Spanair bankruptcy compels careful rethink of UK traveller protection rules

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ETTA Article
The collapse of Spanair exposes the gaps in financial protection of the travelling public across the EU, according to the European Technology & Travel Services Association (ETTSA). “Online travel agencies cover customers who booked airline tickets with them as part of a package, but those who booked directly with the bankrupt airline are left in the cold,” says Christoph Klenner, Secretary General of ETTSA, which has leading online travel agencies among its members.

“The current revision of the UK Air Travel Organisers Licensing Scheme or ATOL presents a splendid opportunity to remedy this situation.” In comments to the Transport Select Committee of the UK House of Commons, ETTSA called for a level playing field for airlines and travel agencies. ETTSA pointed out that airlines do not currently have to bond against the risk of bankruptcy, while travel agencies are obliged to do so when selling packages by adding an ATOL protection charge to every booking. This cost is passed on to consumers.”… read more

Source: ETTA 1st Feb 2012

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