Government ditches plans to give flyers compensation for delays
Proposals that would have entitled passengers to claim compensation for delayed flights have been scrapped from initial consumer protection reforms, the government has confirmed.
The proposals would have enabled passengers to claim compensation on domestic flights that arrived over an hour late.
But the Department for Transport (DfT) confirmed today that it would need to “undertake further work,” before the rules could be changed.
Former transport secretary Grant Shapps had previously made plans to scrap European Union (EU) rules allowing passengers to claim £220 payouts for delays greater than three hours, but nothing for any less.
The government had previously intended on replacing this system with one that linked compensation payouts to the cost of travel – as opposed to the EU’s three hour threshold – thereby allowing passengers to claim some return on flights delayed between one to three hours.
However, it said today it would undertake further work on compensation following feedback.
The announcement that the government would drop these plans came as part of host of new proposals published today, which aim to introduce stricter punishments for airlines’ poor service.
Under the new plans the Civil Aviation Authority (CAA) can now issue fines for breaches of consumer law.
Airlines will also be required to opt into the Alternative Dispute Resolution (ADR) scheme, which gives consumers a means to escalate certain complaints that cannot be settled between them and the carrier, without the need to go to court.
The scheme has been widely supported by consumer groups, but airlines had previously been able to choose whether or not to opt in.
Transport Secretary Mark Harper said: “I recognise the work airlines do around the clock in order to provide a good service to customers and today’s proposals set out how we can go even further for travellers.
“A thriving aviation sector is good for passengers, good for the industry and will grow the economy.”
Paul Smith, joint-interim chief executive at the UK Civil Aviation Authority, said “we welcome the announcement from government today to enhance the rights of air passengers, alongside strengthening the enforcement powers of the Civil Aviation Authority and making ADR mandatory.”
“We encourage UK airlines to adopt the proposals immediately for all flights, not just domestic flights, in advance of legislation being introduced,” he added.
“In addition, ADR provides an essential service to allow passengers to escalate a complaint. Many airlines already provide this option to passengers on a voluntary basis, but some do not. We encourage all airlines who don’t already to introduce this immediately,” he said.
Rocio Concha, director of policy and advocacy at the consumer advocacy group Which?, welcomed the news, decrying years of “law-breaking” by airlines in the sector.
“Which? has led the campaign for much needed reforms in the travel sector, including fining powers for the Civil Aviation Authority and a mandatory dispute resolution system to ensure travellers can resolve complaints easily without the need to escalate them to the small claims court.”
Concha added: “The Prime Minister must now show he is on the side of passengers and urgently set out legislation to make these increased powers for the CAA a reality – ensuring the regulator has the power to fine airlines directly when they flout the law.”