The Civil Aviation Authority (CAA) is offering discounts to ATOL holders who submit September renewal applications early.
The regulator said it wanted to avoid last-minute renewal delays and is offering discounted renewal fees for applications submitted before 1 September, with higher savings available for applications received by 1 August.
While early and standard renewal fees have been used previously, this is the first year the CAA has introduced two discount deadlines, with a ‘much larger’ difference between the lowest and highest fees.
Small Franchise ATOL holders can get a 27.5% discount by submitting their renewal application by 1 August, paying a fee of £630. This rises to £750 for applications submitted between 2 and 31 August, while those received from 1 September will incur the full renewal fee of £869.
For Large Franchise ATOL holders, the discount is almost 39% for applications submitted by 1 August, with the renewal fee reduced to £1,373. This rises to £1,931 for applications received between 2 and 31 August, while those submitted from 1 September will be charged the full fee of £2,240.
Additional savings are also available to ATOL holders who pay both CAA and ATOL Protection Contribution (APC) fees by direct debit, bringing potential savings up to 48% for Small Franchise ATOL holders and and Small Business ATOL holders, and 38% for Large Franchise ATOL holders.
The CAA said the incentives are designed to support a smoother renewal process and reduce pressure on both businesses and its licensing team.
CAA Head of ATOL Licensing Operations Cecile Durand-Agbo said: “The availability of fee discounts means there is a clear benefit for businesses that apply early, while also helping to ensure a smoother renewal process across the industry.
“We encourage all ATOL holders due to renew in September to submit their applications in good time, to avoid any risk of disruption to their ability to trade from 1 October.”
ATOL holders must renew their licences annually, with renewal windows falling at the end of March and September. Without an ATOL licence, UK travel organisers cannot legally sell flight-inclusive packages. The scheme had 1,674 licensed businesses at the end of March 2026.
A spokesperson for the CAA told Travel Gossip: “When an application for license renewal is submitted, the CAA needs to review the information submitted to assess the merits of the application.
“This process takes time. Given the number of ATOL licenses with an expiry date of 30 September up for renewal, the CAA is pushing for early submission to ensure that applications can be processed in time for that expiry date.”
