The travel industry ‘mainly supports’ reform of the Package Travel Regulations (PTRs), which are currently undergoing a second consultation on the proposed changes.
Speaking as part of a panel discussion at ABTA’s Travel Law Seminar on Monday (12 May), dnata Travel Europe Legal Director Matt Vaggers said: “I think the industry mainly supports reform. It’s reassuring that the Department for Business and Trade (DBT) has the right ideas in mind.”
The sentiment was echoed by TMU Management, Trust My Group, Group CEO William Plummer, who called the proposed changes to PTRs ’the right steps and the right needs being met’.
Earlier in the day, DBT Senior Policy Advisors Andrew Powell and Danielle Gazi provided an update on the reform.
The DBT is deciding whether to remove domestic UK holidays that do not contain a booked travel element from the regulations.
Removing domestic UK holidays from the PTRs will help micro businesses ‘bundle’ services together, something the DBT claims is not possible at present.
Danielle used the example of a pub, a golf course and a paddle board company ‘bundling’ together services to holidaymakers to showcase the best of a UK destination.
But Themis Advisory Director Joanna Kolatis said: “I wouldn’t remove domestic packages.”
There was a concern that removing domestic UK holidays could create a two-tier approach: those holidays that do not need to adhere to the PTRs and those that do.
There also remains uncertainty over whether destinations like the Channel Islands will be included as part of domestic UK holidays.
Andrew explained that discussions were already underway regarding the geographical scope of domestic UK holidays.
He added: “It will come down to the writing of the legislation.”
The DBT is also considering removing Linked Travel Arrangements (LTAS) altogether.
A linked travel arrangement is a combination of two or more travel services that are sold together but not considered a package.
“During the call for evidence, LTAs were described as complicated and hard to understand,” said Andrew.
While travel companies like easyJet and Eurostar reportedly use LTAs, evidence collected by the DBT seems to suggest that LTAs are not widely used in the industry.
Further clarity is also needed on what services are within the scope of the regulations. Currently, ‘other tourist services’ form part of a package if they make up a ‘significant proportion’ or are an ‘essential feature’ of a package.
Danielle added: “The call for evidence suggests it’s better to remove ‘significant proportion’ from the wording.”
A time limit for third parties to provide redress to organisers where the third party has contributed to an event but has not already provided redress directly to the consumer has been proposed at 14 days.
Other reform areas are also still being discussed, including extending the scope of the licensing for the insurance and whether or not to introduce mix and match protection.
Subject to the outcome of the consultation, the Government will make its final decision on whether and how to change the 2018 PTRs.
The second consultation will draw to a close on 30 June 2025, with the DBT still gathering evidence and views from companies, with Andrew still urging travel companies to provide their responses.
Main picture, from left: DBT Senior Policy Advisors Danielle Gazi and Andrew Powell
