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Teletext Holidays told to refund cancelled holidays – or face court

Emma Lunn
Written By:
Emma Lunn

The holiday firm has been investigated by the Competition and Markets Authority (CMA) after thousands of customers failed to receive refunds for holidays cancelled during the pandemic.

The watchdog announced a probe into Teletext Holidays last month and has now told the company it needs to pay up.

Under ATOL rules, holiday firms are supposed to provide customers with full cash refunds within 14 days of a cancelled trip.

The CMA has written to Teletext Holidays to set out its concerns that the company has not refunded many of its customers in accordance with its obligations under the Package Travel Regulations. It has also set out its expectations regarding how the company should now comply with its obligations.

Teletext now has the opportunity to address the CMA’s detailed concerns and avoid any potential court action. It can do this by signing formal commitments – known as ‘undertakings’ – to refund the affected consumers as soon as possible and take steps to ensure it complies with the Package Travel Regulations going forward.

Teletext Holidays is the trading name of Truly Travel Limited, which is a subsidiary of Truly Holdings Limited. The CMA’s investigation has included Alpha Holidays Limited, trading as Alpharooms.com, which is also a subsidiary of Truly Holdings Limited.

Last summer, YourMoney reported how customers of the holiday firm had refund requests ignored and debit card chargebacks requests disputed.

Rory Boland, editor of Which? Travel, said: “It is simply wrong that Teletext Holidays has left many of its customers to foot the bill for cancelled holidays when they were legally entitled to refunds. It is positive to see the regulator take these steps but very concerning that people are still owed money over a year after the travel disruption caused by coronavirus first began.

“Teletext must take swift action to refund all of those that are owed money and sign the undertakings to the CMA, confirming that it will not leave its customers in this dire position again. If these commitments aren’t met, the regulator should take enforcement steps quickly to ensure customers do not continue to wait for their money.”