CAA Extends Refund Credit Notes

The Civil Aviation Authority are extending refund credit notes in a bid to strengthen customer confidence for cancellations until December 31, 2020

The CAA announced in July of this year that customers who accepted refund credit notes for cancelled ATOL-protected holidays would be covered under the ATOL scheme from March 10, 2020.

The arrangement was initially set to be up until September 30, 2020, a deadline which is now passes. ABTA and the industry have now received the much anticipated updated guidance and the date that ATOL protection for RCNs runs out is now 30 September 2021.

The refund credit notes must be issued for an ATOL-protected booking that had been cancelled during the coronavirus pandemic. Customers do not have to accept a credit note and are entitled to a cash refund.

Paul Smith, Consumer Director at the UK Civil Aviation Authority said “In light of the continued impact of the coronavirus pandemic on travel, the decision to extend ATOL protection for refund credit notes will strengthen consumer confidence and allow for ATOL holders to continue to offer them in good faith to their customers.

“While consumers may choose to accept a refund credit note if one is offered, they are entitled to a cash refund and must be offered this at the same time,” he said.