The collapse of the scheduled airline EUJet this week has resulted in thousands of British customers stranded in eight European countries and having to purchase alternative tickets to get back to the UK.
Clients with future bookings - of which there could be in excess of 50,000 - are also unlikely to receive any form of refund unless they have used a credit card and paid more than £100.
ABTA President Martin Wellings said: “ABTA has been lobbying for many years for consumer protection to be extended to cover the failure of scheduled airlines and this failure regrettably underlines the need for Government to extend this protection urgently. This failure is very frustrating and disappointing for travellers hoping to enjoy a well-earned and stress-free holiday.”
Consumers are only guaranteed full protection if they book a flight or a holiday through an ATOL bonded supplier and only just over half of British travellers flying internationally are now covered by the ATOL scheme. ABTA alongside other travel organisations have been lobbying the Government to modernise consumer protection by supporting the Civil Aviation’s proposal of introducing a £1 levy on all flights in and out of the UK.