You could be charged more for your holiday even if it’s already paid for

Bad news for Brit holidaymakers

Even after purchase, package holiday providers are legally allowed to charge up to 8 per cent of the overall cost of a trip in the event of fuel or tax rises.

And this can happen without offering a free cancellation.

As the conflict in Iran drags on, the travel industry is widely expecting prices to rise in the coming months ahead of the summer holiday season.

Companies are able to insert potential surcharges into their terms and conditions for unforeseen increases in costs of up to 8 per cent of the total cost of the holiday, under package travel regulations.

“It is very rare for it to happen, but it is in their terms and conditions so they have the right to do it”, a travel industry source said.

They are legally obliged to offer an alternative holiday or a full free cancellation, if the surcharge exceeds 8 per cent.

The additional costs could run into the hundreds of pounds, for a family of four.

“If you have already booked your summer package holiday, be assured that there are very clear rules around surcharging, designed to protect you. Over the years it has been very rare that customers on package holidays have been asked for extra money, and there are strict limits on how much you might be asked for”, a spokesman for UK travel association ABTA said.

Government sources, meanwhile, insisted there was no immediate threat to jet fuel supplies.

Reports in the Financial Times that suggested the last-known shipment from the Middle East was due to arrive this week in the UK.

“UK airlines are currently not seeing disruption to jet fuel supply and continue to engage with fuel suppliers and Government to monitor the situation”, a spokesman for Airlines UK said.

Analysts have warned of possible shortages of jet fuel if the Strait of Hormuz remains closed, however travel industry insiders refused to speculate on the prospect of flights being cancelled over the summer holiday season.

It is “difficult to predict what will happen to prices for future holidays, with airfares just one part of the cost”, ABTA said.

In order to counter rising fuel costs, US President Donald Trump said that the UK and other countries which did not take part in strikes against Iran should secure the key shipping route themselves.