Questions About Lowcostholidays Answered

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The Law Of... holiday companies going under

On the 15th of July the lowcosttravelgroup, the owners of lowcostholidays ceased trading as they entered into administration. We've received a number of enquiries from concerned holidaymakers who have booked with the company, so in this article we're going to answer some of the questions that you might have.

Questions About Lowcostholidays Answered

What Happened?

On Friday the 15th of July Lowcosttravelgroup Ltd, the British holiday company who recently relocated to Spain, were coming to an end. With them their various brands including lowcostholidays, hoteling and lowcostbeds would go into administration. The result of this has left many tourists who are already abroad, as well as those who have yet to travel unsure of how their holiday plans will be affected.

Didn't lowcostholidays Recently Have A Sale?

Whether or not it was used as a last hope to save the firm, a mistake, or just a money grab, at 10am on the 15th lowcostholidays tweeted out that they were extending their 60% off sale (please note that at the time of writing lowcostholidays have deleted a number of their tweets), undoubtedly attracting holidaymakers looking for a bargain.

Unfortunately for those who took advantage of the good offers, it now appears that they may have now lost their money as the troubled company closes its doors.

Does This Affect Me If I'm Still Abroad?

If you're still abroad your flights should remain valid if these have already been booked and you have tickets, which shouldn't result in any additional cost.

You might find that you'll incur some additional costs at your hotel, as advice on the lowcostholidays website advises that you may be required to pay for any services at your hotel (including your accommodation), any transfers and potentially car parking if you have booked these services.

What Happens To My Booked Holiday?

As with those who are already abroad, your flights may still be valid providing that lowcostholidays booked them at the time you paid for your holiday.

Be aware that some holidaymakers who have found that their flights were not booked, despite having already paid for them, so even if you have a booking confirmation it's advisable to speak with your airline to confirm if you are booked for travel.

Keep in mind that even if your airline booking is still valid, your hotel booking won't be, and neither will any services that you have paid for through lowcostholidays. This means that you will need to make alternative arrangements for accommodation or any other services upon your arrival at your destination if you still plan to travel.

Can I Get My Money Back?

This situation could result in holidaymakers having their summer holiday plans laid to waste as a result of lowcostholidays going under, but there are steps you can take to recover your losses. Keep in mind that there's no guarantee that you'll get your money back, and if you do this could take some time, so budget accordingly.

  • If you have travel insurance, then depending on your policy you should be able to claim for any financial loss
  • If you paid for your holiday on a credit card it's likely that your credit card provider has provisions in place to reimburse you for any services that you have paid for and not been provided with
  • As a last resort you can register your claim with the administrators

Be sure to keep hold of any receipts, tickets or emails that you have that confirm that you have paid for any travel, accommodation or services that you have not received, as these should help you to recover your expenses.

Will My Rights Be Affected?

As with when any company goes into administration, your consumer rights will remain unaffected, however as there is no longer any company to claim from, any claims that you once had against the holiday company will now be left to the administrators. This means that once they have repaid their creditors they can offer to pay you any money owed, but be aware that this is unlikely to happen as ripped off holidaymakers will be left at the bottom of the pile.

Can You Help Me?

At Simpson Millar our travel law specialists handle holiday claims on behalf of those who have become ill or injured on holiday.

Unfortunately our team are unable to help you to claim compensation for any financial loss you may have experienced as a result of lowcostholidays going into administration, but if you require any further advice we recommend contacting consumer rights groups to find out what you can do to recover your losses.


To find out how we could help you please make a no-obligation enquiry or call freephone: 0808 129 3320.




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