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XL collapse drives up package holiday prices

Ferry Online Travel News 25/09/2008

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Some holiday packages now cost an average of eight per cent more since the failure of XL Travel.

Package holidays through October to locations in northern Africa, southern Europe and other short- and mid-haul destinations have increased in price significantly since the middle of September.

The price rise follows on the collapse of XL earlier in September, which left tens of thousand of travellers stranded on their holidays abroad, and forced as many as 200,000 others into re-booking future trips.

A survey conducted by the price comparison site travel.co.uk has shown that the price of holiday packages available before the XL failure has risen by as much as 18 per cent. The rise in price will add hundreds to pounds to the cost of a holiday for the typical family of four that would like to get away in October.

Eight holidays to destinations in the sun from now through October, as listed on travel.co.uk, are showing prices that are on average eight per cent higher than they were in early September.

Caroline Hays, of Hays Travel, commented: "Inevitably the tour operators have put prices up since the XL crash. We have had to pass on those tour operators' prices. All of our customers have re-booked alternative holidays that suit their budgets."

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