Tour operators to Switzerland are holding prices despite last week’s dramatic rise in the value of the Swiss franc.
The currency leapt by 30% on January 15 after the Swiss National Bank surprised the markets by scrapping a cap on the value of the franc against a weakening euro.
Operators sought to reassure holidaymakers that prices will not rise. Inghams said it has enough pre-purchased, or hedged, francs to freeze summer prices to the end of February.
Simone Clark, managing director at Iglu Ski, said most bookings for Switzerland are for chalets that include food and wine or half-board hotels, mitigating in-resort price inflation.
She added that key issues for skiers booking this winter were snow levels and the cost of ski passes, although operators are expected to agree deals with local authorities.
“We have not had any notification from operators that there are going to be price changes. We will be encouraging people to book early for next year before there are any rises,” said Clark.
Inghams customers who took its ‘Inghams Plus’ offer could take advantage of in-resort savings that independent holidaymakers can’t access.
Hugh Walton, executive director of Inghams, said: “This sudden change underlines the value of booking early with an established tour operator so that the currency exchange rate is secured.”
While hedging works in favour of the trade in Switzerland, it means plummeting fuel and currency costs for the eurozone won’t be immediately passed on to consumers.
Industry public affairs consultant Andy Cooper asked: “Is this going to encourage customers to book direct and not with tour operators? This has to be a real risk.”