Lowcostholidays travel agency goes bust - are you affected?

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Holidaymakers have seen their travel plans thrown in to chaos – after one of Britain’s biggest online booking firms collapsed.

Travel group LowCostHolidays has ceased trading.

The group has 27,000 holiday makers in resorts and 110,000 more with bookings.

Administrators said Lowcost Travelgroup ceased trading on 15 July, with the loss of 120 jobs in the UK.

A statement on the firm’s website reads: “We deeply regret to announce that the lowcosttravelgroup (“LCTG”) ceased to trade on 15 July 2016, following exhaustive attempts by the group’s directors to rescue the group, which were hampered by the recent and ongoing turbulent financial environment.

This notice applies to the following companies and brands:

1. Lowcosttravelgroup Limited

2. Lowcostholidays Spain S.L.

3. Hoteling.com part of Lowcostholidays Spain S.L.

4. Lowcostbeds.com A.G.

Licensed insolvency practitioners from Smith & Williamson LLP and CMB Partners UK Ltd have been appointed as administrators of the following four group companies, with effect from 15 July 2016:

1. Lowcosttravelgroup Limited (In Administration)

2. Lowcostaviation.com Limited (In Administration)

3. Lowcostbeds.com Limited (In Administration)

4. Lowcostholidays Limited (In Administration)

On behalf of LCTG, the directors wish to profusely apologise for the inconvenience and distress that this will cause to customers.

The following information is provided to assist customers, agents, suppliers and creditors.

Lowcostholidays.com

Customers In Resort

Customers who have booked a Holiday combination (Flight plus Hotel)

If you are already on holiday you will be in possession of your flight tickets which remain valid.

You may be required by the hotel suppliers, transfer suppliers and car parking suppliers (if you have booked these services) to pay them locally. If you have to pay you may be able to reclaim against:

I.Your travel insurance provider (if you have travel insurance*)

II. Govern de les illes Balears (www.caib.es) who is the regulator of the Spanish Travel Agency.

III. Your credit card provider for services not received.

IV. Lowcostholidays Spain is also licenced by the Irish Commission for Aviation Regulation and the Commission holds an insurancebond for the refund and repatriation of Irish customers of the company. All customers of the company who are eligible to make a claim (having booked travel or a package including travel which originated in Ireland)should be directed to the Commission in order to begin the claims process.

It would be advisable for you to keep all receipts of expenses incurred in order to claim a refund or compensation.

You should also register your claim at lowcosttravelspain@smith.williamson.co.uk

Customers who have booked Hotel Accommodation only

You may be required by the hotel suppliers, transfer suppliers and car parking suppliers (if you have booked these services) to pay them locally. If you have to pay, you may be able to reclaim against:

I.Your travel insurance provider (if you have travel insurance*)

II.Your credit card provider for services not received.

It would be advisable for you to keep all receipts of expenses incurred in order to claim a refund or compensation.

You should also register your claim at lowcosttravelspain@smith.williamson.co.uk

Customers Due to Travel

Customers who have booked a Holiday combination (Flight plus Hotel)

If you have booked a combination flights and accommodation (+ other services, e.g. transfer, car-hire, etc) your contract for the flights will be direct with the airline and payment will have been made to them in most cases at time of booking. If you are in receipt of your flight ticket from the airline you will be able to check-in and travel as normal. If you have not received your flight confirmation details, you should contact the airline directly to determine the status of your flight reservation. If the airline informs you that your reservation is not confirmed then you will need to rebook your flights with another provider and make a claim using the options outlined below:

Your hotel reservation will not be valid so you will have to re-book your hotel accommodation and any other services that you may have reserved via Lowcostholidays.com (e.g. transfer, car-hire, airport parking etc) with another provider. You may be able to reclaim lost amounts against:

I. Your travel insurance provider (if you have travel insurance*)

II. Govern de les illes Balears (www.caib.es) who is the regulator of the Spanish Travel Agency.

III. Your credit card provider for services not received.

IV. Lowcostholidays Spain is also licenced by the Irish Commission for Aviation Regulation and the Commission holds an insurancebond for the refund and repatriation of Irish customers of the company. All customers of the company who are eligible to make a claim (having booked travel or a package including travel which originated in Ireland)should be directed to the Commission in order to begin the claims process.

It would be advisable for you to keep all receipts of expenses incurred in order to claim a refund or compensation.

You should also register your claim at lowcosttravelspain@smith.williamson.co.uk

Customers who have booked a Holiday combination (Hotel Only)

Your reservation will be cancelled by the hotel supplier and you will need to rebook your accommodation through another provider.

You may be able to claim lost amounts from:

I.Your travel insurance provider (if you have travel insurance*)

II.Your credit card provider for services not received.

It would be advisable for you to keep all receipts of expenses incurred in order to claim a refund or compensation.

You should also register your claim at lowcosttravelspain@smith.williamson.co.uk

Hoteling.com

You may be required by the hotel suppliers, transfer suppliers and car parking suppliers (if you have booked these services) to pay them locally. If you have to pay, you may be able to reclaim against:

I.Your travel insurance provider (if you have travel insurance*)

II.Your credit card provider for services not received.

It would be advisable for you to keep all receipts of expenses incurred in order to claim a refund or compensation.

You should also register your claim at lowcosttravelspain@smith.williamson.co.uk

Lowcostbeds

Agents/Tour Operators/OTA’s

Customers In Resort

Your customer’s hotel accommodation may or may not have received payment from lowcostbeds A.G. (LCB) or the 3rd party supplier that made the reservation directly with the hotel. It is possible therefore that your customers may be required by the hotel to pay the hotel before they leave. You may wish to contact the hotel directly to make payment or alternatively let your customer pay the hotel and reclaim from you. In either case you will then need to contact: lowcosttravelswiss@smith.williamson.co.uk in order to register your claim.

Customers Due to Travel

No forward hotel reservations made via LCB will be valid therefore you need to make arrangements to re-book all your future reservations via another supplier.”