CMA targets trade with new powers Ian Taylor
The Competition and Markets Authority (CMA) has confirmed fears it has the travel industry in its sights and is poised to exercise new powers of enforcement. In mid-December, it ordered
Hays Travel to halt the integration of recently acquired businesses Polka Dot Travel and Millington Travel. Then, just before Christmas, it
sent letters to up to 100 operators and agencies warning of potential enforcement action if tourist taxes and in-resort fees are not included in prices shown to customers before they book. The letters prompted Jet2holidays
to notify agents this week that it is breaking down prices into what is
‘Payable to Jet2holidays’ and what is ‘Payable on arrival’, adding a link to a breakdown of fees by destination. It warned “the CMA now has
stronger powers” and advised agents to “make sure customers are made aware of any tourist taxes or in-resort fees before the holiday is booked”. Alan Bowen, legal advisor to the
Association of Atol Companies, said: “The CMA’s view is these taxes need to be included in the price. It’s suggesting operators issue an invoice [for the payments]. But if an invoice is for more than the price the operator charges, accountants will ask, ‘Where is the rest of the money?’ It’s almost impossible to comply simply.” He added: “A lot of smaller
companies don’t have contracts with hotels, they contract with bed banks
Operators monitor travel impact of US action in Venezuela
Juliet Dennis
Operators are keeping a watching brief on Venezuela but do not expect a slowdown in sales to the wider region following last weekend’s surprise US military action. The seizure of president
Nicolas Maduro following military strikes disrupted flights and cruises in the Caribbean, while threats towards Cuba, Colombia, Mexico and Greenland raised fears of further instability. Venezuela has not been featured
by UK operators since the Foreign Office advised against all but essential travel in 2014. It currently advises against all travel.
4 8 JANUARY 2026 Travel industry consultant Andy
Cooper said it was “too early” to tell if the US’s actions would impact the Latin America region and Caribbean but warned: “The continual noise and threat of further actions elsewhere around the globe is only going to create more instability in the market.” He added: “Unless something
major happens, people will continue to want to travel, but this might encourage more-cautious behaviour.” P&O Cruises reorganised travel
for 5,000 fly-cruise passengers following flight disruption. Three Tui Airways aircraft chartered to serve its ship Arvia in Barbados returned mid-air to the UK on Saturday amid safety warnings by the US
A lot of smaller
companies contract with bed banks that have never asked what taxes hotels charge. It’s a nightmare
that have never asked what taxes hotels charge. It’s a nightmare. But the CMA don’t see it as a problem.” An Abta spokesperson said:
“We’re asking the CMA to give companies time to make these changes before embarking on any enforcement action, recognising that confirmation of the CMA’s approach was only given on November 18. “Abta has guidance for members
on the CMA pricing requirements. We’re providing regular updates and we continue to speak with the CMA on the matter.” The CMA issued Initial
Enforcement Orders preventing the integration of Polka Dot Travel and Millington Travel with Hays Travel on December 16, almost six weeks after the second of the acquisitions. The businesses must continue
to run separately and with “no significant changes” while the CMA decides whether one or both acquisitions could lead to a “substantial lessening of competition” in any region. Polka Dot has 15 shops in the
northwest and north Wales and Millington has 14 stores in the East Midlands.
Caracas, Venezuela; inset: Donald Trump
Federal Aviation Administration. Other airlines cancelled ex-UK
flights. Princess Cruises delayed Grand Princess’s departure from San Juan until
Monday due to flight cancellations. Richard Hadfield, owner of
Journeys A La Carte, had clients briefly delayed in the US after their Barbados flight was cancelled. “If there is some solace in what
has happened it’s that it was over so quickly,” he said. Caribtours managing director
Paul Cleary said there had been “a couple of queries” about travel to the southern Caribbean. “These events are not helpful but it’s business as usual. We’re monitoring the situation. At the moment, I’m more worried
about snow disruption,” he added. Latin America operators remained
on alert but said there had been no noticeable sales impact. Danny Callaghan, chief executive
of Lata, said: “We wouldn’t expect there to be any wider implication for travel to neighbouring countries.” Journey Latin America managing
director Sarah Bradley said: “It probably is a little early to accurately assess the full impact. We are monitoring the situation closely.” Daniel Benians, managing director
of Distinctive Americas, admitted an escalation of the situation could move Latin America “a little further down some clients’ wish lists” but said: “We’re staying positive.”
travelweekly.co.uk
Shutterstock/Authentic travel, noamgalai
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