THE
big four operators have increased prices as bookings drop off further at the
prospect of war and a struggling economy.

Major
operators admitted the market was “getting tougher” as MyTravel was rumoured to
be cutting capacity by 15%. On average prices are up by £20 per holiday, with
January offers dropped.

“Everyone
gave it their best shot to get volumes by putting the offers out. Now people
are going for more margin and the big offers have been taken out,” said one
operator.

Airtours,
First Choice, Thomson and Thomas Cook have adopted a less aggressive stance but
tactical offers remain. Airtours, Thomson and Cosmos have all produced special
offer brochures this week with £99 holidays to move distressed stock.