Industry welcomes delay to ATOL certificates

The travel industry has welcomed the delay to the introduction of ATOL certificates until 1 October to give agents and operators more time to prepare.

Aviation minister Theresa Villiers made the long awaited announcement today that the new ATOL scheme would come into force from 30 April, see previous story.

This means "Flight-Plus" holidays – those that look like package holidays but are sold in a way which currently falls outside the scheme – sold by tour operators and travel agents will be included in the scheme.

However, the introduction of new certificates at point of purchase so customers know their trip is protected will be put back until 1 October – a move welcomed by ABTA.

ABTA, TUI Travel and Thomas Cook also called for the Government to include holidays sold by airlines and those arranged on an ‘agent for the consumer’ basis to be included in order for everyone to be on a level playing field.

The Government said that the new Civil Aviation Bill, which is going through Parliament, would enable the Secretary of State to make further changes to the ATOL scheme.  

This may lead to the inclusion of holidays sold by airlines, which are currently exempt from the scheme, as well as the power to bring holidays arranged on an ‘agent for the consumer’ basis to be brought into the scheme.

Mark Tanzer, ABTA Chief Executive said:"The package of reforms announced today – most notably the extension of protection to include ‘Flight Plus’ holidays – mark a significant first step to improving a system that is outdated, unfair and confusing; we consider the inclusion of holidays sold by airlines an essential second step.

"While we are pleased the Government acknowledged the need to include these today, we urge them to act swiftly to introduce the necessary legislation to make this happen."

The Civil Aviation Authority is producing a package of information to help agents and operators on the back of the announcement that ATOL changes will come into force by 30 April.

The CAA said it will be speaking at various events and offering guidance to the trade as the scheme gears up to implementation.

Agents and operators will be able to give feedback and the details of how the scheme will be adopted will be finalised just ahead of the April deadline.

ABTA said following today’s announcement it will publish full written guidance on the reforms. To see what ABTA recommends to prepare, click  here.