Plans for a potential buyer to acquire Travelzest have been scrapped because of the current economic climate.

In a statement released today, Travelzest revealed the the interested party had decided not to make an offer on the business because of the “current uncertainties in financial markets”. The completion of the due diligence process had been expected next month.

According to industry speculation, the buyer was believed to be TUI Travel, although neither party would confirm this.

Last week Travelzest announced that the On Holiday Group would take over the operation of its websites and

Travelzest is continuing to trade.