Timeshare resorts and owners should now get ready for substantial change from January 1st 2021. The Brexit transition period ends once the bells ring on New Year’s Eve. This post will answer the big question, What does Brexit mean for timeshare owners?
With huge concerns regarding travel within the EU, people are forgetting the bigger picture. The biggest change will be noticed in your wallets.
Brexit effect for timeshare owners
With or without the financial impact caused by the current pandemic, the Brexit trade deal agreed will certainly lower the value of the pound even further. This means that you will need more spending money on your holidays. If you are exchanging GBP for the Euro, you will be paying more for meals, excursions and souvenirs.
Flight prices are expected to rise due to an increase in taxes. The freedom of travel within the EU is no longer available and additional costs for annual visas will be required. Duty free product within airports may also rise due to products requiring import taxes for UK residents.
The European Health Insurance Card will no longer be available for UK residents when travelling within the EU. Unless you have a private health insurance policy that covers you for accidents abroad, you will need to buy additional insurance or pay huge medical bills if a visit to the hospital is required. People with ongoing health problems or those of a certain age may be required to buy additional insurance just to be able to travel by plane.
Not only will the maintenance fees increase due to the exchange rate, but due to additional insurance required for British residents, many timeshare owners will simply not be able to afford to travel. You will notice a decline in timeshare owners with many relinquishing their ownerships early by breaking their contracts. As maintenance fees are divided between its owners, the remaining owners will have to pay extra to make up the difference.
EU Directive Timeshare protection
Timeshare owners have been protected by European law which allowed owners to end their contracts early by paying a withdrawal fee. The EU Directive has helped many timeshare owners claim compensation when incorrect contracts were used or when contracts exceeded 50 years. Without this protection you could be forced into paying maintenance fees for the full length of your contract, despite your financial position or age. Unless the Prime Minister has secured the same deal, British residents who own a timeshare in an EU Country could soon be governed by the laws of the country that the timeshare was purchased.
The UK Government website can give more information on this. https://www.gov.uk/guidance/buying-a-timeshare-in-europe-from-1-january-2021
If you would like some advice regarding exiting your timeshare, Timeshare Claims Advice are offering a free telephone consultation for all European timeshare owners. Due to the demand in timeshare owners wanting to relinquish their timeshares or submit a claim for compensation, consultations are limited to one per timeshare owner. To take advantage of this time, please write down a list of questions and have all documented owners present.
To find out if you are currently eligible to claim compensation, use our simple online claims calculator.