Tradewind Voyages has scrapped voyages until October as it continues “to realign its business and financing restructure” after sanctions were imposed on its major lender, Russian-headquartered bank VTB Germany.

The tall-ship line suspended cruise sales last month and warned the trade and passengers that cruise cancellations were “expected”.

DIV Group – Tradewind’s owners – and the line confirmed at the time that they were taking financial advice after sanctions were placed on VTB Germany.

In a letter sent on Monday (July 25), Tradewind wrote: “We have taken the difficult decision to cancel our current voyages till October, as we work through the company financial restructure.

“We can appreciate our guests’ disappointment regarding the voyage cancellations, a decision that has not been taken lightly, but required at this time.”

The notice has also been posted on Tradewind’s website.

Affected passengers will automatically be issued a refund from Tradewind’s trust account, said the line, which added that “no further action was required” from customers.

“We continue to work with our trust account during this time to ensure a smooth and timely process is in place for guest refunds,” it said.

“We sincerely apologise to all our guests for any inconvenience this decision may cause.”

The line has been hit by a series of setbacks including choosing to scrap its 2021-22 winter season over concerns about Covid restrictions in the Caribbean and maiden vessel Golden Horizon being ‘arrested’ in Dover following a financial dispute.