ABTA says it supports the CMA’s position on refunds after the consumer watchdog’s Covid-19 taskforce widened its probe to package holidays.
It said the CMA’s position on refunds highlights in which circumstances they expect consumers to be provided a full refund by the travel service supplier.
"We agree that time frames and terms for providing refunds should be made clear to consumers and that consumers should not be misled or pressurised.
"When customers request a cash refund for a cancelled package holiday the majority of tour operators are providing them as quickly as they are able to, which is ABTA’s expectation of its members.
"However, the long delays in getting money back from airlines and other suppliers and the sheer volume of enquiries is making it virtually impossible to do so in 14 days."
It said if an ABTA Member refuses a refund for a package holiday, it will investigate this under the association’s Code of Conduct.
ABTA has come under fire from many consumers and consumer groups for its guidance over Refund Credit Notes.
Critics have slammed ABTA’s decision to allow members who have an ATOL licence which expires on March 31 2021 to issue RCNs with the same expiry date, saying this is too long for customers to wait to get their money back.
Meanwhile, there has been further confusion because neither the CAA, nor the Government, has confirmed that these RCNs are ATOL-protected, something which ABTA consistently argues is the case.
