Be great if they could come up with a fair solution.

We rarely book package holidays, so book the 2 main elements ourselves, flight & accommodation. Most of the large chains allow free cancellation up to 24hrs before arrival. It's the flights for us that's the problem if we needed to cancel, as we only do short haul, budget airlines.

Last minute cancellation for flights I can understand but if its weeks or months in advance, then the customers loose out.