Holiday operator On the Beach will not accept bookings for June, July and August.
Portugal is currently the only major viable tourist destination on the green list, while Spain, France, Italy and Greece are on the amber list.
In a temporary decision, On the Beach has said they are taking holidays off sale for June, July and August 2021 until further notice.
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If you have already booked a holiday and are due to travel over the next few months, the operator says your trip 'may still go ahead as planned'.
In a statement on their website, On the Beach said: "We’ll be back on sale for summer as soon as we’re happy that everything really is better – at the airport, in the hotel and, of course, on the beach.
"For now, things are just a bit uncertain. From testing to traffic lights, quarantine periods and local restrictions, we want to know a bit more about what going on holiday is like, and how likely your holiday is to go ahead before we take any new bookings.
"Plenty of other travel companies will be more than happy to take your money, even though they’re not sure yet what the additional costs or inconvenience might be. We’re not."
CEO Simon Cooper said: “There’s nothing we want more than to be able to send customers on holiday, but with the current number of unknowns we don’t think that now is the right time for customers to book new holidays departing in the next few months.”