Travel firm Sun4u collapses

The Birmingham-based firm, which had an array of low-priced and inclusive holidays available online and via Teletext, announced it had ceased trading on its website.

Its demise will spark fears more travel companies could meet a similar fate.

According to reports, some 40 members of staff at its call centre were informed of the collapse this morning.

Today a statement on the company's website read: "Sun 4 U Limited has ceased trading as of 11th August 2010 at 2100hrs. For further information please contact ABTA's claim handlers CEGA on 01243 621 500."

It is unclear how holidaymakers currently abroad - most of them in Spain - will be repatriated.

Travel organisation Abta said those with Atol (Air Travel Operators' Licensing) packages should be able to continue with their holidays as planned.

A spokesman said: "There are approximately 1,200 people away at the moment and most of them are in Spain.

"Anyone who has booked a package holiday must contact the Civil Aviation Authority (CAA) or contact the supplier named on their invoice."

The collapse of Sun4U follows the recent failure of tour operator Goldtrail Holidays.

Around 16,000 Goldtrail customers were abroad when the Greece and Turkey specialist went into administration last month.

Have you been affected by the Sun4u collapse? Contact the Yorkshire Post newsdesk at [email protected]