A Complete History of P&O Australia

As we bid farewell to Australia’s beloved cruise line, P&O Australia, Cruise Passenger looks back at some iconic P&O moments over the years.

The history of P&O Australia is almost a history of the country it served. From transporting immigrants and fighting wars to offering family fun and very Aussie holidays, P&O Australia has a rich history. Embrace the nostalgia as we take you through P&O’s journey Down Under.


1852: P&O’s Connection to Australia Begins

1852 marks the very start of P&O’s link to Australia. The P&O brand originated in Britain in 1837, as the Peninsular and Oriental Steam Navigation Company. The company’s involvement with Australia began in 1852, when they won the contract to transport mail to and from Australia in 1852.

P&O Cruise Line posters
Left: P&O Royal Mail Liners to Tasmania. Credit: Reproduced courtesy of Lynne Norton and P&O Heritage ANMM Collection, Right: P&O Royal Mail Liners the Australasian Pictorial Annual. Credit: ANMM Collection

1932: The Inaugural Cruise sold in one day!

On the 23 December, 1932, P&O launched its inaugural cruise from Sydney, marking one of the most pivotal moments in the history of Australian cruising. Stopping at Brisbane and Norfolk island, the Strathaird introduced a new standard of extravagance to Australian cruising, with eight passenger decks to accomodate its 1,168 guests.

This cruise sold out in one day, showing the potential of the Australian cruise market as well as the local’s eagerness to embrace cruise holidays.

Children swim on a P&O ship, part of the history of P&O Australia
Reproduced courtesy of P&O Heritage ANMM Collection

1945- 1972: Over 1 million 10 Pound Poms

From 1945 to 1972, P&O ships such as the SS Canberra, SS Arcadia and the SS Oriana transported ten-pound Poms from the the UK to Australia. Ten-pound Poms were British citizens who migrated to Australia and New Zealand after World War Two, as part of a scheme to boost Australia’s population and build up their workforce.

The term ‘ten pound Pom’ refers to the £10 cost in processing fees to migrate to Australia, equivalent to about £550 or $1100 in today’s economy. Children travelled free of charge.

P&O played a crucial role in Australia’s post-World War Two history by facilitating these life-changing journeys. The carried over a million UK migrants to Australia, ensuring their safety and well-being as they embarked on the journey to begin their new lives.

A P&O Luggage Label
A P&O Luggage Label. Credit: ANMM Collection

1950s onwards: Sea vs Air

By 1957, airlines had replaced ocean liners as the preferred means of crossing the Atlantic. P&O could not rely on marketing itself exclusively as a mode of transport. It was time to elevate guest’s experiences onboard.

P&O rebranded itself as a budget-friendly cruise line, aimed for those after a fun and exciting holiday. No longer solely focused on travel, the ship itself became the destination.

the legs of some people sunbathing and a P&O bag
Photograph depicting the legs of some people sunbathing and a P&O bag. Credit: Reproduced courtesy of P&O Heritage ANMM Collection

1982: The Falklands War

World War II marked the pausing of cruising as ships were commandeered to carry troops.

SS Canberra served as a troopship in the 1982 Falklands War. Her captain, Dennis Scott-Masson, was operating a cruise in the Mediterranean when he was sent a message asking him the time of his arrival in Gibraltar. The ship was not scheduled to stop there, however when he reached the port he was told that the Ministry of Defence had requisitioned Canberra to use as a troopship. She was sailed to the UK, quickly refitted and sent to the South Atlantic on 9 April.

Canberra was vital in transporting the UK’s commando force to the islands. She was nicknamed the Great White Whale, thanks to her size and colour. Her bright white exterior helped to evade attack, as the Argentinian airforce believed her to be a hospital ship, due to her white paint.

After the war, Canberra returned to civilian service and continued as a cruise ship. She was particularly popular with British tourists thanks to her role in the Falklands War, causing an influx in ticket sales for many years.

This ship Canberra returns from the Falklands War
P&O liner Canberra returning from the Falklands War. Credit: ANMM Collection

1988- 1997: The Fairsta, first ships based in Australia

P&O Cruises’ first ship permanently based in Australia was the TSS Fairstar. The P&O Group bought Sitmar Cruises in 1988 for $210 million, acquiring the Fairstar as part of their fleet.

She held a special place in the hearts of many Australians, becoming the go-to ship for family cruises. She was affectionately known as the “fun ship” and gave many Australian families their first-ever cruise experience.

Historian Chris Frame credits the purchase of Sitmar cruises as the pivotal change in establishing the Aussie cruise experience:

“The real shift happened when P&O bought Sitmar cruises and the Fairstar. Fairstar became the fun ship. She was cheap and cheerful and would do holidays to the South Pacific”.

She is often credited for helping cruises become a mainstream holiday option in Australia. She was part of the P&O fleet for nine years. When it was announced that her final voyage would take place on 21 January 1997, tickets for the farewell cruise sold out within hours.

Fairstar had a mournful send-off, with a traditional long white pennant flying from her mainmast on her final return to Sydney. The name “RIPA” was then painted on her bow, which many took as meaning “Rest in Peace Always”. The memory of Fairstar reflects the beginning of Australia’s connection with the P&O cruise line.

Posters detailing the fairstar ship
Left: Brochure titled: Fairstar Holiday at sea. Right: The Sitmar Cruises TSS Fairstar Welcome Gala dinner menu. Credit for both images: ANMM Collection

2000: P&O Australia

Various changes occurred in the organisation of P&O group in the late eighties, and the company decided to separate its cruise ship operations from the rest of the business. P&O Cruises’ Australian operations formed their own company, marking the beginning of P&O Cruises Australia as a separate cruise line.

A rendering of 5 p&o ships
A rendering of 5 P&O Australia ships: Pacific Jewel, Pacific Eden, Pacific Dawn, Pacific Aria and Pacific Pearl.

2003: Merging with Carnival Corporation & plc

In April 2003, P&O Princess Cruises merged with Carnival Corporation to form Carnival Corporation & plc. With a collection of 11 cruise lines (including P&O Cruises Australia), this became the world’s largest cruise company.

P&O Cruises Australia operated beloved ships such as Pacific Sky, Pacific Star and Pacific Jewel. Pacific Sky carried 275,000 passengers on 200 cruises between 2000 and 2006.

Carnival's Dawn princess
Carnival’s Dawn Princess, before she became Pacific Explorer

2004-2015: Expanding the Fleet

The demand for cruising in Australia was strong, and P&O’s fleet expanded from 2004 to 2010 to include Pacific Sun, Pacific Dawn, Pacific Jewel and Pacific Pearl.

Pacific Dawn alone carried nearly 1.2 million Australians on cruises between 2007 and 2020.

In November 2015, the cruise line unveiled a further two new ships – Pacific Eden and Pacific Aria, to join their fleet. To celebrate, 5 ships sailed in a ‘V’ formation, before heading single file into Sydney Harbour, taking their positions for an afternoon of entertainment.

a ship goes into sydney harbour
‘We’re Home’ is displayed on the front of a P&O ship as it sails into Sydney Harbour.

2023: 90 Years of P&O Australia

In 2023, P&O Cruises celebrated 90 years of cruising in Australia. Working alongside Australian Maritime Historians, they showcased a display aboard the three ships of the fleet (Pacific Explorer, Pacific Adventure and Pacific Encounter) detailing P&O Australia’s incredible history.

birthday party on a cruise ship
Cruise Passenger went to the 90th Birthday celebration of P&O Australia, aboard Pacific Adventure

2025: Farewell P&O Australia

In June 2024, Carnival Corporation announced that it would be phasing out the P&O Cruises Australia brand and integrating its operations into Carnival Cruise Line.

Pacific Adventure and Pacific Encounter will join the Carnival Fleet as Carnival Adventure and Carnival Encounter. Their sister ship Pacific Explorer was sold to Resorts World Cruises.

Many Australians are sad to see the cruise line go. It was known for its distinctly Aussie character, specifically its relaxed and unpolished atmosphere. As Ryan Taibel, formerly Vice President Sales and Partnerships at Carnival Cruise Lines described, this loss feels like “the slow and steady Americanisation of Aussie culture.”

crew members wrap up the red flag of P&O
Members of the crew of Pacific Encounter take down the Red Ensign flag for the last time as the ship is transferred from British registry. The Red Ensign (or “Red Duster”) is a flag that originated in the early 17th century as a British ensign flown by the Royal Navy.

Featured Image from left to right: A man plays golf. Credit: Reproduced courtesy of P&O Heritage ANMM Collection. P&O Cruise on Oriana April 1979, Credit: Judy Powell. A P&O Luggage Label. Credit: ANMM Collection

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11 thoughts on “A Complete History of P&O Australia”

  1. Used to work in head office in Sydney, and was there to see the fairstars send off. I have done so many cruises with P&O. So sad to see it go.

  2. Carnival don’t reconize past cruises with their sister companies PO,Princess,Cunard,Holland?

  3. This is our reminiscences of 10 plus years of cruising to PNG and being invited on the last cruise of the Pacific Encounter to PNG in February 2025.
    We have been making presentations on cruise ships for longer than that.
    We put together a special presentation which we had videoed and we’ve posted it on YouTube.
    If you are looking to wend away an hour make a cuppa and reminisce with us.

    https://youtu.be/MYN26f06ltc

    Cheers Morag and John Hocknull OAM ML

  4. Heartbreaking to see P&O go. Every thing is too Americanised now, so loud and brash, horrible.

  5. We are booked for our next Cruise in August 2025. Instead of P&O it will be on Carnival Encounter looking forward to see what has changed

  6. Very sad day no Moore fantastic cruises with p@o australia.i have traveled the world on cruises none can compare with p@o australia.what a huge loss to Australia.i started off on the fairstar.your company will always be part of me.

  7. A wonderful company p@o very very sad to see it go .I had the best times of my life with p@o
    Will always be remembered

  8. You left out every year the cost cutters came in and made everything a paid extra

  9. I just finish my 54th cruise with p&0 and my downsydrome sister has just done her 155th cruise most with p&0 I took over mums job of taking her she loves them so sad to see p&0 go feeling nervous about doing another cruise company and so wish they would come back to Melbourne.

  10. Very sad lose for our maritime history we don’t want to become American culture but sadly Carnival is on its way to ruining Cunard as well but they have the money and unfortunately we don’t.

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