Extra charge to be levied on new bookings

It is first big tour operator to introduce a supplement, but other companies are expected to follow suit.

From 4 June, the fee will add £20 to the cost of a typical family holiday for two adults and two children.

A number of airlines - including British Airways and Virgin Atlantic - have also imposed £5 levies, due to the recent surge in oil prices.

A spokesman said the fixed-fee supplement would apply to all the firm's brands, including JMC and Sunset, that use charter flights.

It will affect not only new summer bookings, but winter 2004/5 and summer 2005 reservations, the firm said.

However, the fuel supplement will not be charged retrospectively.

A spokesman said: "This action is unfortunate but necessary in the current climate...We will be monitoring the situation closely and will review the policy if oil prices fall."