Confusion surrounding the rights of ATOL protected XL customers still abroad has led the CAA to issue a press release informing travellers that their holidays are financially protected from the moment the company went into administration and they should not need to pay hotel bills at the end of their stays.

Customers who are asked to settle bills at hotels and resorts are advised to immediately contact the in-resort holiday representatives of Thomson, First Choice, Thomas Cook or Virgin Holidays who are liaising closely with the CAA. Otherwise, customers should phone the ATOL helpline – tel. 00 44 2891 856547 – for advice.

Richard Jackson, CAA Director of Consumer Protection, said: “ATOL offers complete financial protection covering both flights and accommodation. If you are covered then you should not have to pay for anything that was covered under your original package. The CAA and tour operators are contacting hoteliers to remind them that ATOL will be picking up the bills from the point of XL’s collapse.”

For more information check out the CAA’s website.