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BA dismisses ABTA claims on PSC rates

LAWYERS at British Airways have dismissed ABTA claims that airlines are breaching International Air Transport Association resolutions by refusing to pay commission on Passenger Service Charges (Travel Weekly February 10).


ABTA had written to airlines, after taking legal advice, accusing them of acting outside their contracts with agents.


In a letter to ABTA, BA lawyers said that, under IATA resolutions, airlines do not have to pay commission on any taxes or other charges collected by agents.


They said airlines had won approval from the Civil Aviation Authority before they separated out PSCs from the fare and made it non-commissionable. The CAA had not responded to ABTA’s letter as Travel Weekly went to press.

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