To add to the worries of the UK Thomas Cook has issued warning about poor UK economy stating that the country will see profits which is way lesser than expectations.  

It said that the country’s travel and tour business had been affected by chaos originating from volcanic ash cloud from Iceland and holiday bookings are being made postponed for later times.  

The group chief executive of Thomas Cook, Manny Fontenla Novoa stated that apart from Belgians every other Europeans, especially British customers were not at all confident about their future in Europe. According to him Holiday market of the UK in 2011 will be as bad as 2010.  

Manny added saying though confidence level are growing amongst other European nations like Holland, France, Germany and northern Europe still it is not visible in the UK.  

Tui Travel, which runs Thomson Holidays and considered as the biggest rival of Thomas Cook, one day earlier had issued a similar warning regarding profit earnings.  

According to Fontenla-Novoa, Had Thomas Cook not reduced its capacity for 2010’s summer and winter holidays the travel market would have shattered.  

Companies all across the consumer sector ranging from baker Greggs to fashion chain Next have issued warning about low consumer confidence of the current month.  

To ad to the anxieties of the country, the Bank of England declared yesterday that UK will see a slower growth in its economy than earlier forecasted figure in the year of 2011.  

According to Montenla-Novoa, following the devastating impact of volcanic ash cloud that happened in mid May Thomas Cook could not recover its British business until the month of August.  

According to Mr. Fontenla-Novoa the company will probably see a full-year earnings amounting to Four Hundred and Four to Four Hundred and Five million pounds instead of the predicted amount of Four Hundred and Fifteen million pounds.