Re: ABTA Attacks Missed Opportunity

Tuesday, 19 May, 2005 0

Dear Sir, I read with some incredulity Travelmole reporting ABTA’s criticism of the government, citing its “missed opportunity” in not extending ATOL bonding to scheduled airlines. Correct me if I’m wrong but is this the same ABTA that has just launched its own Protection Plan which, as it does not cover non-ABTA accommodation suppliers to ABTA agents, leaves the path wide open for another Travelscene/Citybedz debacle. If ever there was a missed opportunity, grounded in the association’s recent and embarrassing history, this was it. The whole bonding scenario remains mired in conflicting interests and legal complexities, with ABTA failing to show any leadership, as its latest measure shows. Meanwhile we, as a responsible supplier continue to protect our clients by backing every booking with an independently administered trust fund, extensive tour operator liability insurance and the consumer protection benefits offered by UK laws which are not applicable when accommodation is arranged through a booking agent. Citybedz was a booking agent, as are many operating in the accommodation-only market today. In the currently fragile market climate it would be no great surprise to me to see several accommodation-only specialists fail. To my mind the ones most likely to fail are the price led booking agents who bring no real value to consumers (and indeed very little to our trade), are operating on ever decreasing margins and holding on to client monies, sometimes secured in full at the time of booking, until the last possible moment. Those client monies remain unprotected. If failures do happen and holidaymakers are left without accommodation or nursing losses the industry is again going to be left with an omelette load of eggs on its face. The consumer press queries will have a field day querying why lessons have not been learned from Travelscene’s collapse and the public therefore remains unprotected. Rather than criticising the government, ABTA would be well advised to get its own house in order so that it can act as an effective lobby group and help secure a fair and workable bonding regime which provides comprehensive protection.



 



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