Families booking breaks during school holidays are being charged sums way in excess of off-peak getaways, according to a survey.
Travel companies increase their prices by as much as 165% for the summer periods when parents are encouraged to take their children abroad, researchers have found.
But if pupils are removed from class by their parents without a school's permission they could face a fine of up to '100.
It has been reported that consumer affairs minister Gerry Sutcliffe has summoned tour operator bosses to explain the price differences, but the Department of Trade and Industry denied the suggestion the minister had ordered an inquiry into the issue, according to the Daily Mail.
The survey by the Evening Standard found holiday prices jumped by large amounts a few weeks into the school summer break which starts in July.
One firm charged '496.50 for a seven-night break in Port de Plaisance, Brittany, from June 15 for a family of two adults and two children, but this doubled to '997.50 from August 13.
A week-long holiday in Cala d'Or Park, Majorca for the same group from July 2 cost '186.30 but rose 165% to '493.55 just over a month later if they travelled on August 9.
According to the Department for Education and skills, parents can request that children miss up to 10 days of school during the academic year.
Authorised
After discussion and agreement with the school principal, this time off is known as "authorised absence".
Taking a child away for longer than 10 days a year and any absence without permission or an acceptable reason constitutes "unauthorised absence" or truancy, the DfES said.
Keith Betton, a spokesman for the Association of British Travel Agents, told the Standard: "If you look at the big travel companies' financial results, you will see that they make a loss or only a tiny profit out of season.
"If they did not charge the higher prices during the peak they would soon be out of business."

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The one thing that surprises me about this story is that there was a need for a survey to reach this conclusion. It's been a well known fact for years that travel companies see an easy target in families taking their children on holiday during the school holidays and pump up their charges. They have a captive audience and are in a win-win situation.
We have one child and therefore pay the extra to go on holiday at a time that does not interfere with his education. I really don't know how bigger families cope with the additional costs.
There is a solution - give big tour operators a miss! By booking budget flights and accommodation online, I have saved hundreds of pounds for peak summer holidays.
I realise it is wrong to take children away from school to go on holiday but parents are at odds with the schools and the greedy travel agents. How on earth anyone can afford to take a family away during August is beyond me. I would suggest everyone who possibly can, book your holidays on the internet. I am not saying that internet companies don't raise their prices but they do not raise them as much as the greedy high street travel agencies. Everyone should try and book their holidays online with a direct company and teach the high street agents a lesson. They will soon drop their prices if nobody uses them. Only direct action will work as it is certainly possible to book flights and hotels direct online because I have done it significantly cheaper.
I have just returned from a half term break in Majorca, booked on the internet. Despite what the travel companies say that they are in competion with foreign travel companies for rooms because we share the same holidays. I found that as i was at mainly German resort hotels were empty and Half board was available from B#7.00 a day. Travel companies in Britain are trying to justify the high prices with a lie, same as the flight suppliments they put on all airports bar London.