Should I Pay the Full Amount on a Cancelled Holiday?

Author: Sarah Clark · Last updated 11th March 2026

Unfortunately, this all depends on the terms and conditions in your holiday brochure. Because you are technically 'breaching the contract' by cancelling the holiday, for whatever reason, you are liable to pay the holiday company what's deemed to be 'reasonable compensation.' for their loss. It would be exactly the same if they had cancelled the holiday, they would be expected to pay you back the full cost of the holiday if you had already paid it up front.

If they manage to sell the holiday, then obviously this won't apply, because the holiday company hasn't lost anything. So it's reasonable for them to have a clause about re-selling in the contract. It's reasonable for you to ask them not to pursue any further requests for payment until they have tried to resell the holiday.

The Package Travel and Linked Travel Arrangements Regulations 2018

The Package Travel and Linked Travel Arrangements Regulations 2018 specify the information must be given to consumers before any package holiday contract is agreed or the holiday starts, and the regulations also state that cancellation terms have to be included in the contract. If your brochure and/or the contract don't mention your rights when you have to cancel your holiday, you could possibly have a case for claiming that they are in breach of the Package Travel Regulations, but it's a difficult one to win.

Consumer protection regarding holiday cancellation charges is now overseen by the Competition and Markets Authority (CMA), which replaced the OFT in 2014. The CMA continues to monitor tour operators' cancellation charges to ensure they are not excessive.

Insurance Claims

One other avenue you could pursue is claiming the cost of the cancellation back on your insurance policy, although to be fair, many policies are strict when it comes to paying out for cancellations, and might not treat a change of school holiday dates as a good enough reason to refund you. Check your policy, and if you're covered for this eventuality, it's probably your best avenue.

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Mjandy 7 Jun 2020

Have paid low deposit for holiday in England in July . It’s been cancelled but they want the remainder of the money in June. I can rebook for next year , am I legally obliged to pay for this years cancelled holiday or just the full deposit for next years. If I cancelled I have to pay the full deposit and therefore lose it. Can you help??

Elle 5 Jun 2020

Hi my butlins Skegness break has just been cancelled due to covid. I paid in installments over 10 months and they have stated that's the way I'll get my refund. Am I not entitled to the full amount all at once or are they right to do this?

Louise 19 May 2020

Virgin Holiday - We are due to fly to Daytona beach, Hard Rock Hotel in October we have been informed our flight has now been changed meaning we will have over 6.5hrs before our connecting flight from Atlanta to Daytona. We don’t feel comfortable flying or holidaying with our children, my husband is self employed and I work for the NHS there’s just not the option to quarantine upon our return. We are unravel to reach Virgin Holidays, we have tried the following options:- Phone (including booking line) auto message unless we are travelling within 72hrs they will not take our call Text message there’s no response Live web chat - down I have emailed the lady we initially booked with in branch - email bounced back Emailed cancellation team - bounced back Wrote a letter - no response Online managing my booking - no option cancel App - no option to cancel We are happy to loose the £700 deposit, however we have to make contact before 27th July otherwise we have to loose £700 deposit plus 30% of total holiday cost! We feel literally backed into a corner to pay the full balance, and will not know until 72 hours before we fly if we can fly...meaning we have to pay for ESTA forms, arrange holiday money, book time off, holiday insurance, purchase new holiday clothes, airport hotel (we live in Nottingham and fly from Heathrow), airport parking and pay for cat hotel making this a very costly and potentially loosing all this money or we don’t fly. As a family we have been affected by Covid and would rather not be using our monies for a holiday. Any help you can provide would be most helpful, please view Virgin Holiday below its many many other people also needed help.

Jonny 9 May 2020

Going on cruise in September remaider of money 3000 pounds to be paid in June do I pay it and hope the cruise goes ahead. I know I won't get my money back or don't pay it and loose the 400 I paid earlier.

jany 1 May 2020

booked cruise with saga this was sailing with fred olsen. This cruise was expensive so decided to pay by instalments. Cancelled on 24th March just before final date. They owe me £9000.00 paid over dec 2019 ,jan 2020 feb 2020 I was told it would be back in my account 2/3 weeks and would be paid in installments. Now today have told me they are working on April cruises which people would have paid in Jan and because I paid in installment have not a clue when I would get money back.

Dom 30 Apr 2020

We have booked a package holiday in April 2019 for July 2020. I have only paid the full deposit so far and final payment is due in May 2020. I want to cancel holiday due to current issues and can not get hold of anyone for the last two days of solid trying. I under stand a high volume of calls but SURELY there is alternative ways to contact the holiday provider to cancel the holiday so it's registered that I have wanting to cancel for a period of time. AS I see it the longer they hold out on not speaking to you the more days a lapse and you pay more of a percentage of your cancelled holiday this is not acceptable this is profiteering Will I be liable to pay the remainder of holiday if don't pay by the due date ? Can they take me to court if don't pay ?

steveo 27 Apr 2020

I have a holiday booked for the 22nd of July to Florida with a package holiday company I have paid a deposit of £3000, I was due to pay the balance of my holiday on the 8th of April. I have not paid this due to the FCO current advice. I have asked for a date change to 2022 and have been given that. However the price has now gone up 25% and they are requesting a further £3000 pound deposit to secure it. Do I have the right to cancel and get a refund of my initial deposit.

Becki 25 Apr 2020

Hi, we have booked a package holiday on the 27th August. We paid a low deposit of £250 and are due to pay the rest of the deposit £750 on 1st May. Obviously at the minute our holiday is still going ahead but could quite possibly get cancelled. The full payment of £4000 is due on the 1st June. Do I pay the £750 and hope that it hers cancelled and we then can get £1000 back or cancel the holiday dont pay and see what happens ? Any advice would be great. Thank you

Sal 25 Apr 2020

Our final deposit £600 is due 30th april...what should we do holiday is on 15th june...dont want to lose initial deposit or be made to pay the balance as we not getting refunds just vouchers..we are already owed £300 from march holiday we never had and they not giving refunds? What if people are shielded (but not ill) can they cancel and get a credit note for initial deposit..?? As they are not ill can they claim on insurance? Or they may not be able to claim if they were going to take insurance out on last payment?

Lou 24 Apr 2020

Hi we have booked holiday to Cornwall with private owner in August, we have paid 1/3 deposit but due to lack of employment because of covid 19 we can no longer afford to pay balance plus I’m in vulnerable group so don’t really want to leave home the owner still says we need to pay him by 1st July, where do we stand on this.

Helz 23 Apr 2020

Hi, I have just cancelled my booking for holiday 24th July. I had only paid part of the deposit and now owe the rest of the deposit. Should I see if I should reinstate my holiday and therefore not owe the remaining amount. I can’t get through to discuss

Julz 23 Apr 2020

Hi , my holiday to Greece has to be paid in full bu end of may , I’ve paid £400 deposit so far ! I don’t want to go and hope it’s cancelled. I still owe £1500 and was thinking of not paying it and just loosing my £400 or should I pay it off and hope the refund comes back ?

Jomo 22 Apr 2020

Hi I have booked holiday with TUI go on the 27th of July I was meant to pay the balance of on the 20th of April but as I booked I store they told me I had to wait untill the stores reopen I have now been informed I can pay over the phone but I have been trying to get through since Monday the 20th with no luck so don’t know what to do and help would help.

Tim 22 Apr 2020

The voucher i have received from ryanair is full of t&c's .1 year time limited, non transferable , no cash value etc. This is instead of the cash refund I should have received as per t&c's and UK/EU law . It seems the travel company can now make up retrospective rules as they seem fit . How is this normal ??

Tim 22 Apr 2020

To be clear if it was the case that any cancelled holiday would be refunded a few weeks later , as was the rules when l booked , I would happily pay the balance but the rules have clearly changed ( already sat on £1900 in credit vouchers from easter)

Tim 22 Apr 2020

Booked my holiday last year paying £178 deposit , the remaining £1400 is due in a couple of weeks , obviously I don't wish to pay this and risk ending up with a credit voucher should the holiday be cancelled . I also see no reason why I should lose my deposit , normal t&c's , as claimed by th holiday co.clearly do not apply as refunds are not being given ,a significant change if you ask me , what are your thoughts

James 19 Apr 2020

Hello, we are due to pay our balance on our holiday next week. Jet 2 are saying they are starting again on the 17th of June we are flying 3 days later. We do not wish to pay anymore money out on a holiday we might not even get, especially now our income has taken a hit. Any advise?

Vonny 17 Apr 2020

We are due to pay the balance of our holiday in july we go in september we have health problems how are we fixed if we cancelled holiday due to covid 19

Tiffany 15 Apr 2020

I'm due to travel with BA to Guyana in August, my final payment of £1500 is due on the 1st July. It is not clear whether the flight will go ahead. Do I continue making payments? Can I change the dates of my holiday to next year? Will the flight even go ahead?

Tilbs 15 Apr 2020

Hi, my holiday has been cancelled, lm due to pay balance in 3 days , shall I pay it, its £2000, shall I pay, or lose my £700 deposit, not sure even if l pay will get money back

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