Today the world economy has been gone through a tremendous change. Recession has crippled the world economy. The failure of bank and other major financial institutions in America and Europe has reduced the purchasing power of the people both in the developed and under developed countries. People have the desire to spend holiday. But due to huge to cost they are compelled to cancel the trip. Travel companies are facing too much problem to satisfy the customers. But due to cost rise, they have no solution but to impose extra surcharge to the customers. Soaring fuel cost and the sliding value of the pound are being blamed for it. Even the people who have made their booking in the previous year are being compelled to make extra payment. World has seen the late notice surcharge in the 1970s when there was currency crisis. In the previous year only one company has given application to grant him permission to impose surcharge. But this year it is a common affair.
If the cost of a tour for a family of four members was 6000 pounds in the previous year, the cost has risen by paying extra 666 pound in this year. The travelers feel anxious whether they will be trapped under debt by planning a tour due to price rise. The cost of a break abroad has already been pushed up by the stronger euro. According to the experts, cost of traveling has been increased by 17%.
!0% surcharge of the original holiday cost can be asked by the firms. So far surcharges have been avoided by the larger travel companies such as Thomson and First Choice. But after increasing the fuel cost of the airline, both the companies have demanded extra 40 pound person for the trip. Companies are given permission to take surcharge when 2% of any rise in costs is absorbed by them. Without offering the customers a full refund, more than 10% surcharge can not be charged by them. The cost can not be increased by the travel companies within the 30 days of departure.
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