Are My Holidays Protected?

Booking a holiday is one of the biggest purchases most families make all year. Whether you’re spending £800 on a week in Tenerife or £4,000 on a long-haul trip to the Maldives, you deserve to know your money is safe — and that if something goes wrong, someone has your back.

The good news: the UK has some of the strongest holiday consumer protection systems in the world. The bad news: most people don’t fully understand what ABTA, ATOL and ABTOT actually do — or how to check whether their booking is covered.

This guide explains everything. Clearly. Without the jargon.

Why Holiday Protection Matters More Than You Think

In September 2019, Thomas Cook collapsed overnight. Around 150,000 UK holidaymakers were stranded abroad. Another 360,000 had future bookings cancelled. The total cost of repatriating stranded passengers alone came to £83 million — one of the largest peacetime repatriation operations in British history.

But here’s the crucial difference: customers who had booked ATOL-protected holidays got their money back. Those who hadn’t — or who had booked non-protected flight-only deals — often lost everything.

That single event made the case for understanding holiday protection better than any government campaign ever could.

Key stat: The Civil Aviation Authority (CAA) processed over 800,000 claims following the Thomas Cook collapse, refunding hundreds of millions of pounds to protected customers.

What is ATOL Protection?

ATOL stands for Air Travel Organiser’s Licence. It is a financial protection scheme managed by the Civil Aviation Authority (CAA) and backed by the UK government. Any UK travel company that sells package holidays or flight-inclusive deals must hold an ATOL licence.

ATOL is arguably the most important protection for UK holidaymakers because it covers you in two specific situations:

• If your travel company goes bust before you travel — you get a full refund
• If your travel company fails while you are abroad — you will be flown home at no extra cost

Every year, the CAA protects around 28 million passengers through ATOL. In the 2022/23 financial year alone, over £17 billion worth of holidays were covered under the scheme.

What Does ATOL Cover?

ATOL covers flight-inclusive package holidays. That means any booking where flights are combined with at least one other element — hotel, car hire, transfers or other tourist services — sold by a UK ATOL-licensed company.

If your package is ATOL protected, you will receive an ATOL Certificate at the time of booking. Keep this document. It is your proof of protection and you will need it to make a claim if something goes wrong.

ATOL also covers linked travel arrangements — where you book flights and a hotel through different businesses on the same website in a single session, and the site facilitates the link between them.

What ATOL Does NOT Cover

Understanding the gaps is just as important as knowing what’s included:

• Flight-only bookings direct with an airline — if you book directly with British Airways, easyJet or Ryanair and the airline fails, ATOL does not apply (though credit card protection may)
• Non-flight holidays — coach tours, rail holidays or cruise-only bookings are not ATOL protected (though ABTA or ABTOT may cover them)
• Accommodation-only bookings — a hotel booked independently is not ATOL protected
• Bookings made directly with a non-UK company — foreign-registered operators are not bound by ATOL rules

How to Verify ATOL Protection

Before you book, check that the company holds a valid ATOL licence. You can do this in two ways:

1. Look for the ATOL logo on the company’s website and booking confirmation
2. Use the official CAA ATOL Certificate Checker to verify any ATOL Certificate you receive

Important: Simply displaying the ATOL logo does not guarantee protection. Always check your ATOL Certificate once it is issued — this is your proof that your specific booking is protected.

What is ABTA?

ABTA stands for the Association of British Travel Agents. Founded in 1950, ABTA is the UK’s largest travel trade association, representing travel agents and tour operators with a combined annual turnover of around £35 billion.

Unlike ATOL, which is a legal requirement for certain businesses, ABTA membership is voluntary — but it carries serious weight. ABTA members must follow a strict Code of Conduct and maintain approved financial protection arrangements to safeguard customer money.

When a travel company is an ABTA member, you benefit from:

• Financial protection — your money is safeguarded if the company fails
• Standards of service — members must adhere to ABTA’s Code of Conduct
• Dispute resolution — access to ABTA’s independent arbitration service if something goes wrong
• Accurate information — members are required to give truthful descriptions of holidays

What Does ABTA Cover?

ABTA financial protection applies to package holidays that don’t include a flight — such as coach holidays, rail holidays, cruise-and-stay packages and touring itineraries. If the holiday includes a flight and is sold by a UK company, it will typically fall under ATOL instead.

ABTA also protects you when the travel company becomes insolvent, ensuring you either receive a refund or, if you are already abroad, assistance in completing your holiday or returning home.

ABTA’s Code of Conduct — What It Means for You

Every ABTA member must comply with a detailed Code of Conduct that covers:

• Accuracy of holiday descriptions and pricing
• Handling of complaints within defined timeframes
• Provision of clear information before and after booking
• Standards for dealing with problems that arise during your holiday

If an ABTA member breaches the Code, they can face fines, suspension or expulsion. You can verify ABTA membership on the official ABTA website using the company’s ABTA number.

What is ABTOT?

ABTOT stands for the Association of Bonded Travel Organisers Trust. It is a financial protection scheme specifically designed for smaller and specialist travel companies that organise non-flight packages — and it is one of the few ABTA-approved ways for such operators to protect customer money.

ABTOT is not as widely known as ABTA or ATOL, but it plays a crucial role in protecting money paid for:

• Cruise-and-stay packages (non-flight elements)
• Rail holidays and touring packages
• Self-drive and motorhome holidays in Europe
• Coach tours and escorted group travel
• Specialist walking, cycling and activity holidays

How ABTOT Protects You

ABTOT operates a trust fund model. When you pay for a holiday with an ABTOT-bonded operator, your money is held in trust — separate from the company’s operating funds — until after your holiday is completed. This means that if the company fails, the money in trust is used to refund customers directly.

ABTOT members are audited regularly and must maintain their trust fund at levels sufficient to cover all outstanding customer commitments. You can search for ABTOT members on the official ABTOT website.

ATOL vs ABTA vs ABTOT — At a Glance

The simple rule: If your holiday includes flights booked as part of a package, look for ATOL. If it doesn’t include flights, look for ABTA or ABTOT.

What About the Package Travel Regulations?

Since 2018, the UK’s Package Travel and Linked Travel Arrangements Regulations have significantly extended consumer protection beyond traditional package holidays. Under these regulations:

• Dynamic packages — where you select a flight and hotel separately on the same website — are now treated as package holidays and carry the same protections
• Operators must provide clear information before you book, including the total price, cancellation rights and what’s included
• You have the right to transfer your booking to another person if you cannot travel
• If significant changes are made to your holiday, you have the right to cancel and receive a full refund
• If your holiday is significantly affected by unavoidable and extraordinary circumstances (such as war, natural disaster or, as we all know now, pandemics), you are entitled to a full refund within 14 days

These regulations apply to all UK-established travel operators, regardless of whether they are ABTA members.

Additional Protection: Your Credit Card

One of the most underused forms of holiday protection is already sitting in your wallet.

Under Section 75 of the Consumer Credit Act 1974, if you pay for any part of a holiday costing between £100 and £30,000 with a credit card, your credit card provider is equally liable alongside the travel company if something goes wrong. This is known as Section 75 protection.

This is a powerful safety net for flight-only bookings, hotel-only bookings, or any purchase that falls outside ATOL or ABTA coverage. You only need to pay part of the cost (even just a £1 deposit) on your credit card for the full protection to apply.

Debit cards offer weaker protection through the Visa or Mastercard chargeback scheme, which is a bank-level dispute process rather than a legal right. Always prefer a credit card for significant holiday payments where possible.

How to Book Holidays Safely Online — 8 Rules to Follow

The rise of online booking has put enormous power in the consumer’s hands — but it has also created new ways to fall through the gaps. Follow these rules every time.

1. Check for ATOL or ABTA Membership

Before you click “Book,” verify the company’s ATOL number or ABTA membership. Don’t just look for logos — logos can be copied. Check the official registers at caa.co.uk and abta.com.

2. Read What You’re Actually Buying

Is it a package, or are you booking flight and hotel separately? Separate components may not carry the same protection as a combined package. Look for the phrase “ATOL Protected” on your confirmation — not just the logo.

3. Keep Your ATOL Certificate Safe

When you receive your ATOL Certificate by email, save a copy somewhere you can access without internet — your phone’s photos, or printed out. If your operator collapses, you’ll need it to make a claim.

4. Pay by Credit Card

Use a credit card for holiday payments wherever possible to add Section 75 protection on top of any scheme coverage. Even paying the deposit by credit card can activate the full protection.

5. Buy Comprehensive Travel Insurance

ATOL, ABTA and ABTOT protect you if a travel company fails. They do not cover personal medical emergencies, lost luggage, cancellation due to illness, or travel disruption. Travel insurance is essential — not optional. Buy it as soon as you book, not at the airport.

6. Check the FCDO Travel Advice

The Foreign, Commonwealth & Development Office (FCDO) publishes regularly updated travel advice for every country. Check it before you book, before you travel, and during your trip. If the FCDO advises against travel to your destination and you have ATOL or ABTA protection, you may be entitled to cancel and receive a refund.

7. Be Wary of Deals That Seem Too Good

Fraudulent holiday websites and social media scams are a growing problem. Legitimate operators will always be on official protection registers. If a deal seems dramatically cheaper than everywhere else, check the company name on Companies House and verify its protection status independently.

8. Understand What “No Change Fees” Really Means

Flexible booking policies and “free cancellation” offers vary enormously between operators. Read the small print before you book. Know the exact deadline for free cancellation, what form of refund you’ll receive (cash vs credit), and whether changes are truly free or simply deferred fees.

Booking Through an Affiliate Site — What You Need to Know

Search4Sun operates as an affiliate comparison and referral service. This means we connect UK holidaymakers with a curated range of established, reputable travel operators — including major brands and specialist providers — rather than selling holidays directly ourselves.

Here is what this means for your protection:

• We do not hold ATOL or ABTA certificates ourselves — we are not the seller of the holiday
• Every operator we link to is a licensed, established travel company with their own protection in place
• When you click through to book, you are booking directly with that operator, and their ATOL or ABTA protection applies to your booking
• Your ATOL Certificate will be issued by the operator you book with — not by Search4Sun

This is the same model used by comparison sites across the UK travel industry. The protection is held where it needs to be — with the company you actually book with.

Our commitment to you: We only feature operators who hold valid ATOL licences (where applicable) or ABTA membership. Before we include a company on Search4Sun, we review their licensing status. However, we always recommend you independently verify protection before completing your booking.

What to Do If Something Goes Wrong

If Your Operator Fails Before You Travel

1. Do not panic — if you are ATOL or ABTA protected, your money is safe
2. Check your ATOL Certificate or ABTA confirmation for contact details and claim instructions
3. For ATOL claims, contact the CAA: the ATOL claim process is straightforward and usually settled within weeks
4. For ABTA members, contact ABTA directly via abta.com
5. Do not book a replacement holiday on a credit card before understanding whether you have a valid claim — you may be double-spending unnecessarily

If Your Operator Fails While You Are Abroad

1. If you are ATOL protected, you will be repatriated at no extra cost — wait for instructions from the CAA or your operator’s administrators
2. Contact the FCDO’s 24-hour helpline if you need consular assistance: gov.uk/contact-consulate
3. Keep all receipts if you incur any additional costs — these may be reimbursable
4. Contact your travel insurer — some policies cover accommodation costs if you are stranded

If You Have a Complaint About Your Holiday

If you experience problems during your holiday — a hotel that doesn’t match its description, a significant change to your itinerary, or poor service — you have rights under both the Package Travel Regulations and, if applicable, ABTA’s Code of Conduct.

1. Report the problem to your resort representative or tour operator as soon as it happens — in writing if possible
2. Keep evidence: photographs, written records, witness names
3. Submit a formal complaint to the operator on your return
4. If unresolved, escalate to ABTA’s dispute resolution or arbitration service (for ABTA members) or seek advice from Citizens Advice

Holiday Protection: The Numbers That Matter

• 28 million+ passengers protected by ATOL every year
• £17 billion+ in holiday bookings covered under ATOL in 2022/23
• 1,200+ ABTA member companies, covering around 23,000 retail outlets and offices
• 150,000 passengers repatriated by ATOL after the Thomas Cook collapse in 2019
• 800,000+ claims processed after Thomas Cook’s failure
• £83 million — cost of the UK government’s Thomas Cook repatriation operation
• Section 75 has successfully recovered millions for consumers whose travel companies have failed without ATOL or ABTA coverage

Frequently Asked Questions

What is the difference between ATOL and ABTA?

ATOL is a government-backed legal requirement for UK companies selling flight-inclusive package holidays. It is managed by the Civil Aviation Authority and focuses specifically on protecting your money — and getting you home — if the company fails. ABTA is a voluntary trade association that covers a broader range of travel products (including non-flight packages) and also sets standards of service and provides dispute resolution. Many companies hold both, as they complement each other.

Am I protected if I book flights and hotel separately?

It depends on how you book them. If you book flights and a hotel through the same website in a single session, and the website links the two bookings together, the Package Travel Regulations may apply and you may have the same protection as a package. If you book them completely independently — different websites, different sessions — you likely have no package protection. Your credit card’s Section 75 protection may still apply if you paid by credit card.

Do I need travel insurance if I have ATOL protection?

Yes, absolutely. ATOL and ABTA only protect you if the travel company fails — they do not cover medical emergencies, cancellation due to illness, lost luggage, missed flights, travel delays or disruption caused by weather or strikes. Travel insurance covers the things that happen to you. ATOL covers what happens to the company. You need both.

What happens to my ATOL protected holiday if my operator goes bust?

If you haven’t yet travelled, you will receive a full refund of what you paid, funded by the Air Travel Trust. If you are already abroad when the company collapses, you have the right to complete your holiday where possible or be repatriated to the UK at no cost. The CAA coordinates the response — you do not need to pay for a new flight home.

Is Search4Sun ATOL protected?

Search4Sun is an affiliate comparison service, not a tour operator. We do not sell holidays directly and therefore do not hold an ATOL licence ourselves. When you book through a link on our site, you are booking with the operator displayed — and it is their ATOL or ABTA licence that protects your booking. Always check your ATOL Certificate when it is issued by the operator you book with.

Can I get a refund if the FCDO advises against travel to my destination?

If the FCDO issues advice against all but essential travel to your destination after you have booked, and you have a package holiday under the Package Travel Regulations, you are generally entitled to cancel and receive a full refund — as the situation would constitute “unavoidable and extraordinary circumstances.” Check your booking conditions and contact your operator. Travel insurance with cancellation cover may also apply.

What is an ATOL Certificate and why do I need it?

An ATOL Certificate is the official document proving that your specific holiday booking is protected under the ATOL scheme. It must be issued to you at the time of booking — not just when you travel. It shows exactly what is covered, who the ATOL holder is, and how to make a claim. Keep a copy in your email and either print it or save it to your phone. In the event of a company failure, it is your primary proof of claim.

Are budget airlines covered by ATOL?

Flight-only bookings made directly with airlines — including budget carriers such as easyJet, Ryanair, Jet2 and Wizz Air — are not covered by ATOL. ATOL applies to packages sold by UK tour operators, not to the airlines themselves. However, if you book a flight-inclusive package through a licensed tour operator that uses these airlines, the package as a whole will be ATOL protected. If your direct airline booking is on a credit card, Section 75 of the Consumer Credit Act may provide some protection.

How do I check if a company is ABTA registered?

Visit abta.com/find-a-member and search by company name or ABTA number. You can also look for the ABTA logo on the company’s website and check that the number displayed matches the entry in the register. This takes less than two minutes and can save you thousands of pounds.

What is the Air Travel Trust?

The Air Travel Trust (ATT) is the fund managed by the CAA that pays out ATOL claims when a licensed company fails. It is funded by a levy paid by ATOL holders on each passenger they protect. The fund has paid out hundreds of millions of pounds in claims over its history, with the Thomas Cook collapse triggering the largest single call on the fund in its existence.

Does ATOL cover cruises?

Cruise-only bookings are not covered by ATOL. However, if you book a fly-cruise package — where the flights are included — the flight element and the combination may be ATOL protected depending on how it is sold. Cruise-only bookings may be covered by ABTA or ABTOT if the operator is a member. Check your cruise operator’s protection before you book.

What if I book directly with a foreign hotel or operator?

If you book directly with a hotel or operator based outside the UK, UK protection schemes do not apply. You have very limited recourse if the business fails. Your best protection in this scenario is a comprehensive travel insurance policy with insolvency cover and a credit card payment that may qualify for chargeback. This is one of the key reasons why booking through a UK-regulated tour operator or travel agent adds genuine value.

Ready to start exploring? Browse our destinations and find operators with full ATOL and ABTA protection in place.