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Burriana Beach, Nerja, Spain


CMA warns industry to comply with refunds law


Authority says non-return of payments from airlines is no defence. Ian Taylor reports This will be a key consideration


The Competition and Markets Authority (CMA) has served notice on the industry that it will “use all the powers” at its disposal to ensure travel firms “comply with the law” on refunds. CMA consumer group director


Hayley Fletcher repeated the warning issued in a CMA open letter to the package travel sector on May 13 when she addressed the Abta Travel Law Seminar last week. The letter clarified the CMA’s view in two key areas, on Foreign Office


48 27 MAY 2021


(FCDO) advice and where airlines withhold refunds. Where travel organisers delay


making full refunds “until they receive back payments made to airlines or accommodation providers”, the CMA noted: “Organisers are legally obliged to refund consumers irrespective of whether funds are first received back. “The fact that an organiser has not


been refunded by third parties does not in any way relieve organisers of their duties under the Package Travel Regulations.”


in light of the lengthy amber list of destinations to which airlines are scheduling flights but to which customers may choose not to travel. The CMA letter made no mention


of the government’s traffic light system but confirmed the industry view that FCDO advice remains decisive in deciding whether a package holiday can proceed to a destination.


Continued on page 46 travelweekly.co.uk


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PICTURE: Shutterstock/Valery Bareta


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