Another UK travel company, Birmingham-based Sun4U, went bust late last night. Its collapse leaves around 1,200 British holidaymakers stuck overseas, mostly in Spain.
The company published a statement on its website at 9pm last night advising passengers to contact the Association of British Travel Agents (ABTA) for information about refunds or arranging alternative holiday plans.
Sun4U is the second tour operator to go out of business this summer, following hot on the heels of Goldtrail Travel, which specialised in budget holidays to Greece and Turkey.
Around 50,000 holidaymakers were affected by the collapse of Goldtrail, including 16,000 or so stranded abroad who were left to find their own way home.
ABTA said those who booked package tours -- backed by Air Travel Operators' Licensing (ATOL) -- should be okay to continue with their holidays as planned. An ABTA spokesman told the Guardian: "Anyone who has booked a package holiday must contact the Civil Aviation Authority (CAA) or contact the supplier named on their invoice."
A CAA spokesperson added: "The CAA will be putting arrangements in place to ensure ATOL-protected Sun4U holidaymakers who are abroad can finish their holidays as planned and return to the UK.
"For ATOL-protected people who have holidays booked in the coming weeks with Sun4U, they should submit claims for repayment to the CAA."
Tourist who merely used Sun4U as a travel agent to book flights, however, may experience problems returning home, since they are unlikely to be backed by ATOL.
- Association of British Travel Agents (ABTA)
- Air Travel Operators' Licensing (ATOL)
- Tourists stranded as Sun4U collapses (Guardian)
- Credit card protection when an airline or tour operator goes bust (The Solicitor)
- Consumer rights when an airline or tour operator goes bust (The Solicitor)
- Legal Q&A (Community)
- Consumer law (FindLaw.co.uk)
- Find a solicitor (Contact Law)