Holidaymakers are being offered cut-price package deals to the Greek islands following a drop in bookings to the country of about 20 per cent.
Travel companies believe Greece is proving less popular this year due to a cost of living increase following the introduction of the euro, together with a fear that the country will be prohibitively expensive and overcrowded during the Olympic Games in August.
Thomson is offering seven nights\' self-catering in May, departing from various British airports, to Corfu, Halkidiki , Crete, Kos, Rhodes, Thassos and Skiathos for £129 per person, based on two sharing.
Sunvil has a variety of packages to Greek islands from Gatwick and Manchester from £289 (reduced from £460) per person for a week, based on two sharing, or £369 (reduced from £563) per person for a fortnight, based on two sharing, in May and June.
Peak-season bargains to resorts during July and August will not be available until closer to departure, but they too are likely to reflect the islands\' declining appeal.
Dudley der Parthog , director of Greece specialist Sunvil Holidays, said: \"It is not as cheap as it used to be to eat and drink on the mainland or the islands and Greece is losing out to places like Croatia. There are lots of deals at the moment.\"
He added: \"At the other end of the scale, hotel prices in Athens during the Olympics are very expensive - with average room prices at about £475 a night. It is almost embarrassing to quote the price. The rest of the country is not charging a premium during that time.\'\'