The government has brought forward draft legislation that could bring airline-holiday sales into the Atol consumer protection regime and will decide in December whether to proceed.
The Department for Transport (DfT) published the draft Civil Aviation Bill yesterday ahead of schedule, saying “an opportunity has arisen to introduce it earlier – most likely early next year”.
The draft legislation notes: “It is possible the scope of the Bill may be extended. One area which could be included is the reform of the Air Travel Organisers’ Licence (Atol).”
A DfT spokesman said: “The Bill should be presented to Parliament early in the New Year.” He said clauses on Atol protection of holidays sold by airlines would need to be added before then.
Parliament rises on December 20 and the spokesman confirmed: “There will be a decision before the end of the year on what we are doing about Atol.”
Abta welcomed the announcement. Chief executive Mark Tanzer said: “We have long called for the inclusion of holiday sales by airlines within the Atol scheme. We now need a clear commitment from the DfT.”
He added: “We are encouraged that the government has brought forward the timing of this draft Bill.”
The Civil Aviation Bill is aimed primarily at clarifying and extending the role of the Civil Aviation Authority (CAA) in regulating airports.
It would give the CAA a prime duty to promote the interests of passengers – as opposed to the interests of all airport users, including airlines – set airport performance measures and impose penalties for poor performance.
The Bill would also transfer the monitoring and enforcement of airport security to the CAA. Airlines welcomed the Bill’s publication, without noting the potential change to Atol regulations.
EasyJet chief executive Carolyn McCall said: “EasyJet strongly supports these reforms, which put the passenger at the heart of aviation policy.
“We are particularly pleased that, following easyJet and other airlines’ lobbying, a right of appeal has been given to airlines in the process of setting charges at regulated airports.
“We also welcome the additional powers available to the CAA. EasyJet looks forward to supporting the bill going through Parliament.”
A Virgin Atlantic spokesman said: “Reform is long overdue – the current regulatory regime has failed passengers. Airport charges have been allowed to increase way above the rate of inflation. Last winter’s snow showed the performance of airports had not improved at the same rate.”