No-frills holidays that cost a packet

Thomson is to start charging for in-flight meals, hotel transfers and extra leg-room in a move that could spell the end of the package holiday.

The travel company says the extra charges will allow travellers-more flexibility to create their own break in the sun.

But consumer groups fear it could be a ruse to introduce price rises and warn that families may rebel. Thomson insists the change is not being introduced to cover a surreptitious price increase - but it will be difficult for travellers to make sure.

The price of a 'no frills' basic holiday should now appear cheaper in Thomson's Summer 2003 brochures, which will reach travel agents next week.

That should help to get customers signing on the dotted line, but the final price paid is likely to be very different from the brochure figure.

For a family of four who prefer to travel in relative comfort, rather than cattle class, and want a decent view, the difference could be well over £200.

In-flight meals will now be charged at £10 for adults and £5 for children, while extra leg-room in a premium cabin will start at £25 a seat.

There will be a minimum £25 charge for a taxi transfer from the airport to your hotel or apartment, and either £5 or £10 per person for a coach ride.

There will also be extra charges for those who want other 'frills' such as a balcony or a sea view.

Last year, one firm even charged £15 per person to use a swimming pool, although Thomson has not gone that far.

In another major development, the UK's biggest package holiday company, Airtours - now MyTravel - is set to launch a no-frills, low-cost airline.

The company is reacting to the success of budget carriers such as Easy-Jet and Go who have won over large numbers of travellers heading for hot spot destinations.

Their customers travel cheaply and book accommodation separately.

Thomson Holidays managing director, Chris Mottershead, said: ' Shoppers today appreciate choice.

'You don't just buy a coffee these days, you buy a latte, espresso or cappuccino.

'It's the same with cars or new homes and we believe the same applies to holidays.

'People will customise the holiday to suit their needs and they won't pay for anything they don't use.

'Your holiday, your choice, is about the future of package.

'Since package holidays first came on the market more than 50 years ago the basic structure of the holiday - flight, transfer, accommodation - has stayed the same.

'We are bringing it up to date by offering a new level of service which means holidays can be tailored to suit the individual.

'The essence of the package is that it's the best value for money, the most convenient way to organise a holiday and every package is backed by a raft of consumer protection, from health to financial bonding.'

Other features once considered part of a traditional package holiday, but are now charged-for extras, include late check-out and 'extra' baggage allowance.

Patricia Yates, editor of the Consumers' Association Holiday Which? magazine, said: 'People who are used to paying the price in the brochure for a package holiday will be in for a shock when they realise that things like coach transfers and airline meals are not included.

'This sort of tactic could backfire with the core group of people who book a package trip, because they expect everything to be taken care of.

'Clearly, holiday firms are getting rattled by budget airlines who now fly to popular sunshine destinations.

'People assume a certain level of service on a package trip, and to charge for things like getting you to your hotel and a hot meal on the plane may well be a mistake.'

How the costs add up

Pre-bookable seats: guarantee your party sits together and reserve a window seat
Adult: £10
Child: £5

In-flight meals:
Adult: £10
Child: £5

Premium seats: front of aircraft, extra leg-room: £25

Extra leg-room by emergency exit/bulkhead: £20

25kg baggage allowance: £15

Coach transfer: £5-£10

Taxi transfer, per taxi: £25

Car rental for seven days from: £91

Accommodation: late check-out per room: £20

Charges are per person, unless state otherwise