Around 1,800 Briton have had their holidays cancelled as a result of the failure, while a further 525 customers are currently overseas.
The Civil Aviation Authority (CAA) confirmed that any travellers who have lost their booking are covered by the ATOL protection scheme, and will be able to claim a refund. Those holidaymakers still abroad will be able to complete their holiday and return to Britain as planned, although they may be forced to pay for their accommodation again and then claim a refund with the CAA when they return home.
Earlier this month Telegraph Travel reported that strikes and civil unrest in Greece had led to a sharp fall in holiday sales.
Analysis of more than 130,000 holidays conducted by The Co-operative Travel, the largest independent travel agent in Britain, revealed a 15 per cent decline in bookings to Greece during the last week of June, compared with the same period in 2010.
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