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Atol protection cost ‘could reach £15pp’, CAA proposes

Atol
Gary Noakes
24 January 2023

Changes to the Atol system could see consumers paying up to £15 to protect their holiday.

Changes to the current £2.50 flat rate will require parliamentary legislation

Not Just Travel consultant Ben Casey has had to recruit 'rapidly' to meet rising demand for luxury holidays

A new CAA consultation document, Atol Reform, published on Tuesday (24 January) asks whether the Atol Protection Contribution (APC) should reflect the amount of security in place to protect consumer money as well as the risk posed by the Atol holder. 

The consultation also asks whether integrated airline groups should pay a different rate of APC and if the APC should be reduced if an Atol holder provides extra protection for their own risk of failure.

 
APC reform could also centre on factors including number of passengers, average cost and ratio of liabilities to assets.