Passengers Left with Sinking Feeling

Luxury cruise line Hebridean International last week sank into administration, leaving the holiday plans of dozens of Britons in tatters.

Though the administrators, Ernst & Young, have promised cruises on Hebridean Princess will continue as planned, an early pledge by the cruise company to refund passengers booked on a larger ship, the Hebridean Spirit, has been withdraw.

The 98-passenger Hebridean Spirit was sold in March, prior to the administrators being called in, and customers were originally given the option of a full refund or switching to the Princess.

The administrators are now advising anyone booked on Spirit to contact the Civil Aviation Authority for a possible refund. In a statement, Ernst and Young said: Customers should also check their travel insurance policy since it may provide cover for the cancellation.""

""The type of cover provided will vary according to the type of policy taken out. Your policy may cover the complete or partial cost of the original booking purchased.""

""If you paid by credit card you may also be protected by Section 75 of the Consumer Credit Act 1974. You should check with your credit card provider for further advice.""

The administrators have secured funding to continue operating the 49-passenger Princess which was chartered by the Queen for her 80th birthday in 2006. It sails around the Highlands and Islands of Scotland.

""The administrators recognise the value of the Princess business and have taken steps to secure funding to continue its sailing schedule as planned a statement said.

The Princess is therefore continuing to trade whilst we pursue a sale of the business as a going concern.

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