The worldwide outbreak of COVID-19 has brought the world to a standstill, and tourism has been the worst affected of all major economic sectors.
Last week, the first major UK cruise liner operator, Cruise & Maritime Voyages (CMV) announced they have gone into administration, with the “global pandemic of seismic proportions” being blamed for its collapse.
With 4,000 jobs at risk and cancelling all customer bookings, along with thousands of passenger refunds, CMV is the first major cruise line to go under because of the forced suspension of worldwide cruising, due to the COVID-19 coronavirus pandemic.
As with most cruise lines, CMV has not been sailing since March at the start of the coronavirus pandemic and was due to resume sailing come August 25th with voyages to the Baltic, Norway, the Canary Islands, Madeira and Morocco. Founded in 2009, CMV line operated six ships in its fleet — Magellan, Marco Polo, Columbus, Vasco da Gama, Astor and Astoria: the end of an era for the world’s oldest cruise ship, built in 1948.
CMV had two additional ships coming into the fleet, both former P&O Australia ships which were due to come into service next year. (Currently, it is not clear what will happen to these vessels.) After P&O Cruises, CMV was, in terms of fleet numbers, the second largest cruise line catering for UK passengers.
But the beloved British cruise line, known for its “affordable, friendly and fuss-free sailing”, was in desperate need of additional funding – which it said it was “confident” of securing. Although unsuccessfully, administrators Duff & Phelps announced on July 20, 2022 that it has “ceased trading with immediate effect”, after failing to secure the much-needed extra funding.
In a statement, chief executive Christian Verhounig added that the company had worked “tirelessly” to secure the necessary funding but despite a positive “forward booking position”, it could “not get the financing deal over the line”.
“…Only last year CMV was celebrating a record trading year and our first decade in cruising but the CMV journey has tragically been cut short by this unprecedented global pandemic.
“We are truly sorry to our loyal and hard-working shoreside staff and seafarers, travel trade partners and suppliers who have all patiently stood by us and to our valued passengers for the disappointment and further disruption to their cruising holiday plans.
“On behalf of the CMV family, directors and shareholders, I would like to thank everyone for their great support and sincerely apologise for these circumstances which are directly related to Covid-19 and beyond our control.”
Passengers who have booked cruise packages are protected by ATBA. “All bookings that have not taken place are cancelled,” said the administrators, Duff & Phelps Ltd, in a statement on the company’s website.
Passengers who purchased a flight-inclusive package from CMV will be ATOL protected.
