STA Travel has gone into administration, resulting in the loss of approximately 500 jobs and the closure of all 50 of its UK shops. The student travel specialist, which had been trading for half a century, announced on Friday that it had ceased operations due to the impact of the coronavirus pandemic.
The company's statement said it had taken 'decisive measures' to secure the business beyond Covid-19, but sales had not recovered as anticipated. The Swiss parent company, STA Travel Holdings AG, has filed for insolvency, leaving the UK arm with 'no choice' but to stop trading immediately.
ABTA, the travel trade association, said the news would send a 'shockwave' through the tourism industry, which has already been severely affected by the crisis. Customers took to social media to express frustration over outstanding refunds for cancelled holidays, with some claiming they were owed thousands of pounds.
In a separate development, an estimated 20,000 Britons in Croatia are scrambling to return home before new quarantine rules come into effect at 4am on Saturday. Travel expert Simon Calder warned that flight prices were 'going through the roof' as travellers rush to beat the deadline.
