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TTC 2011: DfT to modify Atol reform, says CAA

The Department for Transport will make changes to Atol reforms to address industry concerns about some of its proposals for the new Flight-Plus licence.

The Civil Aviation Authority (CAA) told Abta members at the association’s Travel Convention in Palma: “We expect there will be changes.”

CAA consumer protection group deputy director David Moesli said: “We do not expect wholesale changes. But we would expect some.” Abta head of legal affairs Simon Bunce described the news as “very encouraging”.

The Department for Transport (DfT) is expected to announce the final shape of reform in the next two weeks following the consultation which ended in mid-September.

There could be movement in several areas – on flight-only charter seats, agents’ liability when they add car hire to a protected package, the inclusion of pre-paid corporate travel and the timetable for implementation.

Moesli acknowledged the consultation had highlighted concerns shared by most of the sector. He said: “The trade has put forward some very solid points.”

On plans to repatriate but not refund customers who buy a seat-only charter flight, Moesli said: “It’s one a lot of people have queried. There is a consistent message from the industry and from consumer organisations. It’s one of the areas the DfT will want to look at again.”

He agreed that “as things stand” an agent who added car hire to a package holiday would require a Flight-Plus licence and become liable for the entire booking if the package tour operator failed.

Moesli said: “If the DfT carries on with [the existing situation] the Air Travel Trustees will look fairly kindly on covering the package costs . . . We need to know the DfT’s intentions. When we know, I will ensure the trustees say in black and white.”

He also acknowledged concern about the January 1 start date saying: “Some have said the timetable is not achievable. Consumer groups say it is important thing to do this properly. We’ll see whether the arguments that it will take longer to do properly hold sway.”

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