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PM urged to enhance CAA powers to fine rogue airlines

The aviation regulator should be doing more to “name and shame” airlines, take legal action where it finds law-breaking and withdraw operating licences.

Consumer group Which? urged prime minister Rishi Sunak to “urgently legislate” to make fining powers for the Civil Aviation Authority a reality.

The call came as the UK marks 20 years of no fines or other financial penalties being issued to airlines after action taken by the regulator, according to Which?.

The relative weakness of the UK’s enforcement mechanisms was  exposed earlier this month when the US fined British Airways $1.1 million for complaints about unpaid refunds during the pandemic.

Which? believes the government must prioritise legislating to give the CAA stronger powers – including the ability to fine airlines directly – and is calling on this legislation to be set out in the King’s Speech later this year.

The latest demand for the regulator to sanction airlines that flout the rules comes days after the Department for Transport pledged to make membership of an Alternative Dispute Resolution (ADR) body compulsory.

The DfT also confirmed plans to toughen the CAA’s enforcement powers to enable it to rule on breaches of consumer rights regulations and impose fines on airlines, noting this would require legislation.

Which? claimed it was “abundantly clear” that the CAA urgently needs stronger enforcement powers to be effective. 

“Without the fining powers used by its foreign counterparts and other regulators in the UK, the CAA has been unable to hold airlines to account,” the consumer champion asserted.  

“It was therefore a step in the right direction to see the Department for Transport agreeing with the need to bolster protections for travellers this week, including introducing new fining powers for the CAA and mandatory ADR membership for airlines.

“These reforms alone will not be enough however, and the government should also consider going much further with its plan to improve the ADR system, and as well as making membership mandatory, introduce a single ombudsman, to ensure the ADR process for all passengers is consistent and accessible.”

Research by Which? previously found that about 2.3 million people in the UK were left out of pocket for flights they could not take during the pandemic.

CAA data shows that 24,178 complaints about airlines relating to EC261 compensation rules were made to the CAA and the UK’s two ADR bodies for aviation in 2020.

The issue of delayed and unpaid refunds during the pandemic, followed by disruption at UK airports as holidays returned to normal in 2022 have highlighted regulatory failings “that have provided an environment where some airlines can potentially break the law without fear of meaningful sanction”.

Which? policy and advocacy director Rocio Concha said: “The US government fining Britain’s flag carrier when our own authorities are powerless to do the same makes a mockery of aviation regulation in the UK, which has been failing travellers for 20 years. 

“Passengers have repeatedly endured unfair and in some cases unlawful treatment by some airlines in recent years and meaningful action is long past due.

“The government must act without delay and legislate to grant the CAA the powers it needs to issue hefty fines, and hold airlines to account when they break the law. Until it does so, UK travellers’ rights will be worth no more than the paper they are written on.”

Anna Bowles, CAA head of consumer, said in response: “We have regularly asked for stronger consumer enforcement powers, including the ability to impose fines on airlines. 

“This would allow us to take faster action when appropriate and bring our powers in line with other sectoral regulators.

“In its 2022 consultation, ‘Reforming aviation consumer policy: protecting air passenger rights’, the government consulted on proposals, which included the possibility of providing the Civil Aviation Authority with additional enforcement powers.”

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