NEWS TRAVEL WEEKLY BUSINESS CONTINUED FROM THE BACK
Abta also raised concern
about the regulatory exemption for corporate travel given a proposal for “the CAA to lay down requirements for the contents of agreements” between corporate travel firms and corporate clients. Bunce warned: “The CAA could potentially restrict the ability of travel management companies to rely on the exemption.” He also queried the require-
ments to provide information on financial protection to consum- ers, saying: “The intention is to give more information earlier in the booking process, but there is a lack of precise wording. We don’t want to see something in- troduced from July 1 that is not subject to detailed consultation. “The PTD is very prescriptive
about the information given to customers. If the CAA is looking to add further information, is that gold-plating? This needs to be thought through.” An extension of the CAA’s
enforcement powers is also proposed, with the regulator to gain unspecified civil – as opposed to criminal – sanctions. Bunce said: “We see some merit in that. We’ve seen a distinct lack of enforcement by the CAA when an Atol-holder fails and an agent lacks a proper agency agreement. But there has to be a proportionate and carefully controlled approach.” Abta has raised two further concerns, about new reporting requirements for holders of Small Business Atols (SBAs) and the introduction of online Atol Certificates. Bunce said: “The SBA holder
is going to have to change what they do, [and] now is not the time. We don’t want people falling foul of terms they have not seen.” On online production of Atol
Certificates, he said: “Who pays for it? How will it tie up with companies’ existing systems? It will be a massive piece of work.”
Sharing economy: MPs call for ‘level playing field’. By Ian Taylor
MPs: Safety rules should apply to sharing platforms
MPs have demanded urgent action “to clarify” the safety assurances of accommodation platforms such as Airbnb and demanded “a level playing field” on standards.
The All-Party Parliamentary
Group (APPG) for tourism and hospitality issued an interim report on the findings of an inquiry into the sharing economy last week. Committee chairman Gordon Marsden, MP for Blackpool and shadow minister for higher education and skills, told an English Tourism Week conference: “New businesses are not compliant with regulations to keep visitors safe. Health and safety enforcement agencies find it difficult to check these businesses. Sharing-economy customers are potentially less protected.” Reporting on the findings of
the committee, Marsden told the conference: “It’s important to ensure new distribution models
‘The likes of Airbnb should not grow at expense of safety’
The interim report on The Sharing Economy by the All-Party Parliamentary Group of MPs may make uncomfortable reading for Airbnb and similar platforms. The MPs call for standardised health-and-safety regulations across accommodation providers and platforms. Their report notes: “Customers
[of platforms] . . . are less protected if things go wrong than they assume.” It concludes: “Growth
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travelweekly.co.uk 29 March 2018
safety regulations before posting listings on sites.” Marsden noted: “The platforms
say data-sharing regulations prevent them sharing data.” But he said: “There is increasing
evidence of professional operators using platforms as a low-cost route to market. An increasing number of properties [on these platforms] are commercial in nature.” He added: “Ever-more
properties are being turned over to shorter term rents [and] many residents feel the impact.” Marsden said: “It is proposed
MARSDEN: ‘Sharing-economy customers are less protected’
are held to the same standards as older [businesses]. “The bulk of the issues stem
from the fact that leading sharing- economy platforms do not check hosts’ compliance with health and
that it isn’t necessary to regulate the sharing economy. [But] if that is the case, the government should deregulate the B&B sector. Consumers should be protected.” The committee has made six
interim recommendations, based on the principle that “businesses offering accommodation should compete on a level playing field”. A final report is due in May.
must not be at the expense of consumer safety.” The MPs suggest “problems
around regulatory compliance stem from a failure of enforcement”. The report says: “Leading sharing-economy platforms do not check if hosts
are compliant with regulations such as gas and fire safety before allowing them to post a property. A checklist provided to hosts does not reach the standard expected by current regulations and sharing-economy businesses do not undertake checks.” The MPs found it “of particular concern that sharing-economy companies deny responsibility for customer safety”. They argue: “If traditional booking agents for self-catering properties can be held liable for not checking the safety of properties, we see no reason why sharing-economy platforms cannot be held liable.”
GILEAD LIMOR
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