Travel firm cancels all bookings until next month amid insolvency issues

A travel firm has cancelled all bookings until the end of next month due to issues of insolvency.

Youtravel is cancelling bookings up to an including July 26 after its tour operator brand, FTI Touristik, filed for insolvency earlier this month.

A company files for insolvency when they are unable to pay their debts.

In a bid to 'secure its future', Youtravel confirmed that bookings made in the firm's system for arrivals up to and including July 26 will be cancelled without charge by Monday, July 1.

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UK travel agents are now being faced with making alternative arrangements for travellers who have booked accommodation via Youtravel.

If there are any issues, travellers will be informed over the next few days by the company they booked their holiday with.

A spokesperson for Youtravel said: "We want to express our gratitude to all our partners for their unwavering support and patience since the announcement on June 3, 2024.

"The insolvency of FTI Touristik GmbH has had a significant impact on Youtravel.com. Over the past three weeks, our management has been actively engaging with the appointed administrator of the FTI group and undergoing the M&A process to secure our future.

"Whilst we are hopeful for a positive conclusion to these talks soon, we have made the difficult decision to cancel all bookings until and including July 26, 2024. We understand the inconvenience this may cause and sincerely apologize for any disruption.

"Any active bookings in the Youtravel system for arrivals up to and including July 26 will be automatically cancelled without any charges by Monday, July 1, 2024.

"Please note that bookings from July 27 onwards will remain active at this time and will be subject to the cancellation charges as displayed."