Abta chief executive Mark Tanzer has defended the association against criticism of its role in pushing Refund Credit Notes as an alternative to cash refunds for cancelled holidays, insisting “We’ve shown leadership”.
Speaking in the latest Travel Weekly Webcast, Tanzer acknowledged trust in Abta’s brand “will have been dented” but insisted: “I’m confident we can rebuild it.”
He said: “It would have been wrong to have abstained from this and said ‘It’s all too difficult. Let’s leave customers and members to a free for all’. It would not have been right to say to members, ‘You have to pay refunds in 14 days’ when they can’t or to say to customers, ‘We’re sorry, you’re on your own.’
“We stepped in to fill a gap and bring order to deferred refunds. That was the right thing to do.”
Tanzer suggested Abta could not have reacted quicker to the challenge posed by package travel refunds during the Covid-19 crisis.
He said: “As soon as the travel advice changed we saw this was going to create a massive cancellation crisis. We were quickly into talk to the government to say companies were not going to be able to make the 14-day repayment deadline.”
Tanzer argued: “The whole point of the refund credit note is it preserves the right to a cash refund. The path we’ve chosen is in the best interests of customers and companies.
“We knew we were going to be buffeted from both sides. But we felt this was the best solution given the pain all around. Nothing has changed my mind. It’s not a position we want to be in, [but] I can’t see what else we would have done. I think we’ve shown leadership.”
He insisted: “If members are miscommunicating [on refunds], we’ll take action. We have not hidden from this. It’s a difficult message. My correspondence is full of people who are angry and feel Abta has betrayed them because we’re not forcing companies to give a refund in 14 days.”