EU rules limit how much prices can increase by, and for what reasons. Here’s what you need to know.
The US-Israel attack on Iran has impacted the travel industry around the globe, with flight cancellations and airlines shuttering as jet fuel prices soar.
While airlines won’t retroactively add surcharges onto flights you’ve already paid for, you are likely to see flight price increases on future bookings. Some carriers in the United States, including American Airlines, United Airlines and Delta, have increased the cost of checked bags as a way to recoup some of the additional costs.
However, the same cannot be said for package holiday providers. This is because the operator is not directly providing the service and so can be affected by third-party cost increases, which it can then pass on to the person booking.
You are protected by rules around how big these surcharges can be, and many operators have come out to say they will not be adding any additional fees for holidays this summer.
Booked a package holiday this year? Here’s what you need to know.
Your rights around package holidays
Under the EU’s package travel directive, organisers can only increase prices for three reasons: If the cost of fuel has increased, if the taxes or fees imposed by a third party (for example, tourist taxes) change, or if the exchange rates are revised.
Even then, the price increase is limited to 8% of the total price. If it exceeds that, you are entitled to terminate the contract without fees.
You also need to be told about an increase, and the reasons behind it, at least 20 days before travel.
Another thing to be aware of is that you have a right to cancel your package if the “quality or the value” of it diminishes.
With airlines cancelling or consolidating flights, your departure or arrival time may change, and if this would cause you extra costs (either in rearranging travel or accommodation), you may be entitled to cancel.
As always, be sure to read the small print in your booking contract.
For travellers in the UK, you are protected by the Package Travel and Linked Travel Arrangements Regulations.
Which operators are saying no to surcharges?
Thankfully, many of the biggest package holiday providers in Europe have said they will not be adding surcharges to bookings this summer, or even this year.
easyJet Holidays has said that it will not apply any surcharges to pre-booked packages, or even any new bookings, for summer 2026.
“We know that holidaymakers may have questions about what recent global events might mean for their travel plans this summer so we are giving our customers absolute peace of mind that no surcharges will be added to their flights or package holidays,” Garry Wilson, CEO of easyJet holidays, said.
“Our operations remain unaffected, so customers can be confident that not only will their holiday go ahead as planned, but there will be no surprise extra payments, and they can enjoy their brilliant holidays at unbeatable prices.”
Similarly, Intrepid Travel has also committed to not adding surcharges to any existing or new bookings this year.
TUI has said that those who have already booked a package will not face surcharges.
Jet2 has gone a step further, saying it will not introduce surcharges on any booked flights or holidays, adding that “the company has never previously applied them”.
For the latest updates, you should always check with your individual package holiday provider.