ABTA confused by new guidance issued by CAA

ABTA is concerned at suggestions by the Civil Aviation Authority that ATOL-holders who also sell non-licensed travel arrangements should not use the ATOL Protected logo on their websites.

New guidance issued by the CAA and the Office of Fair Trading today specifically warn companies against making generic protection statement s where not all services are protected.

ABTA said this appears to suggest that travel agencies should not use the logo unless everything they sell is ATOL protected.

However, the majority of ATOL holders also sell non-licensed product and yet they are obliged by the CAA to display the ‘ATOL Protected’ logo in order to legally sell flight-plus packages.

ABTA head of legal and member services Simon Bunce said: This contradiction needs clarification and we will take this up again with the OFT and CAA."

On issuing new guidance for travel companies today, the CAA and OFT said they would be reviewing travel companies’ websites and promotional material to make sure they are complying with the regulations.

Travel companies must provide consumers with clear, transparent and timely information when advertising and selling flights and holidays, they said.

The guidance is aimed at airlines, price comparison websites, travel agents and tour operators, and is designed to make sure the travel industry is fully aware of its responsibilities under existing consumer legislation.

ABTA said some of the guidelines around information provision may prove technically difficult for travel companies with smartphone and iPad apps due to screen size limitations, but it said: "We are sure the OFT and CAA will take a sensible approach reflecting the actual impact on consumers."

The guidance document includes reminders to the travel industry that:

All unavoidable and foreseeable charges for flights must be included in the headline price – this includes taxes, fees and any other mandatory charges such as a booking fee.

Information on optional extras such as baggage and seat selection charges must be clearly available from the first stage of the booking process.

Consumers must be free to choose these optional extras – they cannot be pre-selected.

The name of the airline travellers will be flying with must be displayed from the start of the booking process.

Information on the financial protection arrangements for the booking and other key information must be made clear to consumers.

Terms and conditions relating to a booking must be clearly available and easy to understand

Iain Osborne, CAA group director for regulatory policy, said: "Consumers should be able to make informed choices when booking their holidays – based on clear and transparent information provided by their travel company.

"In most cases, travel companies are providing information in this way and people can select the flights and holidays that best suit their needs.

"But to make sure no-one is misled about what they are buying in the future, we have worked with the OFT to produce this guidance and ensure the travel industry is fully aware of its legal obligations to consumers."

Cavendish Elithorn, senior director of the OFT’s Goods and Consumer group, said: "Booking a holiday should be simple. People should be able to make a clear choice and should not be surprised by hidden charges or conditions after they have booked or arrived at their resort or destination. Our guidance makes life easier for consumers by leaving the travel industry in no doubt about its responsibilities."

Publication of the guidance follows a 10-week consultation, during which the travel industry had the opportunity to provide feedback on the proposed document. The OFT and CAA amended the guidance to reflect the views received, and two versions of the guidance are now available: an in-depth guidance document and a shorter version for quick reference.