ABTA calls for Airlines to have financial cover after Flyglobespan collapse
ABTA is calling on the Government to take action following the failure of Scottish airline Flyglobespan which has left thousands of people who booked flight only tickets stranded abroad and thousands more out of pocket. The airline was linked to the tour operator Globespan, which sold package holidays, these are obliged by law to be financially protected and Globespan package holiday customers are being flown home free of charge by the Civil Aviation Authority under the Air Travel Organiser License [ATOL] scheme.
ABTA has repeatedly raised the issue of this double standard of financial protection and recommended that airlines be required to offer the same level of financial protection as package tour operators. This would ensure airline customers would be provided with flights home free of charge or refunds for future bookings if an airline collapsed. The Department of Transport is currently reviewing the scope of the ATOL scheme and the European Commission looking into the current lack of airline financial protection and ABTA is urging both to take urgent action.
Mark Tanzer ABTA Chief Executive said “Once more a bankrupt airline has left customers stranded abroad and out of pocket. The Government must take action so that airline customers are no longer treated as second class citizens and have the same level of protection that tour operators have provided to their customers for over 30 years”