Cruise with Royal Caribbean

So a bit of background as a family we have a number landmarks this year so decided to book a cruise for 3 households between the family. 
Did some shopping around and settled on the Italian Med sailing in August. 
We all paid our deposits of £150 per person and are due to settle the balance on the 20th of May. 
One household have now based upon WHO and PHE advice have decided they will not be able to go due to one of them being in the over 70’s group and the remainder of us have all but decided that it is unlikely that the itinerary will be the same and as it was supposed to be a family event that we probably won’t go either. 
We booked using cruise118 as advised by veteran cruisers. 
We had come to terms with the fact that in our T&C’s we would lose our deposit for have it back as credit to rebook at a different time and we could stomach that. The issue is today we have been contacted and they have now said that we will lose the cost of our flights also? This is just short of £300 per person which is really hard to stomach especially as we do not have actual flights allocated yet. 
Can they do this as it just seems immoral that we end up losing almost £400 per person for a holiday we aren’t going on. 

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