Balearic government supports Lowcost Holidays move

Balearic government supports Lowcost Holidays move

Lowcost Holidays has confirmed it is now fully licensed under Spanish and Balearic law, which implements the EU Package Travel Directive.

The company said that following a move from the UK to Majorca, it “complies entirely with all relevant financial protection arrangements, obligations and liability insurance requirements”.

Lowcost Holidays announced last week that it was moving its business to its subsidiary, Lowcost Holidays Spain, which was granted a full travel agency and tour operator’s licence under Spanish and Balearic law. Lowcost Holidays is to sell holidays from its European subsidiary with full package protection.

UK regulator The Civil Aviation Authority criticised the company for the short notice given about the move and said it was unable to confirm for passengers what protection arrangements apply to their bookings.

Head of Atol Andy Cohen said: “By giving the regulator such short notice of these changes and failing to allow their customers reasonable time to consider their situation, Lowcostholidays’ behaviour is unacceptable.”

Lowcost Holidays Spain chief executive Paul Evans (pictured) reiterated comments made to Travel Weekly on November 1 that customers will benefit from full package travel protection under Spanish law, consistent with the EU package travel regulations.

He said: “The Balearic islands are a global hub for international travel and tourism and a natural home for our international holiday business. The access to world class tourism skills and infrastructure means we now have a centre from which to drive the next phase of growth of our package holiday business.

“The support and enthusiasm we have received from the Spanish and Balearic authorities was a major contributing factor for the Lowcost Travel Group’s board in deciding the base for this business.”Lowcost Holidays has created more than 100 jobs in Palma as part of the move,

Don Carlos Delgado, secretary general of tourism for the Balearics, said: “We are delighted to welcome Lowcost Holidays to the Balearic Islands and the establishment of its European centre in Palma, Majorca.

“The investment in jobs, technology and infrastructure shows great confidence in one of the leading tourism economic areas.”

Lowcost Travel Group was founded in 2004 and has grown in 10 years to more than £350 million in sales, with 350 staff based across 47 countries and handling 2 million customers a year.

The company operates a 24-hour customer service operation between its offices in Palma, Romanshorn, Atlanta, São Paulo, Sydney, Bangkok, Stockholm and Gatwick.


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