Jet2 and TUI have ruled out fuel surcharges despite costs continuing to rise since the outbreak of the conflict in the Middle East.
Under the Package Travel Regulations, firms can add surcharges of up to 8% after booking in certain circumstances, if this is included in their terms and conditions, but Jet2 has guaranteed none will be applied to flights and holidays across all seasons on sale up to summer 2028.
Chief Customer Officer David Hills said: “Customers work and save hard for their holidays, so they deserve certainty from the moment they book. As they plan their getaways this winter and beyond, we are reaffirming our No Fuel Surcharges guarantee and making it clear that the price customers book with Jet2 is the price they will pay, with no fuel surcharge added later.”
TUI UK & Ireland Managing Director Neil Swanson previously announced at the ABTA Convention in Madeira that the operator was ‘categorically not considering fuel surcharges’. “As part of the trust, the price you pay is the price when you book your holiday,” he said.
Fuel costs and currency fluctuations are among the legitimate reasons for surcharges, but they can’t be added within 20 days of departure. If the surcharge exceeds 8% of the total holiday cost, the company must offer customers the option to cancel and receive a refund.
Neil did admit companies were ‘concerned’ about rising fuel costs, with IATA figures revealing fuel now makes up 31% of airline operating costs, up from 25% last year.
He added: “If nothing changes then I think costs across the industry will go up and the prices will go up. However at TUI, once you’ve committed to book and you’ve paid, then nothing will change the price.”
Earlier this week, Ryanair CEO Michael O’Leary warned European airfares could rise by as much as 20% next year due to the surge in jet fuel prices.
“You’re going to see air fares rise next year in Europe, I think by 10, 15, maybe 20%. You’re going to see the biggest increase in airfares, I would say, in history in Europe for the next 12 months,” Michael told a press conference in Brussels, as reported by The Guardian.
