The Association of Atol Companies (AAC) has hit out at airlines refusing customers refunds for flights cancelled due to the coronavirus.
AAC legal advisor Alan Bowen said while some airlines were being accommodating in the circumstances, others were trying to encourage customers to take vouchers to use instead for future bookings – which could be priced significantly higher than the original price paid.
“We appreciate every travel business is finding life hard with the Foreign Office advice against all but essential travel,” said Bowen.
“Some airlines, such as Virgin Atlantic and the Middle Eastern carriers, have been very accommodating and where the customer has sought a refund, have not hesitated to arrange it.”
However, the AAC said others were expecting customers to accept vouchers to purchase alternative flights in the future, but only if the customer pays the going rate “which may be much higher than the original flight booked”.
Bowen added: “Where members have added additional services to create a package, the law is clear, and Atol holders have to offer a refund if customers do not wish to book an alternative holiday.”
AAC executive council member Guy Novik, founder and chief executive of USAirtours, said: “We need airlines to work with us, not against us. In a time of crisis for the whole industry, we all need to work together – when this crisis is over, we will remember those who supported us at a time of great difficulty.”
The AAC represents the interests of businesses selling scheduled flights and packages bases on them, with sales amounting to more than £4 billion in 2019.