THE Civil Aviation Authority’s new definition of
what constitutes a package will leave the way clear for agents to
continue split contracting, Travel Weekly can reveal.
The long-awaited guidelines, developed over the last year in
consultation with the trade, legal experts and the Department of
Trade and Industry, had been expected to clear up a loophole that
allows unbonded packages to be sold if a client requests a specific
flight and accommodation.
Instead, the guidance will leave the current two-tier system in
place. CAA bosses are believed to have privately admitted they
cannot go further without a change in the law.
Travel Weekly has obtained an early draft of the guidance notes
to be unveiled next week. While setting out in plain English
existing rules on when arrangements do and do not require an ATOL,
the CAA has not found a way around the problem that has dogged the
industry. As before, the CAA has ruled a package has not been
created when the agent offers ‘no advice’ to the
client; when a customer books both flights and accommodation
through an agent but pays for the hotel direct at the end of the
stay; and when flight and accommodation are bought at separate
times.
A CAA spokesman said the guidance ‘may change’
before its publication, and urged the trade to suspend judgement
until it sees the final version.