Holidays and jobs are saved by Hays Travel

Apr 25 2009 The Journal

THOUSANDS of holidays have been saved after a travel agent stepped in to save a doomed rival. Hays Travel has moved in to buy out the property rights of Freedom Direct Holidays Ltd, and will take over bookings made with the troubled firm.

The Sunderland-based company will also take on nearly all of 109 workers who lost their job at the firm last week. The announcement will come as a huge relief to up to 9,000 holidaymakers who had booked breaks with Freedom Direct.

Managing director John Hays said all of the package holidays booked through the holiday firm would be transferred over to Hays, and he was “confident” packages tailored by Freedom Direct would follow suit over the weekend.

Key staff at the collapsed company have already started at Hays, and the Freedom Direct website will be relaunched over the weekend.

Mr Hays said: “We were very sad to hear that Freedom Direct Holidays had ceased trading as it had a very good reputation and an excellent calibre of staff. Hays Travel was fortunately in a position to be able to purchase its assets.

“We have also been able to offer the Freedom Direct Holidays staff alternative employment as part of the Hays Travel team. Nick Jackson, former managing director of Freedom Direct Holidays, and Grant Lawson, former head of sales, have both joined Hays Travel. I’m proud to be from the North East and we’re really pleased to be able to keep jobs in the region.”

Hays employs 800 staff and took £350m in bookings last year. Freedom Direct turned over £40m in 2008.

Mike Pott, recovery and insolvency partner at RMT Accountants and Business Advisors, said: “The sale of the Freedom Direct Holidays business to Hays Travel Ltd is a great result for both creditors and customers. RMT has a long and successful track record of providing advice within the industry and has been working hard in the interim period to assist customers as much as possible.” The Freedom Direct office, based on Gosforth Park Avenue, is not included in the deal and is now for sale.