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British Airways head of UK and Ireland sales Tiffany Hall answers agents’ questions on ‘The Fresh Approach’

Q: How long will it take for agents to receive the sector payments?

A: Agents will be debited the fare, net of booking payments, in the same way as they are now debited net of commission, by the bank settlement plan. It is the same process and the timing is the same.

Q: How will credit-card costs, which are refunded by BA, be given back to the agents?

A: The money collectionpayment will be paid in arrears. Apart from the first two weeks of the scheme, all moneycollection payment is paidwithin four weeks of ticketing.

Q: What happens if you book a multi-sector ticket where a passenger travels on BA and another airline that pays commission?

A: If that itinerary is ticketed on BA paper, or the othercarrier is a Oneworld member, the BA scheme applies.Non-Oneworld carriers’ sectors attract a flat £11 bookingpayment.

Q: How can BA guarantee that all the computer systems are ready for the changes given thecomputer glitch that occurred a couple of weeks ago?

A: We have rigorously tested the systems and theirinteraction with GDSs and bank settlement plan. We have even offered test data to agents for them to use in testing their own systems.

Q: Should agents charge VAT on service charges?

A: We understand that VAT is zero rated if the service fee is ‘directly associated’ with the sale of an air ticket. Agents should look to their tradebodies for advice.

Q: How will it affectnon-International Air Transport Associationagents who do not issue BAtickets directly.

A: This is determined by the commercial relationships between the agent and theticket issuer.

Q:Are booking payments made on the flown sectors or sold sectors?

A:On sold sectors.

Q:What is BAgoing to do about refunds and will BATravel Shops charge a service fee?

A:Where a ticket is refunded, the booking payment will be reclaimed by BA for eachsector refunded. BATravel Shops will charge aservice fee for processing refunds.