Could Travel Company Bankruptcy Ruin Britain’s Holiday Season?

With the holiday season fast approaching, thousands of Britons are planning getaways to various overseas locales. Traditionally, British families have opted to use a travel agent to book overseas trips, accessing low-cost fares and enjoying exclusive offers in the process. But with several of the country’s largest travel agencies going belly-up, it seems like the time to book independently.

The latest travel industry bankruptcy case is that of Sun 4 U – a large travel company based in the city of Birmingham. The travel operator ceased business earlier this week due to falling revenues, citing the limited travel spending of many Britons as reason for its collapse. Holidayers are unsure whether the firm’s collapse could end up compromising their summer holiday plans.

For many Britons, the collapse of a travel agency could mean cancelled bookings and compromised refunds. Tickets booked through an agency are often retained by the company until claimed, leaving many of those who booked out of luck and without recourse. Any travellers affected by the collapse of a bookings and reservations company should contact the airlines and hotels responsible.

More dangerously, the collapse of travel firms could mean a major setback for holidayers that are already abroad. Sun 4 U’s closure is expected to leave over one-thousand Brits stranded overseas without a return ticket of complete itinerary, requiring them to arrange return travel independently and manage bookings without the assistance of a travel provider.

The problem appears to be one that’s compounded by itself. With more travel companies at the brink of bankruptcy, the number of Britons considering a holiday is rapidly decreasing. Airlines have reported an increase in booked seats and hotels an increase in occupancy respectively, though it appears that little of their fortune is trickling down to travel agencies.