Visit Atlantic City

Published on Thursday, November 26, 2020

CAA financial 'exposure' leads to proposed ATOL change

The Civil Aviation Authority will demand upfront payments from operators to fund any investigation into their accounts under new plans drawn up by the regulator.

The CAA said it is becoming 'increasingly exposed' at paying third party accountants and legal experts to analyse the financials of ATOL holders.

Under the current system, only after the CAA has forked out for the external advice are ATOL holders invoiced and told to stump up.

"The CAA is becoming increasingly exposed to costs payable to suppliers before the costs are recouped from the ATOL holders," it said.

The CAA is seeking feedback on the changes.

In a consultation document, the CAA said: "The CAA is proposing to include a provision within the Scheme of Charges to request advance payment [for cases that require external advice].

"This is in response to a number of larger ATOL cases that require external advice (legal or accountancy) where the scheme currently expresses 'CAA will invoice the ATOL holder and the invoice will be payable on demand".

Story Image

Your Comments

, be the first to post a comment.
Your email:

Email other comments made to this story

NOTE: Comments are subject to admin approval before being posted.
Mole Poll
Have you seen a surge in demand for US trips?


UKinbound are in Manchester for the Annual Convention - What can you expect?

Qatar moved from red to amber list: Phil Dickinson details the growth plans for the destination

Japan - The bucket list destination - five experts describe a life in the day of a visitor

Lonely Planet launch UK Road trip Guide

Ottawa - Capital of Canada is open for business and ready for visitors