Advantage Travel Centres has decided against providing Flight-Plus Atol arrangements for members and will instead work with Abta on a joint-licensing scheme with the CAA.
Abta confirmed last week that it is close to finalising arrangements with the CAA to process Flight-Plus applications and use existing bonds as financial guarantees for Atol licensing.
Advantage chief executive John McEwan, who is also chairman of Abta, said: “The majority of our members already have an Atol so can adjust to Flight-Plus and could go into the Abta co-administration scheme with the CAA.”
Full details of the scheme have yet to be announced, but Abta has said it will be open to member companies with a licensable turnover of up to £1.5 million a year.McEwan said: “We will work with Abta on the scheme with the CAA.
It’s more than adequate for members to get a Flight-Plus licence. It gives members what they want in terms of licensing.”The consortium rejected the option of seeking Accredited Body status to provide Atol cover for members. McEwan said this was on the grounds that “we don’t have control over the members’ back offices”.
Advantage also ruled out extending its existing trust arrangements for Advantage Managed Services (AMS) businesses. AMS businesses operate under a franchise arrangement.
McEwan said: “The most cost-effective route will be the co-administration with the CAA. We have a separate Atol for our Advantage Managed Services business. But a lot of members want control of their business and their cash flow.”He said: “We will offer members supplier failure insurance, of course.”
Advantage Financial Services will extend its supplier failure cover to non-members from March 1.McEwan added: “If members need to adjust their Abta bond we can also help with that.”