The company said clients would pay a low deposit when making a booking, with the remaining balance to be collected in monthly instalments.

The scheme is being provided in partnership with direct debit provider GoCardless. Cook said the move would enable it to become “one of the first tour operators to offer an interest-free payment plan, with zero fees”.

Emma Davis, head of digital product for search to book at Thomas Cook, said: “We know that for many of our customers, a holiday is their biggest spend of the year, and we are always looking for ways to help them pay. By partnering with GoCardless we’re offering our customers an easy, fee-free way to spread the cost of their holiday whilst securing upfront at minimal cost.

“From being the first company to issue a travellers cheque back in 1874, Thomas Cook is again leading the way, with a fully online, flexible direct debit offering," she added.