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Record USD7 billion airline fees attract more scrutiny from lawmakers

Thursday, 21 September 20173 min read

Airline fees rose to a record $7 billion last year with lawmakers and consumer groups calling for more transparency.

A Government Accountability Office (GAO) report said baggage and cancellation fees increased to $7.1 billion in 2016, up from $6.3 billion in 2010

While base fares are down on average customers are still getting a bad deal.

It costs more on average when paying for one checked bag on top of the base fare compared to when prices were bundled and included baggage.

The report only covers baggage and cancellation fees.

Some fees cannot be paid for at the time of booking and are often poorly explained, especially when customers book through third party sites, consumer groups say.

"Going to an airline check-in counter should not result in a last-minute shake down. It’s time for the airlines to stop run-away fees," said Sen. Bill Nelson, the top ranking Democrat on the Senate Commerce, Science and Transportation Committee, which oversees the airline industry.

Fees are ‘shrouded in secrecy and clouded in confusion, making it nearly impossible for passengers to price compare and make informed choices,’ added Sen. Richard Blumenthal.

However trade group Airlines for America says the nation’s carriers are simply offering more choice with a la carte pricing.

"US carriers offer both all-inclusive and a la carte products, as well as price points that range from first-class to budget-friendly travel ensuring that flying is affordable and accessible to all," A4A said.

"It’s quite clear our passengers are more than able to navigate the wide menu of choices that airlines offer without interference from Washington,"