Abta expects the Office of Fair Trading to take action against Ryanair and other airlines flouting the need to include taxes and charges in headline fares.
Ryanair has defied an OFT instruction to include all non-optional extras in online prices, arguing it lies outside the OFT’s jurisdiction (Travel Weekly, May 25).
An Abta spokesman insisted: “The OFT has said it will act and we have no reason to believe it won’t.”
Abta is enforcing its code of conduct on inclusive pricing following a pact with the OFT and has written to 12 tour operators it has found in breach. The spokesman said: “We will keep our side of the bargain and expect the OFT to do the same.”
The OFT rejected the claim that it has no powers over Irish-based Ryanair. An OFT spokesman said: “The upfront price must be the price you pay if advertising targets consumers in the UK. We are reviewing websites to ensure compliance and intend to take action.”
A company that fails to give a written undertaking to comply with OFT instructions could face a court order. Failure to comply with that could result in an injunction or fine.
The OFT refused to say whether it has contacted Ryanair, but its response will prove the acid test on inclusive pricing for Abta members. Abta said it will review its
enforcement policy if airlines are not brought into line.
Separately, Abta confirmed tour operators providing prices to third-party agencies must include taxes and charges.
Directline Holidays sales director Matthew Flint has complained to Thomas Cook about the practice and said: “We want the real price the consumer pays.”
Thomas Cook said it had informed Abta of “any minor technical hitches that need to be addressed”.