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The Guardian - UK
The Guardian - UK
Business
Rebecca Smithers

Suddenly our Diamond Rail holiday has lost its sparkle

Getting off track: fear of losing our money now Diamond Rail has stopped trading.
Getting off track: fear of losing our money now Diamond Rail has stopped trading. Photograph: WilliamRobinson/Alamy

I have just been told that Diamond Rail has ceased trading. I booked a holiday with it in August last year for this June, and paid £579.90 with my card – about half the total and with the balance due shortly. I have rung customer services and just get a recorded message.

I have also called Arena Travel which, I gather, has taken it over – but again I get a recorded message giving a different number to that on its website. I have emailed diamondrail@arenatravel.com to say I want to go ahead with the holiday. It all looks pretty suspicious.

SC, Wem, Shropshire

Diamond Rail ceased trading on 16 March this year due to financial difficulties. The company, based in Market Harborough and specialising in UK and European rail, coach and cruise packages, traded under Diamond Holidays, Diamond Rail Holidays and the River Cruise Line, as well as on the websites diamondhols.co.uk, diamondrailholidays.co.uk and rivercruiseline.co.uk.

Your next steps depend on what kind of holiday you booked. The Association of British Travel Agents (ABTA) is reassuring consumers with holidays booked through the company (an estimated 16,000) that Arena Travel, which has 40 years’ experience of arranging holidays across the world, has bought the assets of the company and will offer the holiday you booked, on the same date at the same price, using the same accommodation. But you have to claim a refund and then rebook through Arena.

ABTA conceded that customers are bound to be concerned and that phone lines are probably very busy. It tells us: “This is clearly going to be very worrying for the thousands of holidaymakers who have booked with the company. Although, unfortunately, we have to confirm that holidays are cancelled, the company’s non-flight-based package holidays, such as coach or rail trips, are fully protected. These kind of trips formed the majority of the company’s business. Customers with one of these bookings are advised to go to abta.com where they can start the process of claiming a refund.

“Everyone booked on packages will get a refund on the money they have paid – in some cases this may be through their bank or credit card company and we will give them a letter, which will make any claim straightforward.

“Customers who need more help can contact our claims team on 020 3758 8743. A small number with flight-based holidays will also be fully protected through the separate Atol scheme and should contact the CAA.”

That sounds pretty encouraging, but if any readers – including SC – experience difficulties, let us know.

We welcome letters but cannot answer individually. Email us at consumer.champions@theguardian.com or write to Consumer Champions, Money, the Guardian, 90 York Way, London N1 9GU. Please include a daytime phone number

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