Britain ‘prepares to fly euros to holidaymakers in Greece’

Britain could fly millions of euros to Greece to help holidaymakers if the country’s banks run out of money, the Chancellor George Osborne has suggested.

He said that Britain has ‘a number of contingency plans’ if the Greek debt crisis deepens after the country voted to reject Europe’s proposed rescue package, which would have imposed further austerity measures on the country.

While tour operators this morning insisted that it’s ‘business as usual in Greece’, Osborne urged Britons to take any medicine they need with them on holiday because of the danger that pharmacies in Greece might run out of supplies.

His advice follows earlier warnings from the Foreign Office that holidaymakers should take enough cash for their entire trip, plus extra for emergencies, in case they are unable to withdraw cash from ATMs during their stay.

Travel insurance companies have already increased the amount of cash covered by their policies for travel to Greece to reflect the change in the Foreign Office advice.

Greek banks have been closed for more than a week and they are not due to reopen before tomorrow at the earliest.

Addressing the Commons, Osborne said: "As the economic crisis in Greece persists, there are greater risks of shortages. In recent days the media have reported a shortage of medical supplies in Greece.

"Therefore, I want to reiterate the Foreign Office’s advice that UK travellers take sufficient supplies, including prescription medicines, for the duration of their trip."

Thomas Cook said this morning that it hadn’t seen any drop off in bookings for Greece, despite media reports of the deepening financial crisis, and that it had fewer holidays left to sell than this time last year.

The operator added that its reps in Greece had reported that it was ‘business as usual’. They said that cash is available at ATMs in all resorts, fuel is readily available and, with a few exceptions, most petrol stations are accepting credit cards,  all supermarkets are well stocked and there have been no reports of medical supplies running low.

It said clinics are reporting that medical supplies are available in resorts.

Also, Thomas Cook said there are no reports of hotel services or quality being affected.

TUI said it was working closely with the Foreign Office and its own resort teams to monitor the situation in Greece.

"Thomson and First Choice customers also have the added peace of mind that everything is taken care of with our holidays, including flights, hotels, airport transfers and a dedicated in-resort team to offer any support needed," it said.

"Customers planning a holiday in Greece should be assured that ATMs are working and cards issued outside of Greece are unaffected by temporary restrictions on withdrawal amounts. In line with FCO advice, and as a precautionary measure, we recommend customers have more than one payment method and take extra Euros with them to cover the duration of their holiday.

 "We’d like to remind customers, as we do for all destinations that we operate to, to ensure they keep their money safe and have a valid travel insurance policy in place."

Monarch said: "Our hotel partners are continuing to accept credit cards, and the businesses which our customers use, such as restaurants, are open for business.

"Like all operators, and in accordance with Foreign Office guidance, we are advising our customers to take enough euros with them to cover all their holiday needs, as some local businesses may prefer to accept cash payments."