Reforms to package holidays to encourage more choice and cheaper summer breaks
British holidaymakers could benefit from greater choice, and more competitive prices thanks to a review of travel regulations that cut red tape for travel operators.
- 12-week consultation launched to make UK-based domestic package travel rules clear and effective
- New rules could cut red tape for businesses and help grow the economy
- Consultation to ensure the effective protection of consumer rights alongside bespoke package travel protections
British holidaymakers could benefit from greater choice, and more competitive prices thanks to a review of travel regulations that cut red tape for travel operators.
The Government has today [Wednesday 20th September] launched a consultation to ensure consumer protection rules for package holidays within the domestic UK market are fit for purpose for both businesses and consumers. This comes as part of a wider set of reforms aimed at bringing in Smarter Regulations for businesses.
The consultation will seek feedback from the domestic travel and tourism sector on how new rules could best suit British needs to help drive growth, support businesses and offer cost-effective options to consumers. Voices across the industry will be invited to provide insights and feedback, including businesses like tour operators and travel agents, regulators and consumer advocacy groups.
The consultation will look at areas including whether the same set of regulations for international holidays are needed for UK-based package holidays, as well as making current rules more proportionate to businesses including where current industry groups say they are dissuaded from offering package style arrangements because of disproportionate regulatory burdens.
They will consider how package travel rules could be simplified and unnecessary burdens could be lifted with the result that businesses offer more choice, at competitive prices, to consumers.
Improved regulations in this industry will ensure businesses are supported and aren’t held down by unnecessary regulatory burdens, and consumers will better understand what rights they have when booking a package holiday.
This consultation comes as the travel industry recovers from the pandemic, offering an opportunity to reflect on where improvements could be made to unlock growth and deliver better outcomes for customers, including in unforeseen circumstances or in the face of significant disruption.
Business Minister Kevin Hollinrake said:
“Our domestic travel industry is crucial to our economy, but many holiday companies are faced with often over-burdensome regulations that make it difficult for them to grow and thrive.
“Today’s consultation is a major step to cutting red tape, which could benefit millions of British holidaymakers and give the sector a much-needed boost for the future.”
The Government is committed to ensuring high standards of consumer protection and we have introduced the Digital Markets, Competition and Consumers Bill to Parliament to strengthen these protections in the UK.
Notes to Editors
- A 12-week consultation begins today which will conclude in December
- The consultation looks at whether reforming domestic package holidays would unlock opportunities for the UK tourism sector to offer new and cheaper options to holidaymakers and in recognition of the unique challenges consumers can face when things go wrong overseas.
- The consultation identifies areas where business could have greater freedom in how they secure consumer protections and where the regime could be simplified so businesses are better able to meet requirements and consumers are clear about their rights. This includes seeking to understand lessons learned from how the regime operated over the pandemic and what would best support business and consumers to deal with significant unforeseeable disruption in the future.
- Smarter regulation is about improving regulation across the board, ensuring it is as clear as possible and only used where necessary and proportionate. The Government is committed to taking action to reduce the burdens on business; reduce the cost of living and deliver choice to consumers.
- Whilst ATOL is not a key announcement today, the consultation document does reference the ongoing work by the Department for Transport (DfT) and the Civil Aviation Authority (CAA) to reform the ATOL scheme. It also identifies that DfT is also reviewing the enforcement options available to the CAA to ensure that they have the right tools for the purposes of maintaining compliance with the ATOL scheme.