Rush to the late-season sun sees TUI bookings take off

Thomson Holidays owner TUI Travel yesterday reported a rush of late summer bookings as holidaymakers looked to escape the dismal UK weather.

The group said its summer programmes, which run to the end of October, were now almost fully sold after the strong booking activity in recent weeks.

It told investors that it had benefited from a "flight to quality" after the failure of a number of smaller tour operators and airlines, as well as from the return to more normal weather conditions in northern Europe.

Despite the strong end to the summer, TUI warned that the greater proportion of cheaper deals in the late market would affect profitability.

This echoed comments made in August after the firm was left with more holidays to sell as would-be sunseekers sat on their hands amid nerves over post-election tax hikes, decent early summer weather and the World Cup.

Bookings since the start of August were up 5 per cent in the UK, compared with 2 per cent previously after stronger demand for medium and long-haul destinations. In Germany, bookings were up 18 per cent year-on-year since August.