Thomas Cook has signed a strategic alliance with online travel giant Expedia.

The deal sees Expedia become the preferred hotel provider for Thomas Cook's city and domestic holiday business.

Expedia will also provide its booking platform to support all city break and hotel-only sales across Thomas Cook distribution channels in Europe, including its website, stores and contact centres.

Thomas Cook said the agreement will enable it to 'significantly reduce the cost and complexity of its city breaks and hotel-only business'.

Up to 200 Thomas Cook staff across Europe will lose their jobs as a result of the move and consultation has already begun.

The deal will also allow Thomas Cook to sell its core sun and beach package holidays on Expedia sites globally, broadening its distribution reach.

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Courtesy of Travelmole