Ryanair’s compliance with inclusive-pricing rules has to be welcome. The Office of Fair Trading (OFT) says the airline has increased “the clarity and transparency of its website”.
The Advertising Standards Authority (ASA), which referred Ryanair to the OFT, says it is happy with the outcome and a check of Ryanair.com and call for clarification suggests all is in order. It is of no consequence that Ryanair describes the changes as minor. If it complies with the rules, that is enough.
But consider that it took the OFT 15 months to report progress on the ASA’s referral, and that this is the latest instalment in a process extending back to February 2007, when the OFT announced action against travel firms misleading consumers with prices that exclude unavoidable charges.
Three things have happened in the meantime. First, Ryanair has enjoyed a considerable period during which its rivals complied with OFT rules and it did not – bringing untold benefits when consumers compared prices.
Second, Ryanair has led the way in stripping fares of ‘optional extras’ such as airport check-in. It argues a £5 card fee is ‘optional’ because a purchase with a single type of card, for a limited period, costs nothing – or that £5 for online check-in is optional because purchasers of promotional fares do not pay it.
Third, we have entered the worst downturn in airline history, with Ryanair’s Michael O’Leary happy to drive weaker rivals out of business.
ABTA has enforced its code of conduct so members do not face “unfair prices” from trade competitors. But the situation remains deeply unsatisfactory for consumers. Market research firm Continental Research suggests there is as much price confusion as ever and growing dissatisfaction at added charges.
So perhaps it is as well European Commission (EC) regulations on fares were tightened last September and will pass enforcement on pricing to the Civil Aviation Authority once incorporated in UK law.
Whether that leads to greater clarity is another matter. The EC appears minded to make zero check-in baggage the default position for online fares, meaning every airline could soon be adding luggage charges.
- Has the OFT done enough? Have your say on travelhub