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Firms use Atol logo despite licence renewal delays

Some tour organisers awaiting the delayed renewal of Atol licences are continuing to display the Atol logo and to claim products are “fully protected” in breach of CAA regulations.

The CAA identified nine travel businesses at the start of April which “applied to renew licences but failed to do so” by the March 31 renewal date. It noted: “In some cases the CAA has yet to reach a decision on their application, in others the CAA has decided to grant the application from the date on which the business provides certain items to the CAA.”

In the meantime, the CAA made clear: “Until the firms have renewed their licence, they are not permitted to advertise or accept bookings or payments unless they are acting as an agent on behalf, and with the authority, of a disclosed Atol holder or are acting as an airline ticket agent.”

Following a complaint by a consumer, Travel Weekly has found four businesses on the list are advertising package holidays and displaying the Atol logo on their websites. The CAA confirmed the four currently do not hold Atols. Two of the four are Abta members. Only one of the nine late-renewing businesses has since received its licence.

CAA head of Atol Michael Budge said: “We can’t comment on individual companies, but we’re liaising with firms that didn’t renew in March. This means waiting for additional information or other requirements from the company before we finalise their licence.

“There is an agreed process in place for companies which do not renew their Atols. We’ve communicated with all applicable companies to remind them of the rules.”

The consumer who contacted Travel Weekly, who asked not to be named, said of one company: “We discussed a package group holiday to Vietnam. I asked about financial protection and was told they are an Abta member and have an Atol to cover this package. I checked on the CAA site and was surprised to see their licence was not renewed. I clarified this with the rep who assured me they are protected.”

An industry source told Travel Weekly: “Displaying an Atol when you don’t hold a licence is not allowed. [But] the CAA compliance team would not get involved if companies are talking to its licensing team. Hopefully, they will get their Atols.”

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