If you book the foreign hotel with a credit card you have protection.
A last-minute discounted package can be great value; otherwise probably best avoided IMO. I've only ever done two package holidays, to go skiing. To book flights and a privately owned chalet now for next season is considerably cheaper than a TO package.
However, to book within five to ten days of departure, DIY flights will be far more expensive than the TO package - and if you can find one discounted 50% or more then it's bargain territory.
Going on a summer package holiday to a hotel full of Brits I'm afraid I'd rather shoot myself.
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