As the competition between low-cost carriers increases, Australians choosing to travel internationally reap the rewards as prices for international has hit an all time low.

Economy fares are have been heavily discounted for international travel compared with the past two years, and business class return travel to Europe is around $3000 cheaper than the same time last year.

However, domestic travel within Australia has not decreased in price.

Webjet’s managing director, John Guscic told The Age that he expects the prices to remain low in the new year due to the fierce competition between the airlines.

Travel companies are saying the increase in travel is due to lower prices and not the strength of the Australian dollar.