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UK European Consumer Centre

Low Cost Holidays in Administration

On Friday 15 July 2016 the Low Cost Travel group ceased to trade after attempts to rescue the company's finances.  The group consists of 4 registered companies

  • Lowcosttravelgroup Limited
  • Lowcostholidays Spain S.L
  • part of Lowcostholidays Spain S.L
  • A.G

Licensed insolvency practitioners from Smith and Williamson LLP and CMB Partners UK Ltd have been appointed as administrators. In the first instance you should file a claim with the administrators to let them know if you have been affected.

Already on holiday?

The company are informing passengers that if you already have your flight tickets then these will be valid.  It is unlikely that your hotel will have been paid for so you may want to contact them directly.  If you do have to pay again then you may be able to make a claim via your debit/credit card or your travel insurer.  

It is advisable to keep receipts for any additional expenses related to the company ceasing to trade. 

Due to go on holiday?

If you have not yet received your flight tickets you will need to check with the airline that you have a booking.  You will also need to contact the hotel to determine if the booking has been paid for however it is unlikely it has.  If you have to pay for the cost of the flights or hotel again then you may be able to make a claim against your debit/credit card or travel insurer.

Making a claim against your debit card.

Visa Chargeback is a scheme which allows consumers to make a claim for reimbursement where their debit card is used for payment of goods or services.  In the first instance you should contact your bank and request a chargeback for the amounts in question.  They may ask you to provide further information about the claim.

Making a claim against your credit card.

Section 75 of the Consumer Credit act 1974 suggests that you are covered when you use your credit card to pay for goods or services between £100 and £30000.   In the first instance you should contact your credit card provider and ask to place the amount in dispute explaining that the company is in administration.  They may ask you to provide further information about the claim.

Making a claim against your travel insurance. 

Claiming against your travel insurance policy will be dependent on the level of cover you have purchased.  If you are unsure looking at your policy details you should contact them to discuss your options now that the company has ceased trading. 

Making a claim with the Govern de les Illes Balears

If you have booked a flights + hotels package from then you may be entitled to make a claim with the Spanish regulator for travel agencies.  There is limited funds to the value of €1.2m to consumers who have been affected by the collapse of the company.  The information you need to present to them is below: 

  • Your personal information to include name, address, telephone, passport number
  • Details of the company you are complaining about
  • Details of the product you have bough including reference numbers etc
  • Details of your claim i.e. are you looking for a refund (full/partial) why are you looking for a refund
  • Any proof of the extra expenses related to the collapse of the company  
This should be sennt via email to the email address

If you remain unsure then please contact us on 01268 886690 for further advice  

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