Jet2.com and Jet2holidays has put all imminent departures to the flood-hit Skiathos on hold.
The airline and operator has cancelled all flights and holidays to the island departing up to and on Tuesday 12 September.
It follows the passage of Storm Daniel across southern Europe and the Mediterranean, which has over the past 48 hours brought high winds and torrential rains, causing flash flooding.
Jet2 on Wednesday (6 September) confirmed all flights to the island on Tuesday (5 September) had been cancelled, as well as the five that had been due to depart on Wednesday (6 September).
However, it has now taken the step to put its entire Skiathos on operation for the best part of a week.
It said the decision, made in "extraordinary circumstances" and confirmed at around 5pm on Wednesday, had been made with "customers’ best interests in mind".
"As well as providing certainty for our customers, we believe this is the right thing to do in terms of allowing the island and its population to quickly return to normal following this week’s events," said a Jet2.com and Jet2holidays spokesperson.
It comes after hoteliers in Skiathos spoke on Wednesday of the impact the storm had had on the island, although they were insistent the island’s tourism industry was operational and ready to welcome guests.
Jet2 said it would be contacting affected customers with their refund and rebooking options. The firm will also continue to operate its scheduled flight programme to Skiathos with no customers on board to ensure aircraft are available to bring affected customers back to the UK.
"We will review this flying programme closely and may put on additional aircraft to fly customers home if required," said the Jet2 spokesperson.
The airline and operator will also fly all customers affected by earlier cancellations back to the UK, and will contact them directly to advise them on their arrangements.
The spokesperson added: "We are continuing to closely monitor the situation on the island and have been in touch with customers in resort to advise them of the situation, and to ask them to follow the advice of the local authorities as well as their hoteliers. In addition, our in-resort teams are working tirelessly to visit and look after customers despite infrastructure challenges caused by the weather.
"We recognise that this is an extremely difficult and unpleasant experience for our customers, and we of course are extremely sorry to hear this. Although extraordinary events such as these are completely outside of our control, our absolute focus is on doing everything we can to look after everyone."
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