Will we see holiday surcharges as Ukraine war pushes up oil prices?

By Linsey McNeill
Home » Will we see holiday surcharges as Ukraine war pushes up oil prices?

With fuel prices going through the roof, there have been fears raised that tour operators will re-introduce surcharges to claw back some of their increased costs.

Oil prices reached a 13-year high last weekend, rising 9%. The cost is still below levels reached in 2008, but it is expected to continue to rise.

Loganair has already announced that it is imposing a £3.95 one-way fuel surcharge on new bookings later this month.

Some reports in the national press suggest some tour operators have also started surcharging, demanding more money from customers who have already booked and paid deposits.

How much can operators surcharge?

Tour operators can only ask existing package holiday customers to pay more to cover higher fuel costs if they’ve included the option to surcharge in their terms and conditions.

If they have, they can only surcharge up to 20 days before departure.

Under the terms of the Package Travel Regulations, operators must give customers the option to cancel with a full refund if the surcharge is more than 8% of the cost of the holiday.

In addition, ABTA’s Code of Conduct requires members to absorb the equivalent of 2% of the holiday cost before any increase is passed on to the customer.

Are travel companies planning to surcharge?

Despite media reports to the contrary, Travel Gossip has not received confirmation from any tour operators that they are already surcharging.

Jet2 said it is not surcharging yet and it is not planning to surcharge this summer. 

TUI said it is not surcharging customers at the moment, but it did not confirm that it has ruled this out for the rest of the year.

In a statement, TUI said: “We’re carefully monitoring the fuel price increases and use a dynamic pricing model which means that prices can go up or down. 

“We would like to reassure customers that wherever possible, we will offer the best value for money and discounts. 

“We will always follow ABTA guidelines and will continually keep this under review.”

Kuoni says it has no plans to surcharge.

AITO said it is not aware of any of its specialist tour operator members surcharging customers.

What about cruise lines?

Several cruise lines contacted by Travel Gossip said they also had no plans to surcharge.
These include Cunard, P&O Cruises and Norwegian Cruise Line.

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