First Choice to add £5 levy in 2002 brochure

New clause to cover post-September 11 costs

First Choice to add £5 levy in 2002 brochure

Report by LIZBIRDand JULIETDENNIS

Blastland: nervous about the scale of the disruption

First Choice is introducing a £5 per person levy in its third-edition summer 2002 brochures due to a sharp increase in aviation insurance and security costs following the September 11 terrorist attacks.

The move follows ABTA’s request to the Government to change the current rules on surcharging in the Package Travel Regulations. It wants to get rid of the rule that requires operators to absorb the first 2% of any increased costs and allow members to impose surcharges up to 20 days before departure, rather than the current 30 days.

Most ABTA operators are expected to insert a new clause in their brochures which says they may have to impose surcharges if their costs increase.

First Choice managing director of UK businesses Dermot Blastland said before September 11 it was easier for operators to estimate costs for items such as fuel. “The 2% rule was never meant to cope with the current environment. We’re nervous about the scale of the disruption,” he said.

Details of the £5 levy will appear on each price panel in First Choice’s new brochures. The same levy has been introduced for flight-only bookings.

Airtours is also expected to introduce a supplement at the time of booking a holiday to cover the extra costs of airport security and insurance but is not yet sure how much it will be.

Airtours head of legal services Andrew Cooper said it would also introduce a surcharge clause. “It is not something we want to do, it is because of the sheer uncertainty in the marketplace.”

Thomson holiday service director John de Vial said it had not made a final decision on introducing a supplement or inserting a surcharge clause.

He said the operator had considered incorporating the extra costs in its brochure price but then it would be penalising every holidaymaker when it may not be necessary. “The increased costs might turn out to be very different for someone going on holiday next May than next October,” he said.