The Zurich-based parent company of student and youth travel specialist STA Travel is to appoint an external administrator.
STA Travel Holdings AG says “day to day“ operations in the UK are unaffected and that this process only affects the Swiss business.
STA Travel Holdings Switzerland says “consumer uncertainties” mean sales have not picked up and “the global magnitude of the pandemic crisis has brought the travel industry to a standstill, including STA Travel”.
The company says it expects “further restrictions and renewed lock-down measures” to continue into 2021.
STA Travel has 54 outlets in the UK with a focus on long haul “gap year” and adventure trips.
Many of its flights and holidays are ATOL protected and it is a member of ABTA. STA Travel Holdings AG says it “very much regrets to not have been able to secure the future of the business under these unprecedented circumstances”.
In a statement the STA Travel UK said: Following the decision to place STA Holdings, the parent company of STA Travel, into administration each division’s Country Manager and leadership team is now reviewing its own position.
"Further information will be confirmed as soon as finalised".