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Atol reform runs risk of creating ‘unfair playing field’

Atol
Rob Gill
22 June 2021

Plans to reform the current Atol financial protection system could be “really unfair” for the package travel industry unless these reforms are implemented alongside changes to airline insolvency rules.

CAA Atol Logo.jpg

A consultation on potential changes to the Atol scheme is currently being carried out by the CAA ahead of detailed plans being published next year. This could include the requirement for the greater use of trust accounts to protect consumer cash before they travel.

But John de Vial, special advisor to Abta, said there could be an “unfair playing field across different business models” if package travel companies had to deal with “cost upon cost layered on them” through a new Atol regime.