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Image header Agence Europe
Europe Daily Bulletin No. 11040
Contents Publication in full By article 24 / 35
SECTORAL POLICIES / (ae) consumers

EP wants to strengthen package holiday rights

Brussels, 17/03/2014 (Agence Europe) - In Strasbourg on 12 March, the European Parliament voted in favour of updating the directive on package holidays (Directive 90/314/EEC) to adapt it to the digital age, and to extend the definition of package holidays to all kinds of travel that include features such as flights, hotels and car hire. This aims to protect holidaymakers in the event of any problems arising (see EUROPE 11017). Following the line of the rapporteur, Hans-Peter Mayer (EPP, Germany), MEPs voted by a large majority (610 for, 58 against, with 13 abstentions) to strengthen holidaymakers' rights and ensure that travellers know before signing a contract whether their trip is not a package holiday, that they are not left stranded in the event of their tour operator going bankrupt and that they are protected against significant price hikes or timetable changes.

The rapporteur explained that “travellers must be informed of their rights and the way in which they are covered. The updated directive includes a high level of protection and information for consumers”. This first reading vote paves the way to negotiations between Council and the new parliament after the next elections.

The text voted on stipulates that: - if “unavoidable” and “unforeseen” circumstances, such as natural disasters or a terrorist attack, make it impossible for the traveller to return home on time, the organiser has to arrange accommodation of a similar standard to the accommodation originally booked or alternatively pay for a stay of five nights costing up to €125 per night if the organiser is unable or unwilling to make a booking (the Commission proposal says three nights at no more than €100 a night); - organisers should not be able to change the flight times significantly, that is by more than three hours, after a sale is concluded; - prices can only be raised after a sale is concluded for special reasons such as an increase in fuel prices or taxes; if the price is raised by more than 8% (the Commission proposed 10%), the traveller should be offered another holiday or be reimbursed; - travellers should be repatriated if their travel organiser goes bust while they are on holiday and, if it is possible, travellers should have the option of continuing their trip before travelling home.

BEUC disappointed. The European Consumers Bureau (BEUC) has pointed out that some of the new online sales methods (supplementary services offered by airlines, such as nights in hotels or car hires combined with airline tickets) that are similar to package holidays are not covered. Monique Goyens, BEUC Director General, said that “this new law will not enable consumers to easily distinguish whether they have bought a travel package or a selection of separate services with lesser protection. The main objective of the review was clarity and it is wide of the mark on that”. BEUC also deplores the decision on comprehensive harmonisation, which will abrogate different national legislation that provides more protection (in Germany, for example, prices cannot increase by more than 5% before departure, states the BEUC). BEUC also regrets that Parliament abandoned the idea of imposing a ceiling on price increases after a package holiday has been sold. (AN)

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