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Trade hits back at nationals' 'misreporting'

(18 June 2004)

TOUR operators have rounded on the national press for the “significantly misreported” stories about school holiday pricing which hit the headlines last week.

ABTA and the Federation of Tour Operators slammed the story as inaccurate and dated, referring to a meeting three months ago with consumer affairs minister Gerry Sutcliffe.

FTO director-general Andy Cooper said: “It is worrying that this story has come out with a front-page headline, which seems significantly misreported some three months after the discussion took place.”

The story originated from a media briefing held earlier this month where Sutcliffe referred to a meeting with the FTO, ABTA, the Association of Independent Tour Operators and major operators to get an overview of industry issues.

The Department of Trade and Industry has denied reports Sutcliffe had ordered an investigation into peak pricing or asked operators to provide an analysis of pricing.

ABTA said the story - headlined ‘stop the school holiday rip-offs’ in last week’s Daily Mail - was unfair as increased prices at peak times were widely accepted by the industry.

“Clearly any negative reporting about pricing issues is very damaging for the trade,” a spokesman said.

A DTI spokeswoman said: “We accept it is a competitive market, but we also feel it is an important issue and there is more to be done.” She added the initial meeting had been “positive” and a follow-up meeting will be held after Parliament’s summer recess.

In a letter to Sutcliffe from the FTO on behalf of the industry following the March 25 meeting, the trade maintained the argument of supply and demand. It also said consumers were generally undercharged in the off-peak season and peak prices represented normal levels.

Thomas Cook said the coverage unfairly represented the industry and added many sectors, such as cinemas and gyms, adapted pricing to peak periods.

Thomas Cook’s JMC brand will also offer free kids’ places at four times as many properties next summer, in recognition of the strong demand for deals. 

A TUI spokeswoman said: “I don’t think it will be massively damaging - the public are more realistic than the headlines.”

Cosmos commercial director Stuart Jackson said: “It’s so frustrating when operators get criticised like this. I just despair. Costs are higher when there is more demand than there is stock.”