EU deal for 'bumped' air passengers

Last updated at 11:26 15 October 2003


Cheap air fares could be threatened by new European rules on delayed and cancelled flights, budget airlines warned yesterday.

Passengers who are 'bumped off' planes through overbooking will be given up to ₤420 compensation - no matter what they paid for their ticket.

Travellers who are delayed must be given meals, drinks and a hotel room - as well as a full refund or an alternative flight 'at the earliest opportunity'.

Tens of thousands of holidaymakers are expected to gain when the new rules come into force early in 2005.

But smaller airlines fear they could be priced out of business.

Under the new rules, companies which overbook must pay stranded passengers at least ₤175 for flights of less than 930 miles, ₤280 for 2,170 miles, and ₤420 for longer journeys.

If take-off is delayed for more than five hours, travellers must be offered a choice of reimbursement or another flight.

Passengers expected to wait for more than a day will be taken to a hotel and given free accommodation - as well as two free phone calls.

The European Union cracked down after previous rules, introduced more than ten years ago, failed to end the scourge of overbooking.

No-frills operator easyJet said it agreed with the plan in principle but added: 'We disagree with the way the EU has decided to offer compensation.

'Firstly, it does not take into account the reasons why flights are cancelled.

'Secondly, the average cost of our flights is ₤37 and, under these rules, people will be getting compensation worth a lot more.

'The money to pay compensation may be reflected in higher ticket costs, so passengers may end up losing out.'

British Airways said it was waiting to see the full decision. In July, thousands of its passengers were stranded when a strike crippled Heathrow.

The Association of British Travel Agents said: 'We welcome any move that improves customers' rights and ensures airlines are treating them well.

'However, most airlines, with the exception of some no-frills operators, have been offering compensation packages for some time.'

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