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Financial protection reforms set to reach ‘critical’ phase
Tuesday, 26 Nov, 2009
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Major reforms to protect more travellers will have far reaching implications for travel businesses on the back of a shake up in financial protection legislation.
That’s the view being taken as discussion on a review of the EU’s outmoded Package Travel Directive is set to kick off the first of three separate consultations on passenger protection in the UK and Europe.
EU consumer affairs commissioner Meglena Kuneva is to introduce a consultation paper to review the Package Travel Directive, along with a consumer ‘detriment survey’ of the package travel sector, on Thursday.
The Department for Transport will consult imminently on reforms to the ATOL scheme.
A consultation document on air passenger rights, including a section on protection against airline failure, was expected to be published this week.
But ABTA understands this has now been delayed until the new European commissioner for transport has been confirmed, probably in late January.
ABTA is joining forces with key organisations within the travel industry including FTO, AITO, PSA, Advantage and Worldchoice to form a working party.
This will initially gather information and data to scope out the issues which will be addressed by the review of the Package Travel Directive.
The information gathering exercise will enable the industry to give full responses to the Commission.
ABTA chief executive Mark Tanzer said: “The next few months will be critical for the travel industry to submit their thoughts on all the issues covered by these three major consultations.
“Of course ABTA members can respond separately and directly to all the consultations if they wish, but ABTA is committed to making it as easy as possible for Members to submit opinions, so that those voices do not get lost.
“We will put together questionnaires, post them on our website, collate the answers and submit responses. These consultations are hugely important to our members and all their customers.”
Rochelle Turner, head of research for Which? Holiday, reacted by saying: “This is brilliant news for travellers.
“The Package Travel Directive was drawn up almost 20 years ago, and while useful at the time, it doesn’t go far enough to protect today’s holiday-maker.
“A significant number of people book hotels from a direct link on an airline’s website, or use online travel agents to book their own package, and are left without the peace of mind that they are protected should something go wrong.
“We are also pleased that, after years of confusion, the European Commission hopes to clarify some key parts of the Package Travel Directive, such as who is liable for service standards, and significant changes to what had originally been sold to the customer.”
by Phil Davies
Phil Davies
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