Independent review supports calls for ATOL overhaul
An independent review has recommended an overhaul of the ATOL scheme following a series of travel company failures.
The UK Civil Aviation Authority published the findings of the review today.
The recommendations include:
– Simplifying the claims validation process
– Considering the use of online technology and tracking systems, and improving access to booking data
– Working with industry to improve travel agents’ paperwork
– Improving preparation for any future large failures
The review was overseen by Walter Merricks CBE, former chief financial ombudsman at the Financial Ombudsman Service, who was appointed last May following the collapse of XL Leisure Group in 2008.
It comes ahead of a broader programme of work to reform the ATOL scheme by the Department of Transport.
Richard Jackson, director of consumer protection at the CAA, said: “A number of points raised have already been addressed and we have published an Action Plan setting out how we will respond to others.
“As highlighted in the report, the CAA alone cannot resolve all the problems; the travel industry has a major role to play in ensuring paperwork issued to consumers improves, removing the need for complex and prolonged claims management. Today we are publishing the report in full, and we will keep the industry informed as this work continues.”
ABTA chief executive Mark Tanzer said: “These recommendations are a welcome step in providing an efficient, user friendly ATOL scheme which is truly fit for purpose.
“Over the last few years, customer confidence in the scheme has been undermined by the long time taken to process claims following several significant failures .This is not good for consumers, our members or the industry as a whole.
“We will be working with the CAA and our members to help ensure that in future customers are refunded without excessive bureaucracy or delays.”
By Bev Fearis
Bev
Editor in chief Bev Fearis has been a travel journalist for 25 years. She started her career at Travel Weekly, where she became deputy news editor, before joining Business Traveller as deputy editor and launching the magazine’s website. She has also written travel features, news and expert comment for the Guardian, Observer, Times, Telegraph, Boundless and other consumer titles and was named one of the top 50 UK travel journalists by the Press Gazette.
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