Theresa May confirms plans for new holiday protection laws
A Bill to give holidaymakers more protection if a travel company goes bust has been debated in the House of Commons.
The Government is promising that from next year, holidaymakers who book trips online will get new protection so they are not left stranded abroad or lose money.
This will essentially bring the ATOL scheme in line with the new Package Travel Directives coming into force on July 1 2018.
Prime Minister Theresa May said: "Technology has transformed the way people book holidays, and this Bill will mean the ATOL scheme can keep pace both now and in the future.
"Whether you book a well-earned getaway on the internet or the high Street should not make a difference to knowing you won’t be stranded or left out-of-pocket if something goes wrong."
But the details of how the system will work have yet to be confirmed and implementation is expected to be complex.
The Government is proposing that holidays will be protected when consumers book a flight and are then directed by the airline to a separate company to book accommodation within 24 hours.
If it’s outside of the 24-hour window the holiday won’t be considered a package or linked travel arrangement and therefore protection won’t be legally required.
The same applies to a customer who books separate components.
"Much of the detail is not in this Bill, as it will be dealt with through Secondary legislation, which is why ABTA is urging the Government to move quickly," said an ABTA spokesman.
"The Government will consult on further changes to the ATOL scheme and Package Travel Regulations shortly. We expect the first consultation ahead of the summer, and Draft Regulations will follow, along with a further consultation in the autumn."
Giving the Bill its second reading in Parliament yesterday, the Government quoted the ABTA Holiday Habits Report 2016 which found that more than 75% of UK consumers booked their holidays online.
Transport Minister John Hayes said: "This change will make the law fit for the modern age – and better able to adapt to any future advances in the technology that people use to book their getaway."
It was the first Bill to be debated in the Commons since the Queen’s Speech.
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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