Tour operator First Choice has reported a rapid recovery in sales of holidays following the Asian tsunami which, according to the company’s estimations, cost it more than £1m.

It said the natural disaster had significantly disrupted the market in the first two weeks of January, but that sales of mainstream summer breaks had recovered and were now around 18 per cent higher than a year ago.

The First Choice Group operates eight travel brands in the UK, including the First Choice, Unijet, Sunquest, Sovereign and JWT Holidays chains.