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SeeMallorca

UK travel agent goes bust

featured in News & reviews Author Nicola Henderson, Site Editor Updated

UK tour operator, Sun 4 U, has declared that it has ceased trading, and that customers should contact ABTA for further information. Sun 4 U operated mainly in Spain, and it is estimated that around 500 customers are currently in Mallorca. The company blamed the Icelandic volcanish ash cloud, and the collapse of their partner tour operator Goldtrail earlier this summer.

Some customers, such as those who bought package trips, will be covered by the ATOL insurance. However, those who booked accommodation only are not covered, and are being advised to contact their credit card company (if credit card payment was used). Holiday makers who have been affected by the news are advised to call the Civil Aviation Authority on 08445 717260.

The news comes hot on the heels of Thomas Cook's profit warning announcement, and Tui's warning that annual profits were likely to fall short this year. Both companies blame the ash cloud and the uncertain economic conditions for their poor performance. Many thousands of holidays remain unsold, and it is expected that prices will be slashed at the end of August as the peak season comes to a close.