Package holiday problems · Updated October 2026

Package Holiday Price Dropped After Booking? (And When They Can Put It Up)

General information, not legal advice. This guide summarises UK rules as we understand them at the time of writing (October 2026). Your booking conditions and circumstances matter, so check official sources such as GOV.UK, the CAA/ATOL, ABTA, Citizens Advice and MoneyHelper, and get advice if you need it. Contains clearly marked affiliate links. Disclosure.

You booked, felt pleased with the deal, then saw the same holiday advertised for less. Or you've had an email saying the price is going up. Here's what you can and can't do.

If the price has dropped

There's generally no legal right to the lower price just because the selling price has fallen after you booked. Package prices change constantly with demand. But you may still have options:

1. Check for a price promise. Some companies offer price-match or price-promise schemes. For example, TUI advertises a Price-Match Promise where claims must be made within 72 hours of booking, with terms and conditions. Schemes and time limits vary, so check your own company's terms straight away.
2. Ask politely. Contact customer services with screenshots showing the same hotel, room, board, dates, flights and number of travellers. They don't have to help, but some may offer something.
3. Do the maths on amending or rebooking. Amendment and cancellation fees, and lost deposits, usually wipe out the saving, but not always. Get the figures in writing before you do anything.
4. Use the drop to upgrade instead. Sometimes it's easier to ask for a better room or board basis for a small fee.

If they want to put the price up

The Package Travel Regulations 2018 strictly limit price increases after you've booked. An increase is only allowed if your contract expressly says it can happen, and only because of changes in:

• fuel or other power costs for transport,
• certain taxes or fees set by third parties, such as tourist taxes or airport charges, or
• exchange rates.

The contract must also explain how it's calculated, and must give you a price reduction if those same costs fall. You must be told clearly, with a justification and a calculation, at least 20 days before your holiday starts. If the increase is more than 8% of the total price, you can choose to accept it or cancel without a termination fee, among other options. Some operators advertise that they don't add surcharges at all, so check your booking conditions.

Paying in instalments? Keep track

Many packages are paid by deposit and instalments, with the balance due weeks before departure. Missing a payment can lead to cancellation and the loss of money already paid, so set reminders. Our countdown checklist helps.

Spend the saving wisely

If you can't get money back, you can still cut the cost of the rest of the trip: compare transfers, pre-book airport parking, and avoid daily roaming fees with an eSIM.

FAQs

Am I entitled to a refund if my package holiday gets cheaper?

Generally not just because the selling price has fallen. Some companies offer price-match or price-promise schemes with strict time limits and conditions, so check your company's terms straight away. Separately, if your contract allows price increases for fuel, taxes or exchange rates, it must also give you a price reduction if those specific costs fall.

Can a tour operator increase the price after I've booked?

Only if the contract expressly allows it, and only for changes in fuel or power costs, certain third-party taxes and fees, or exchange rates. You must be told, with a justification and a calculation, at least 20 days before the start of the package. If the increase is more than 8% of the total price, you have the right to cancel without a termination fee, among other options.