All Leisure administrator blames loss-making cruise operations

| January 05, 2017, 08:00

Significant losses at All Leisure Holidays’ cruise operations have been highlighted as the main reason for the collapse of the company.

New year cruises by Swan Hellenic and Voyages of Discovery due to depart this week were abruptly cancelled ahead of the company ceasing trading yesterday.

Eddie Williams, David Dunckley and Matthew Richards of Grant Thornton were appointed joint administrators of the business.

They said in a statement: “ALH provides holidays on two cruise ships, the Minerva and the Voyager under the brand names Swan Hellenic and Voyages of Discovery.

“Regrettably, and due to the adverse financial position of ALH, the business has ceased to trade resulting in the majority of employees being made redundant and the cancellation of all future voyages.”

G Adventures stepped in to acquire the All Leisure tour operating brands, Travelsphere and Just You, from the administrators on Tuesday, saving 200 jobs.

However, a further 50 employees have been made redundant together with most of the company’s 100 maritime staff.

Williams told the BBC: “Whilst I am extremely pleased to have concluded a sale of the business which safeguards the holidays and bookings for over 13,500 tours and passengers and preserves 200 jobs, I am very disappointed that we have no alternative other than to close the remaining ALH operations.

“The cruise operations have been significantly loss-making over a number of years and the ongoing cost of funding these operations by the tours operations has created significant cash issues for the entire group, which has ultimately led to the administration of all businesses.”

All Leisure sold off its Hebridean Island Cruises brand to a group of investors about a month ago. This came just over a year after the line’s single ship Hebridean Princess was sold for £3 million to HP Shipping, a firm owned by a syndicate of private investors led by All Leisure chairman Roger Allard, and leased back.

Cosmos Tours is offering a £50 discount and a low deposit of £50 to customers who have had their 2017 cruise cancelled with Swan Hellenic or Voyages of Discovery due to the demise of the All Leisure.

Those who were due to travel with either cruise line can re-book with Cosmos Tours & Cruises plus sister brands Avalon Waterways and Archers Holidays.

Cosmos Tours chief executive Giles Hawke said: “To lose your carefully planned holiday at the beginning of the year is a real disappointment for those looking forward to the relaxation of an ocean cruise.

“As availability on cruises disappears fast at this time of year with all holiday companies running January sales, we wanted to help disappointed cruise passengers re-book as soon as possible.”