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Government 'will let failing airlines wind down', expert predicts

Atol
Tom Parry
13 October 2017

The fallout from the collapse of Monarch Airlines will force the government to allow carriers to trade whilst in administration, a leading industry accountant believes.

Monarch MON-MAX8

Chris Photi, head of travel and leisure and senior partner at White Hart Associates, said he was “100% certain” Westminster would make legislation changes due to its footing of a reported £60m bill to repatriate 110,000 Monarch customers and the backlash from the travel trade for bringing home non-Atol protected customers.

Transport secretary Chris Grayling gave a statement on the collapse of Monarch to the House of Commons earlier this week in which he suggested airlines could in future be allowed to “wind down in an orderly manner” instead of ceasing operations immediately when they go into administration.