ABTA is reminding airlines that refunds must be paid in line with EU Regulation 261 and contract law, amid multiple flight cancellations arising from the COVID-19 pandemic.
ABTA Chief Executive Mark Tanzer said: “These are unprecedented times in the travel industry, and for the sector to come through it is vital that all parts of the chain respect their obligations.
“Governments have rightly identified the aviation sector as requiring emergency support, but funds provided must find their way to the passengers and corporate partners of the airlines – tour operators and travel agents – or the problem is simply moved down the chain.
“The CAA and IATA have issued guidance reminding airlines of their obligations to provide refunds on cancellation and these obligations can be enforced by the Regulatory Authority, and, if necessary, at law.
“This will be to the detriment of the whole travel and tourism sector, and their customers, at a time when co-operation is essential.
“ABTA is asking its members to notify them of any airline refund policies that do not comply with the law.”
Meanwhile, pilots’ union BALPA has spoken out in warning that the UK industry could collapse while it is waiting for the dedicated support promised by the Chancellor and the Secretary of State for Transport.
BALPA General Secretary, Brian Strutton, said: “Aviation has been hit first and hardest. It’s disgraceful that the Government keeps promising to help but is still sitting on its hands while airlines are shutting down.
“Airlines can’t survive with no revenue coming in and are already cutting wages and jobs.
“Unfortunately, the rescue packages put together [on Friday] are not ready yet but airlines are in crisis now and need help immediately.
“State investment in UK airlines, as other countries are doing, is essential as a matter of urgency before it’s too late.”
