Serious concerns over the proposed changes to the Package Travel Directive have been outlined in a report released today.
The Civil Aviation Authority put together the report following a meeting of the "implementers and enforcers" of the directive in London in November.
In the report, a number of problem areas have been identified, including:
– universal agreement that the proposed directive would create a gap in protection for sales made direct by businesses established outside the EEA, creating potentially serious consequences for competition and consumer protection
– significant practical considerations that would mean that cross border protection would potentially fail to deliver the insolvency provisions envisaged by the Commission.
– how consumers would cope with repatriation arrangements in another country, where language barriers would make claiming a refund extremely difficult
– serious concerns over the options given to travel firms to establish themselves in the member State with the most favourable regime, irrespective of where they target their business
– how the complexity of the directive might mean that only the largest providers will be able to cope, leading to greater concentration in the protection market.
– how the directive would make sure consumers are clear when protection applies and can make informed choices when booking trips abroad.
Richard Jackson, group director for consumer protection at the CAA, said: "It’s important for consumers and businesses-alike that the revised directive continues to protect consumers effectively.
"That is why we are working closely with our colleagues across Europe to fully understand the proposals and identify any potential impact on consumer protection."
To see the full report, click here.
