Linked Travel Arrangements (LTAs) should be reformed or scrapped because they are causing confusion for customers, according to a trading standards organisation.
The Chartered Trading Standards Institute (CTSI) is calling for a change in the law to come out of a planned review of the Package Travel and Linked Travel Arrangement Regulations 2018.
It follows research showing that most consumers are unaware that package holidays and linked travel arrangements have different levels of protection.
More: UK accused of ‘tinkering’ with Package Travel Regulations
CTSI chief executive John Herriman said: “It’s clear that things need to change. We are calling on the government to either reform or scrap LTAs, so long as what is put in their place means that consumers are not detrimentally affected.”
In a report called ‘Wish You Were Clear’, the membership body CTSI lays out its research and makes a series of recommendations.
The report outlines the difference between package holidays and LTAs, adding that consumers are confused about the protection they receive when booking.
“Most consumers questioned in a public poll don’t know what a linked travel arrangement is, let alone what protection it provides them,” the report states.
It adds: “Sometimes consumers may think they are booking a package holiday when they are booking a linked travel arrangement (LTA). Package holidays and linked travel arrangements have different levels of protection, which consumers do not appreciate.”
The research, which polled 1,000 people, also found that almost three quarters (73%) said they only skim-read holiday terms and conditions or do not read them at all.
In a bid to protect consumers from being misled or losing money, the CTSI has published a “call to action” with a series of recommendations.
The recommendations are:
- Simplify the wording and information provided to consumers from travel
organisers (e.g. travel agents and tour operators) - Reform the 2018 Package Travel and Linked Travel Arrangements Regulations (PTR)
- Create a sector-specific offence of providing incorrect/false/misleading information to consumers (as it was in the 1992 regulations), rather than just relying on the Consumer Protection from Unfair Trading Regulations 2008
- Any holiday services where there is no financial protection must provide a clear warning so that consumers can make an informed choice
Herriman said: “It’s worrying that almost 50% (47.8%) of consumers think that they are more protected or aren’t sure about the levels of protection when booking an LTA compared to a package holiday.”
He added: “Our policy papers seeks to open a timely dialogue with the UK government and wider stakeholders about the need to reform the existing legislation in a way which recognises the impact of the current legislation on consumers.”
CTSI’s lead officer for holiday and travel law, Bruce Treloar, said: “There’s no doubt that package holidays and LTAs are a very complex issue but there needs to be greater protection and clearer information given to consumers when they book holidays.”
Samantha Bradbury, the managing director of the Association of Bonded Travel Organisers Trust, said the research seemed to show that “consumer confusion” had flowed from LTAs.
She added: “We support CTSI’s aims to open a dialogue with the UK government to address this confusion in the anticipated review of the UK 2018 Package Travel legislation.”
An LTA is created in two ways, as detailed in the CTSI paper.
A spokesperson for the Department for Business and Trade said: “Consumers should get transparent and accurate information when booking package holidays.
“The Package Travel and Linked Travel Arrangements Regulations will be reviewed as part of our Retained EU Law [sic] and we will provide more details in due course.”