About 10,000 customers had bookings with Freedom Direct Holidays when it ceased trading yesterday, the CAA said today.

It also estimated there were 200 customers abroad when the online retailer, which sold packages mainly to the Mediterranean, Canary Islands and Turkey, ceased trading.

The CAA said it did not yet know how many of the 10,000 were covered by Freedom’s Atol, which it held until March 31, when it was not renewed.

Freedom sold packages under its Atol but also acted as an agent selling flights, accommodation and packages on behalf of airlines, tour operators and accommodation suppliers. Those holidays will not be covered.

The CAA said customers on holiday would be able to complete their holiday and fly home as planned, but could contact the CAA if they had problems.

The authority also said customers could lodge a complaint for compensation if they had to pay again for accommodation or travel.

Customers due to travel should lodge a claim with the CAA for consideration under the Atol scheme, it said.

• Freedom Direct 'close to collapse' (16 Apr 2009)