New CAA chief Richard Moriarty revealed more details at the Abta Travel Matters conference last week on how paper Atol certificates for customers could be scrapped.

He explained the CAA was currently undertaking a “feasibility study” into whether to introduce the new online facility, which would see the CAA hold customers’ data rather than individual sellers having to issue Atol certificates themselves.

“The basic idea of an e-Atol facility is that rather than the seller issuing an Atol certificate directly, whoever makes the sale will send the booking data to the CAA and the CAA will hold it in a secure database,” Moriarty explained.

“I am keen to make sure we provide an efficient service. Part of this includes moving some of our processes online – as we will do with Atol renewals this year.”

He said the move would enable customers to check their protection online, and in the event of a company failure would allow customers to have immediate access to data, enabling a “more efficient repatriation and refund service”.

Moriarty referenced the “massive repatriation exercise” following the collapse of Monarch Airlines in October, adding: “I can attest for such operations, our ability to access real-time data about who is where, and their contact details, is an essential asset.”

He said the introduction of e-Atols would also be advantageous for the industry by removing the need for written agency agreements, which he said would be a “useful reduction in regulatory burden”.

However, Moriarty insisted the move was very much still at “feasibility study” level with no confirmation on whether to go ahead with the online certificates.

A decision is expected “during 2018/19”.

“This will determine if there is a credible case for actually developing the system,” he added.

“If we take this forward, I would want us to work extensively with industry to produce something that can work for everyone.”