With airlines monitoring fuel supplies amid the ongoing challenges stemming from the Middle Eastern conflict, many families are concerned about the prospect of holiday prices increasing. As a result, holidaymakers who are yet to book their trips could feel the pinch. However, travellers with existing bookings may also face price hikes under certain circumstances.
Passengers booking package holidays should be aware that providers are permitted to raise prices even after a trip has been confirmed. The reassuring news is that there are regulations governing this process, including how the company must inform passengers and the right to cancel bookings.
In England, your cancellation rights typically depend on the terms and conditions of your booking. Citizens Advice says package holiday customers might be entitled to cancel the holiday without a fee if:
- The holiday company makes significant changes to the holiday.
- It puts certain prices up after booking.
- The passenger can’t reach their destination due to exceptional circumstances.
If a holiday provider changes the price after a passenger has already made a booking, the price can only increase if permitted under the terms and conditions. Citizens Advice states: “Check the terms and conditions for the holiday to see if they allow the company to increase the price.
“Look for something like ‘price variation’ – this means the price can change. They can’t increase it if the terms and conditions don’t allow it. Even if the terms and conditions allow price increases, the company can only increase the price because of:
- fuel price rises, which means transport costs have gone up
- changes to taxes or fees by third parties – like tourist taxes
- exchange rates which affect the price of the holiday.”
Citizens Advice explains that they must notify you in writing and give you a reasonable time to let them know whether you accept the change or wish to cancel. If they offer another package, the travel company must tell you how much it costs, reports the Mirror.
The company is also required to notify you of the price change at least 20 days before the holiday begins, and to explain the reason for the price increase. The guidance states: “The company must tell you about the price rise at least 20 days before the package starts and explain why they put the price up.
“You have the right to cancel the holiday without paying a fee if the increase is more than eight per cent – you’ll get back any money you’ve already paid.”
Conversely, if terms and conditions enable a company to raise prices, they have to offer you a refund if prices go down because of changes to fuel prices, according to Citizens Advice. The same applies if prices go down because of taxes or exchange rates.
This story originally appeared on Express.co.uk
