After a week of speculation, ABTA has confirmed Gill’s Cruise Line has been classified as a “financial failure”.

The news follows the decision by a host of cruise lines to severe contact with the agent, with Carnival first to terminate its agreement on Tuesday.

This was swiftly followed by similar action from Fred Olsen Cruise Line and Royal Caribbean among others.

Yesterday Gill’s – which is based in Cardiff - confirmed it had stopped taking new bookings.

The family owned business had been in operation for over four decades.

However, those holding bookings with the agent are likely to be financially protected, ABTA said.

“Any cruise booked through Gill’s is fully financially protected and the cruise companies providing them will honour all paid-for cruises, as normal.

“Customers should expect to hear from their cruise line shortly.

2We understand that a very small number of customers may have booked their flight and cruise directly with Gill’s under their ATOL licence.

“Customers whose invoice references ATOL 10178 should contact the CAA.

“If the cruise has been booked with the cruise company, and a flight with another supplier, customers should contact the cruise company.”