Lowcost says UK bookings up despite CAA warning
Lowcost Travel Group claims its sales from the UK are up 30% year on year, despite the fact the Civil Aviation Authority is warning customers of the risks of booking on lowcostholidays.com following its move to the Balearics last November.
The group said traffic to its international websites is up 50% year on year across the group and its overall sales are up 40%.
"We are delighted that our investment in hotel buying, mobile and diversification from the UK is paying off, with our growth accelerating ahead of schedule," said chief marketing officer Alex Gisbert.
UK travel firms are still among lowcost’s top five trade customers, but Germany is now one of its top growth areas, it said.
The CAA launched an investigation into the financial protection offered by lowcostholidays.com following its move to Majorca on November 1. At the time, it said it was concerned the company would no longer offer consumers the same financial protection as UK-based ATOL holders.
It continues to carry a notice in red on the ‘Information for Consumers’ page of its website which reads: "CAA warns holidaymakers to consider risks before booking on lowcostholidays.com".
Visitors to the site are then invited to click through to another page which explains that the CAA has launched a legal investigation into lowcostholidays.com as it is concerned that customers’ bookings may not be financially protected and , even if they are, the protection might be limited."
Lowcostholidays insists its holidays are protected under the Spanish financial protection system.
The group said it is on course to increase total sales from £350 million last year to £1billion within the next two years.
Linsey McNeill
Editor Linsey McNeill has been writing about travel for more than three decades. Bylines include The Times, Telegraph, Observer, Guardian and Which? plus the South China Morning Post. She also shares insider tips on thetraveljournalist.co.uk
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