Holidays 4U – an online travel agent specialising in Turkey holidays – has ceased trading.
The company folded after notifying the Civil Aviation Authority (CAA) that its credit has reached its limit, which led to the regulator calling in its bond and security.
Staff at the Brighton-based company were informed of the situation this morning, and it also has overseas offices in Marmaris and Bodrum. At the time of writing, Holidays 4U has around 12,000 customers on holiday overseas and around 50,000 forward bookings, although figures have yet to be confirmed by the CAA.
Holidays 4U was an Atol-holder, licensed to carry up to 66,000 passengers between July and September, and over 100,000 per year. The company was registered as Holidays 4U UK Ltd but also traded as Holiday Beds, Accomodation Overseas and Aegean Flights.
Two Holidays 4U flights left the UK this morning (August 3), but it is expected those currently on the company’s various holiday packages should be able to complete their trips without any problems. Holidays 4U routes were handled solely by the Istanbul airline Onur Air, with departures from a variety of regional UK airports, and the Turkish carrier has said it will assist with any repatriation efforts.
When renewing its Atol license in March 2011, Holidays 4U was asked to provide a bond and additional security. However, this amount will not cover the costs of customer refunds and repatriation, and the clean-up of the company’s demise is expected to cost the Air Travel Trust fund around £5 million.
Having traded since 1994, Holidays 4U was said to have found trading conditions difficult in recent months, with a downturn in the market for cheap holidays to Turkey.