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Agents consider service fees in response to BA proposals


AGENTS have started talks with British Airways over the airline’s decision to axe commission next year, amid fears that many will be worse off under the new deal.



ARTAC Worldchoice commercial director Julian Foster said:”We are very concerned and unhappy at BA’s proposals, which as they stand will mean that agents will lose a very substantial amount of money.If the £5 and £15 payments which have been banded about were implemented I would be significantly worse off.”



Foster added: “We are not against charging management fees but my fear is we would have to charge a significant management fee to bring our payment to where it should be.”



Going Places managing director Terry Fisher said: “We are in delicate negotiations with BA and we are hopeful that we can come to an arrangement whereby we will not be worse off.”



However, sources said Going Places would reluctantly charge service fees to customers if necessary.



Advantage Travel Centres commercial director Neil Armorgie said: “Whatever BA decides it is difficult to see it covering the cost of sale for agents. It is up to individual members but our advice would be to charge service fees on BA transactions.



“Some agents may fear a charge could lose them the loyalty of a customer who would otherwise have booked a £2,500 summer holiday to the Caribbean. That is a judgment the agent will have to make.”



But St Andrews Travel managing director Andrew Dickson claimed that agents who rarely book first class or Concorde tickets could actually earn more money under the new BAscheme. He said:”We will get a minimum payment and a commission for collecting the money.



“Most of the tickets I sell are less than £600 so I am not necessarily going to be any worse off. Travel agents have got to give BA the opportunity of coming up with a formal deal.”



n See Letters, page 10, Columnists,page 13 and American Airlines move, back page


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