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Youtravel.com to act as principal – 15 Nov 2006

Youtravel.com, the new online accommodation-only specialist, has confirmed it is to act as a principal following the death of two children in Corfu, but claims it won’t lead to price hikes.

Already many accommodation-only companies have admitted they too are reviewing whether to take on the legal responsibilities of principals, such as health and safety reponsibilities under the Package Travel Directive.

It comes after travel agency groups such as Triton and the Co-operative Travel Trading Group threatened to stop using accommodation-only suppliers that do not as a principal to protect agents from claims in similar circumstances as the Corfu tragedy, in which two children died of carbon monoxide poisoning.

Youtravel.com has a portfolio of more than 2,500 properties.

Sales and marketing director Paul Riches said since the company’s launch at the end of October, it has been a priority to ensure the company takes responsibility for issues such as health and safety.

Riches added: “Recent unfortunate events that have shaken the travel industry, plus our new thinking on the role of the online accommodation provider, has led us to this decision.

“We are working thoroughly through issues like health and safety for the benefit of our retail partners and the final consumer. This liability policy is being put in place as we speak and will be finalised in the next few days.”

He said he did not envisage prices increasing as a result. “The changes will increase youtravel.com’s cost base but it will be minimal when taken as a percentage across the business and therefore prices will remain competitive,” he added.

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