Latest news with #UK261
Yahoo
07-04-2025
- Business
- Yahoo
EU regulations could leave British air passengers out of pocket
The European Union is considering watering down the regulation that protects air passengers, a move which could have a knock-on effect on British holidaymakers. The regulation under scrutiny, commonly known as EU261, was passed in 2004. It is this that ensures European air passengers are compensated and assisted if a flight is cancelled with little notice, or delayed by more than three hours. Compensation rates range from €250-600 (£213-510), depending on the length of the flight. For the best part of two decades, the European parliament has debated softening the regulation in favour of airlines by raising the delay compensation threshold from three to five hours. Now, EU261 is under the spotlight once again. You may be thinking: we left the European Union in 2020, why would any of this affect the UK? After Brexit, the UK voluntarily adopted EU261 into law, meaning passenger rights remained unchanged. But the UK now retains agency over this policy. So if modifications were made in Brussels, the UK Government would have to decide whether to adopt the amendments or keep UK261 in its current form. Airlines would no doubt lobby the UK Government to bring the rules into line with the EU. If carriers such as Ryanair and Wizz were able to sidestep millions of pounds of compensation payouts thanks to a five-hour delay threshold, this would mean a big boost for their bottom lines and a likely reduction in ticket fares – Ryanair estimates that EU261 costs passengers £7 per ticket. If the UK refused to modify the compensation rules in line with the EU, the likes of British Airways, easyJet and Jet2 would find themselves competing on an uneven playing field. Low-cost airlines have previously estimated that EU261 payments amount to 3 per cent of annual turnover, although none were able to disclose the exact figures due to competition concerns. Even if the UK did not decide to adopt modifications to EU261, air passengers flying with European carriers such as Ryanair or Wizz would still be subject to new five-hour compensation rules if flying from a European airport. So, whatever happens, the current snail-paced conversations taking place in Brussels are indeed of concern to the British holidaying public. Given that we are talking about a possible compensation threshold increase from three to five hours, would this really make a big difference? It appears so. In 2024, more than 287 million passengers in Europe were affected by cancellations and delays, according to the Association of Passenger Rights Advocates (APRA). And the vast majority of those were for delays of less than five hours. Different consumer group estimates suggest that tweaking the delay threshold could reduce the number of passengers eligible for compensation by between 75 and 85 per cent. Which Travel? has historically warned the government against bowing to pressure from airlines to weaken passenger rights, particularly against a backdrop of widespread flight disruption in recent years. Ivaylo Danailov, the chief executive of SkyRefund, says: 'The EU261 regulation has been a major success for consumers, the travel industry, and European leadership. Modifications to EU261 should be made to enhance consumer rights, not degrade them.' Some argue that reducing delay payouts could (perhaps counter-intuitively) be a good thing for air passengers. Aside from the potential for lower airfares, as alluded to by Ryanair, aviation insiders say that overhauling the compensation system could reduce cancellations. On this point, a spokesman for the International Air Transport Association (IATA) told The Telegraph: 'We would support that change, as we feel it could actually lead to fewer cancellations overall, which would be to passengers' benefit.' A single flight delay on a short-haul European service could cost an airline operating a 180-seat aircraft £39,600. It is no surprise, then, that carriers are known to pre-emptively cancel flights ahead of delay-prone peak periods. EasyJet did this just last year, pre-emptively canning 1,700 flights from Gatwick between July and September due to air traffic control challenges. EU261 reform might encourage a less cautious approach in the future. When it comes to on-the-day cancellations, if airlines had a less stringent delay payout threshold, they might be inclined to use their additional two hours of wiggle room to resolve the problem at hand (staffing, aircraft positioning, mechanical issues) or wait for weather conditions to resolve, rather than cancel the service entirely. So far, so many hypotheticals. The upshot for British holidaymakers is as follows: the reform of EU261 has been a decades-long discussion (some of the people in the meeting room in Brussels may not have been born when the regulation first passed). So while the subject is back on the table, there is no reason to expect immediate changes, nor any indication that the UK would absorb any such changes into law. The latest update on the matter came via Apostolos Tzitzikostas, the European sustainable transport and tourism commissioner, who said at a conference of airline chief executives in Brussels this week: 'Negotiations on passenger rights reform are moving forward. We cannot create rules that overwhelm the industry with financial burdens, that risk holding back growth. So we need to balance financial stability for airlines with strong protections for passengers.' Like an air passenger gazing longingly at a departures board, powerless to their fate, we can do nothing at this stage but patiently observe and hope for a positive outcome – whatever that might be. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.


Telegraph
07-04-2025
- Business
- Telegraph
EU regulations could leave British air passengers out of pocket
The European Union is considering watering down the regulation that protects air passengers, a move which could have a knock-on effect on British holidaymakers. The regulation under scrutiny, commonly known as EU261, was passed in 2004. It is this that ensures European air passengers are compensated and assisted if a flight is cancelled with little notice, or delayed by more than three hours. Compensation rates range from €250-600 (£213-510), depending on the length of the flight. For the best part of two decades, the European parliament has debated softening the regulation in favour of airlines by raising the delay compensation threshold from three to five hours. Now, EU261 is under the spotlight once again. The implications for British air passengers You may be thinking: we left the European Union in 2020, why would any of this affect the UK? After Brexit, the UK voluntarily adopted EU261 into law, meaning passenger rights remained unchanged. But the UK now retains agency over this policy. So if modifications were made in Brussels, the UK Government would have to decide whether to adopt the amendments or keep UK261 in its current form. Airlines would no doubt lobby the UK Government to bring the rules into line with the EU. If carriers such as Ryanair and Wizz were able to sidestep millions of pounds of compensation payouts thanks to a five-hour delay threshold, this would mean a big boost for their bottom lines and a likely reduction in ticket fares – Ryanair estimates that EU261 costs passengers £7 per ticket. If the UK refused to modify the compensation rules in line with the EU, the likes of British Airways, easyJet and Jet2 would find themselves competing on an uneven playing field. Low-cost airlines have previously estimated that EU261 payments amount to 3 per cent of annual turnover, although none were able to disclose the exact figures due to competition concerns. Even if the UK did not decide to adopt modifications to EU261, air passengers flying with European carriers such as Ryanair or Wizz would still be subject to new five-hour compensation rules if flying from a European airport. So, whatever happens, the current snail-paced conversations taking place in Brussels are indeed of concern to the British holidaying public. 'Modifications should enhance consumer rights, not degrade them' Given that we are talking about a possible compensation threshold increase from three to five hours, would this really make a big difference? It appears so. In 2024, more than 287 million passengers in Europe were affected by cancellations and delays, according to the Association of Passenger Rights Advocates (APRA). And the vast majority of those were for delays of less than five hours. Different consumer group estimates suggest that tweaking the delay threshold could reduce the number of passengers eligible for compensation by between 75 and 85 per cent. Which Travel? has historically warned the government against bowing to pressure from airlines to weaken passenger rights, particularly against a backdrop of widespread flight disruption in recent years. Ivaylo Danailov, the chief executive of SkyRefund, says: 'The EU261 regulation has been a major success for consumers, the travel industry, and European leadership. Modifications to EU261 should be made to enhance consumer rights, not degrade them.' Could reform be a good thing? Some argue that reducing delay payouts could (perhaps counter-intuitively) be a good thing for air passengers. Aside from the potential for lower airfares, as alluded to by Ryanair, aviation insiders say that overhauling the compensation system could reduce cancellations. On this point, a spokesman for the International Air Transport Association (IATA) told The Telegraph: 'We would support that change, as we feel it could actually lead to fewer cancellations overall, which would be to passengers' benefit.' A single flight delay on a short-haul European service could cost an airline operating a 180-seat aircraft £39,600. It is no surprise, then, that carriers are known to pre-emptively cancel flights ahead of delay-prone peak periods. EasyJet did this just last year, pre-emptively canning 1,700 flights from Gatwick between July and September due to air traffic control challenges. EU261 reform might encourage a less cautious approach in the future. When it comes to on-the-day cancellations, if airlines had a less stringent delay payout threshold, they might be inclined to use their additional two hours of wiggle room to resolve the problem at hand (staffing, aircraft positioning, mechanical issues) or wait for weather conditions to resolve, rather than cancel the service entirely. The upshot for you, right now So far, so many hypotheticals. The upshot for British holidaymakers is as follows: the reform of EU261 has been a decades-long discussion (some of the people in the meeting room in Brussels may not have been born when the regulation first passed). So while the subject is back on the table, there is no reason to expect immediate changes, nor any indication that the UK would absorb any such changes into law. The latest update on the matter came via Apostolos Tzitzikostas, the European sustainable transport and tourism commissioner, who said at a conference of airline chief executives in Brussels this week: 'Negotiations on passenger rights reform are moving forward. We cannot create rules that overwhelm the industry with financial burdens, that risk holding back growth. So we need to balance financial stability for airlines with strong protections for passengers.' Like an air passenger gazing longingly at a departures board, powerless to their fate, we can do nothing at this stage but patiently observe and hope for a positive outcome – whatever that might be.


The Independent
22-03-2025
- The Independent
Heathrow airport: What rights do you have to compensation for cancelled flights?
At 3am on Friday 21 May, the order went out: London Heathrow, the busiest airport in Europe, has been shut down all day today – and possibly into the weekend – by a severe fire. At the time, 120 planes were in the sky heading for LHR. Thousands of passengers were diverted, but many more were simply stranded. They may be entitled to care while they wait – but not, as this was beyond the control of airlines, compensation. But your rights depend on where your flight begins and the airline involved. For all flights from the UK and EU airports (as well as those in the wider EEA), European air passengers' rights rules prevail. These were introduced in 2006 and are known as EC261. After Brexit, the UK copied and pasted the same regulations into British law as UK261. The rules were devised to require airlines to do the right thing for their passengers. They specify the care and compensation you can expect when your plane is cancelled or heavily delayed. These rules also apply for flights on EU and British airlines departing from outside the European Union and the UK. A cancellation, or even a delay of hours rather than minutes could trigger the obligation for an airline to provide a hotel room and meals as appropriate. If the airline is to blame – in circumstances other than the Heathrow fire – it will also owe hundreds of pounds in cash. Conversely, when flying on a non-EU/UK carrier from outside Europe. you may just have to put a dismal aviation episode down to expensive experience, and see if your travel insurer can help. These are the key questions and answers. In the UK and Europe, what can I expect if my flight is cancelled or delayed? For delays of under two hours you have no rights (unless a short delay in the UK triggers a missed connection and much later arrival at your final ticketed destination – see below). For longer delays, the airline should provide refreshments as appropriate after a specified length of time. This applies regardless of the cause of the delay. The time at which the duty of care kicks in depends on the distance you are flying: Short flights (up to 1,500km): refreshments after two hours. Mid-haul journeys (1,500 to 3,500km): three hours. Longer trips: four hours. Note that if the airline believes providing the care would further delay the flight, it need not deliver. If the delay extends overnight, the airline is obliged to find and pay for a hotel room. In practice, carriers often say, 'too difficult', and invite the passenger to book their own and reclaim later. While this practice does not comply fully with the rules, aviation authorities tend to turn a blind eye to it. My flight from an airport outside the UK or EU is cancelled. What am I entitled to? If you are booked on a UK or EU airline you have full rights as above. On any other airline, you have none – though in practice a reputable airline will provide meals and accommodation as appropriate. Some travel insurance policies will help meet expenses that cannot be claimed back elsewhere, and may pay a modest amount of flight delay compensation. It's no longer worth going. Can I cancel and get my money back? If your flight is cancelled, and you decide not to travel, you should get money back within a week. How do I qualify for a cash payout? If you are flying from a UK/EU airport or on a British/ European airline and have your flight cancelled – or are delayed in arrival by at least three hours – the presumption is that you are owed hundreds of pounds in compensation. The payment depends on distance: Under 1,500km, for example London to Nice: £220 or €250 1,500-3,500km, such as Manchester-Malaga: £350 or €400 Above 3,500km, eg Birmingham- Dubai: £520 or €600. If a long-haul arrival delay is between three and four hours, the compensation is halved. The only way the airline can avoid paying out is by demonstrating 'extraordinary circumstances' were responsible. Define 'extraordinary circumstances'? The rules provide only a partial answer: 'political instability, meteorological conditions incompatible with the operation of the flight concerned, security risks, unexpected flight safety shortcomings and strikes'. Court cases have gradually refined the concept of 'extraordinary circumstances' to exclude technical problems. In other words: if a mechanical failure caused the delay, you are due compensation. A judge ruled such issues are 'inherent in the normal exercise of the activity of the air carrier'. Official strikes by the airline's own staff are regarded as within the carrier's control, but oddly 'wildcat' walkouts not sanctioned by a trade union are not. Crew sickness is a grey area, with no legal certainty. Ryanair says: 'Only a small number of claims will be eligible for compensation. Most delays/cancellations are out of Ryanair's control.' How do I claim? Each airline should enable you to fill out an online form, but these are sometimes difficult to track down. The pages for three leading airlines are here: Compensation must be paid by bank transfer (or cheque), except if the airline obtains the prior signed agreement of the passenger to pay with vouchers for future travel. For example, an airline might offer a 30 per cent uplift if you accept vouchers that are valid for a year – so a choice between £350 in cash or £455-worth of flights. What if I have a justifiable claim but it is turned down? One course of action is alternative dispute resolution, but The Independent has serious reservations about some of the decisions of these arbiters. Writing a Letter Before Action – warning that you will go to Money Claim Online if you do not get a positive response within two weeks – is worth trying, so long as you follow through. For a £350 claim the fee is £50, which is refunded if you win. Since Brexit UK citizens no longer have access to the European Small Claims Procedure, so if you are chasing compensation on a flight originating in the EU it might be easiest to go through a claims handler. One such firm is AirHelp, but be warned that the company will keep between 35 and 50 per cent of any payout (the higher amount if court action is involved). My flight was an hour late departing, but I missed a tight connection If you arrive at your final ticketed destination three hours or more late, you are still in line for compensation – as long as the cause was down to the airline. For example, in 2018 I flew on British Airways from Heathrow to Moscow for an onward connection to Volgograd on the Russian airline S7. The plane was an hour late leaving London because of overrunning engineering work. I missed the connection in Moscow and arrived five hours behind schedule at Volgograd. BA paid delay compensation without a fuss; the issue of meals was easily solved because S7 sent me to the business lounge to wait. It is notable that in the CAA delay figures for 2023, almost all the airlines that are largely feeding 'hub' airports did better than the average: Air France, Emirates, KLM, Lufthansa and Qatar Airways all outplayed easyJet and Ryanair in getting planes away on time. They have a strong incentive for punctuality, with connections sometimes less than an hour and the penalty for messing up so high.


Telegraph
21-03-2025
- Business
- Telegraph
Heathrow passengers unlikely to be compensated by airlines after airport shutdown
Up to 130,000 airline passengers may not receive compensation for flight cancellations after the Heathrow Airport shutdown, experts have warned. Following a fire at an electrical substation supplying the airport on Friday morning, more than 1,350 flights were cancelled. Disruption is expected to continue into the weekend and potentially into next week. Experts have now warned that passengers will receive refunds but compensation will not be paid out. Julia Lo Bue-Said, chief executive of business trade association Advantage Travel Partnership, said that legally, airlines must refund their passengers for Friday's cancellations. 'If their flight has been cancelled and they're not able to get on a flight they would be entitled to EU 261 compensation,' said Ms Bue-Said, referring to a European Union rule about flight refunds. EU261, which is known in Britain as UK261, states if your flight is cancelled for any reason, the airline must offer you either a full refund or a flight on the next available alternative, even if it is with a rival airline. 'The reality on a day like today is that flights are busy, and they may be busy for the next few days,' Ms Bue-Said continued. 'An airline may just not be able to provide alternative flights as quickly as they would ordinarily be able to.' She added: 'If somebody's booked a flight, they may be able to get their refund back on a flight – but did they book their accommodation separately… [if so] they may not be entitled to a refund.' Aviation expert John Strickland said there will have been a rush of passengers looking for alternative flights to and from the UK. 'Ordinarily, on a Friday, going to weekend flights would be pretty busy, so finding seats elsewhere will be to an extent like finding a needle in a haystack,' he said. 'Flights on a Friday or Saturday to 'weekend-type' destinations – be that city breaks, or going home through a weekend, visiting friends and family, or whatever would be – those destinations will be busy. 'And also on short-haul aircraft if there's less flights operating, say, to business destinations that's probably tied in with aircraft maintenance. 'There could be a little bit of spare capacity,' he concluded, adding that this was not likely to amount to much. Ryanair has laid on four extra flights from Stansted to Dublin on Friday and Saturday, while easyJet is using bigger aeroplanes on its normal UK-EU routes. The situation on compensation and refunds may be less clear-cut for transit passengers – those passing through Heathrow whose ultimate destination is elsewhere in the world. About a quarter of passengers at Heathrow on a typical day are transit passengers, Ms Bue-Said said, estimating that the knock-on effects of Friday's total cancellations would be 'colossal'. Dozens of airlines will have to rush to reconfigure their networks to move planes and crews around. 'The other question is, what will airlines do to deal with the backlog of passengers?', said travel industry analyst Henry Harteveldt, of Atmosphere Research Group. 'It's going to be a chaotic couple of days.' The Association of British Insurers said that some travel insurance policies would probably pay out over Friday's disruption 'either automatically or as an optional extra'. 'Disruption cover usually operates only if you have been unable to get compensation from any other sources first, such as the airline or tour operator,' a spokesman said. Contacting those unable to travel The Association of British Travel Agents, representing package holiday operators, said that its members would be contacting those who are unable to travel on their booked trips. 'If your flight is part of a package holiday you will have the highest level of protections. Your travel company will be in touch regarding your holiday.' Aviation expert John Strickland suggested that airlines would be facing significant costs, potentially leading to court action. 'I'm sure lawyers will get involved in where the accountability lies, and therefore where financial responsibility lies. 'The challenge, particularly that I see, is that airlines so often are the ones who get left with the demand to pay out when quite often it's not their fault in any way, and that's certainly the case.' He added: 'Airlines will be paying large amounts or incurring large amounts of cost anyway, just to get their aircraft back. In the meantime, they're putting up passengers in hotels and providing meals and so on.' The Telegraph has published a comprehensive reader guide to flight delays and cancellations, including passenger rights to refunds and when compensation may be due.


The Independent
21-03-2025
- The Independent
Heathrow airport shutdown: What rights do you have to flight compensation?
Heathrow Airport on Friday experienced a complete shutdown due to a severe fire, disrupting hundreds of thousands of passengers. Airlines are obligated to provide care for stranded passengers, including meals and accommodations, but are not required to offer compensation as the fire was beyond their control. Passenger rights vary depending on the flight's origin and the airline. Flights from the UK and EU are covered by EC261/UK261 regulations, which stipulate care and compensation for cancellations and significant delays. For flights originating outside the UK/EU on non-EU/UK airlines, passengers have limited rights, and travel insurance may be necessary to cover expenses. Passengers can claim compensation for cancellations or delays exceeding three hours, unless the airline demonstrates "extraordinary circumstances."