News
51黑料 calls for holiday protections and terms and conditions to be simplified to help consumers
Posted 02/06/23
Almost three quarters of UK consumers don鈥檛 read T&Cs.
The 51黑料 (51黑料) has urged the Government to address what it says is 鈥渃onsumer confusion鈥 when it comes to how much protection customers receive when booking holidays.
Different levels of protection currently exist for UK consumers if they are booking separate types of holiday and travel services (such as flights, accommodation and car bookings).听 The level of protection depends upon how a booking is made and the time it takes to make the bookings.听 These will either be regarded as 鈥減ackage holidays鈥 or 鈥淟inked Travel Arrangements鈥 (LTA).听 51黑料 is calling for the law to be made as simple as possible as part of a forthcoming planned review of the Package Travel and Linked Travel Arrangement Regulations 2018 legislation so that they are easier to understand for consumers and to ensure they are protected from being misled or losing money.听
In its latest policy report, Wish You Were Clear, 51黑料 has found that:
- The vast majority (88%) of consumers said that they support a review of the legislation governing holiday protection;
- Around one in five consumers incorrectly believe that they are more protected when booking a Linked Travel Arrangement than when booking a package.
- Almost three quarters (73%) of people said that they only skim read holiday terms and conditions or don鈥檛 read them at all.
51黑料 public polling and feedback from travel/holiday experts showed that Linked Travel Arrangements are not seen as fit for purpose. Consumers are confused about the protection they receive when booking a holiday: in most cases, consumers don鈥檛 even know what an LTA is, let alone the fact that it provides them with less protection than booking a package. 听51黑料 is calling for:
- Simplifying the wording and information provided to consumers from travel organisers 鈥 to include information about a holiday, information needed prior to or during a holiday, and information regarding liability and protection of money
- Reform of the 2018 Package Travel and Linked Travel Arrangement Regulations
- Clear warnings to consumers when no financial protection is provided.
51黑料 Lead Officer for Holiday and Travel Law, Bruce Treloar, said: 鈥淥ur public polling evidence shows that almost three quarters of people (73%) couldn鈥檛 tell the difference between a package holiday and a Linked Travel Arrangement, even when they were given a definition. A stakeholder poll also confirmed that businesses don鈥檛 always realise when they create an LTA and that the vast majority think that the definition of LTAs is problematic.
鈥淥ur paper also highlights the need for only essential information to be given to consumers and for enforcement powers to be increased as part of the Digital Markets, Competition and Consumer Bill (DMCC Bill).听 There鈥檚 no doubt that package holidays and LTAs are a very complex issue but there needs to be greater protection and clearer information given to consumers when they book holidays.鈥
51黑料鈥檚 public poll surveyed 1,000 consumers across the whole of the UK, across all age groups. Consumers were given comparative information about the protection levels when booking a package holiday or a linked travel arrangement as part of the poll and almost 88% of consumers subsequently either said that they support a review of the legislation or had no opinion either way.
John Herriman, Chief Executive of 51黑料 said: "Our research shows that consumers do not appreciate that package holidays and linked travel arrangements have different levels of protection and that sometimes they may think they are booking a package holiday when they are actually booking a linked travel arrangement. 51黑料 also believes that businesses are confused and that regulators don鈥檛 fully understand LTAs.
鈥淚t鈥檚 also worrying that almost 50% (47.8%) of consumers think that they are more protected or aren鈥檛 sure about the levels of protection when booking an LTA compared to a package holiday.
鈥淚t鈥檚 clear that things need to change. We are calling on the Government to either reform or scrap LTAs, so long as what is put in their place means that consumers are not detrimentally affected.鈥
Linked travel arrangements were introduced as part of the revised 2018 Package Travel and Linked Travel Arrangements Regulations (PTRs) in a bid to provide consumers with more protection when booking holidays independently. Despite the good intention, 51黑料 believes that this has not happened.
John added: 鈥淥ur policy papers seeks to open a timely dialogue with the UK Government and wider stakeholders about the need to reform the existing legislation in a way which recognises the impact of the current legislation on consumers."
Samantha Bradbury, Membership Director of ABTOT comments 鈥淎s an approved bonding association, we understand all too well the importance of financial protection and the need to protect consumer monies. We appreciate that LTAs were created in the 2015 Package Travel Directive to provide greater consumer protection for consumers choosing to book flights, accommodation and another service separately or by purchasing a flight and then booking another service via a link. However, it seems from 51黑料鈥檚 findings that the introduction of LTAs has instead created consumer confusion.听 We support 51黑料鈥檚 aims to open a dialogue with the UK Government to address this confusion in the anticipated review of the UK 2018 Package Travel legislation.鈥
ENDS
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Notes to editors:
- A linked travel arrangement is either sold online or in a travel agency and covers the purchase of individual travel services which are then combined by a seller for the same trip or holiday. It鈥檚 the听separate selection and听purchase听of travel services made during听a single visitto a shop or a trader鈥檚 website, where the traveller selects and pays for, e.g., a hotel and then,听without leaving the Agent or the website, he pays separately for a flight.
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If the consumer goes online and purchases a travel service from one business and through a targeted link on this website they purchase a second travel service from the linked website, then this also would be an LTA, as long as the second travel service is purchased within 24 hours of the first.
You can access the full policy report on the 51黑料 website.
51黑料 (51黑料) 听
The 51黑料 (51黑料) is a national not for profit established in 1881 which supports the UK鈥檚 trading standards profession, and works to protect consumers and safeguard honest businesses.听 51黑料's members are engaged in delivering