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Agents could face tighter rules on holding customer cash

Atol
Rob Gill
29 April 2021

The CAA is set to shake up the way the travel industry protects consumer cash including a possible new variable form of the Atol Protection Contribution (APC) payments.

CAA Atol Logo.jpg

The regulator has launched a new consultation with the trade over enhancing consumer protection through the Atol scheme which the CAA said is intended to “lead to better direct protection of consumers’ money and improve the financial resilience of the Atol scheme”.

This could include forcing travel companies to “segregate” all customer payments into trust or escrow bank accounts, with the money only being released when the consumers have returned from their holiday.