Office said it does not see the prospect for people getting stranded, but was monitoring for signs of a lack of liquidity in the banking system and services going down.

TravelSupermarket's Bob Atkinson said: “It is worth having a minimum of three to five days in cash.

“The downside is, if you are travelling with more cash than usual you need to be wary of what you do with it. And be aware of what your travel insurance says.”

He said holidaymakers should also consider taking a small amount of sterling, and that they should keep their money in small notes in case they have difficulty getting change.

While Gillian Edwards of the Association of British Travel Agents said: "With regards to a run on the banks, we saw a similar situation in Cyrpus where the amount you can withdraw was limited and that worked quite effectively."