Factor in the stress
If you do go ahead, whats the most you could be awarded?
Is it worth the stress of running the action in the small claims court, the time off work, the time preparing for it, the worry about it the night before? People might think as a solicitor that I wouldnt hesitate to pursue something like this myself, but in reality, knowing the amount of preparation involved, the time spent at the case itself and the potential rewards means I'd be less likely than most to bother!
Or maybe you're a cool customer and you know you wouldnt worry at all?
I think personally you've done well to get the offer you did- small compensation though if it ruined a holiday, which can't be reduced solely to monetary terms.After all, I'm sure you looked forward to that holiday for a while. Probably like the rest of us you dont have all that much holiday time to take anyway, so when you do go away, you dont just want it to be 'ok', you want it to be great! So while I sympathise, my gut reaction would be that if you are the type of person to worry about the case at all or if it would add to your stress level ( if any!), dont do it, take the money.