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low-cost carries hit out at compensation

LOW-COST airlines are lobbying hard against European Union
plans to hand passengers £250 compensation for cancelled or delayed flights.

Initial approval was passed in Strasbourg last week to hand
passengers compensation for cancelled or delayed flights of up to £250 for
short-haul flights or £380 for long-haul, plus the offer of a refund or an
alternative ticket.

The budget carriers fear such a move will force ticket
prices to rocket and could ultimately push airlines out of business.

EasyJet, Ryanair, Buzz and Virgin Express have joined forces
to battle the legislation. An EasyJet spokeswoman said: “We believe
compensation should by a percentage of the airfare paid. The current proposals
are ridiculous.” 

The proposals are now waiting to be ratified by national
governments after been given the green light by Euro MPs last week and should
be in place next year.

MyTravelLite managing director Tim Jeans said: “The people
who will end up getting hurt are the passengers because airlines will increase
their prices.”

 

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