Martin Lewis has issued a stark warning for anyone booking a summer holiday, explaining that travellers who arrange their flights and hotels separately risk losing their hotel costs if their flight is cancelled. During his Money Show Live on ITV, the financial expert addressed a viewer's question: 'If my flight's cancelled due to no jet fuel, will you definitely receive all your money back, even for your hotel booking as well?'
Package Holidays vs DIY Bookings
Mr Lewis clarified that those who book a package holiday—where flights and accommodation are purchased together—are protected under package holiday regulations and would receive a full refund. However, he cautioned: 'If you did a DIY booking where you bought your hotel and flight separately, you would not get everything back.'
He explained that the hotel reservation itself is not faulty; the issue is that the traveller cannot reach the destination. 'Your hotel is still there. It's not cancelling. So, you don't have those consumer rights,' he said.
Limited Protection Options
Mr Lewis also warned that credit card or debit card protection would not apply because there is nothing faulty with the hotel booking. Turning to travel insurance, he noted that out of 40 policies checked, only a few—mostly package bank accounts—would cover the knock-on cost of a cancelled flight due to jet fuel shortages. 'Only one standalone provider,' he added.
'There is a big risk in those circumstances,' Mr Lewis said. He advised travellers to book with free or limited cancellation options close to the travel date and to always speak to the provider if issues arise.
Jet Fuel Shortage Concerns
The warning comes amid concerns over potential jet fuel shortages, though the government has stated there is currently no shortage and is working to consolidate flights to prevent one. Mr Lewis concluded: 'People's hotel costs if they book separately and other knock-on costs are potentially at risk.'
