Holidays: Compensation

Transport written question – answered on 2nd July 2012.

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Photo of Lorely Burt Lorely Burt Chair of the Liberal Democrat Parliamentary Party

To ask the Secretary of State for Transport how many British nationals, whose holiday provider had gone bankrupt, received compensation under EU Regulations in (a) total and (b) each year since the coming into force of such regulations; and if she will make a statement.

Photo of Theresa Villiers Theresa Villiers The Minister of State, Department for Transport

The EU Package Travel Directive, implemented in the UK through the Package Travel, Package Holidays and Package Tours Regulations 1992 (the PTRs), requires organizers of package holidays, amongst other obligations, to provide sufficient evidence of security for the refund of money paid over and for the repatriation of the consumer in the event of insolvency.

For package holidays including a flight, package holiday organisers meet this obligation by holding and complying with the requirements of a licence issued under the Air Travel Organisers' Licensing (ATOL) scheme. Between 23 December 1992, the date the PTRs came into effect, and 31 March 2011, 202,216 passengers were repatriated and 933,624 passengers received a refund under the ATOL scheme. Details of the number of passengers that received refunds and repatriation assistance under the ATOL scheme for the years between 23 December 1992 and 31 March 2011 are in table 1 as follows.

Package holiday organisers for package holidays that do not include a flight cannot be part of the ATOL scheme but have a choice of other ways to provide insolvency protection for consumers. The Government do not hold figures for the number of passengers that have received refunds or been repatriated under these arrangements.

Table 1: Number of consumers repatriated or refunded during each year ending 31 March (unless otherwise specified) under the Air Travel Organisers' Licensing (ATOL) scheme
  Repatriations Refunds Total
1993(1) 1,476 64,658 66,134
1994 10,560 22,269 32,829
1995 11,417 124,641 136,058
1996 13,816 20,814 34,630
1997 19,343 61,824 81,167
1998 7,439 25,049 32,488
1999 11,559 24,459 36,018
2000 668 9,934 10,602
2001 187 4,775 4,962
2002 6,567 13,144 19,711
2003 516 3,849 4,365
2004 1,984 11,880 13,864
2005 11,634 21,969 33,603
2006 1,754 21,858 23,612
2007 4,706 54,116 58,822
2008 1,650 20,771 22,421
2009 47,482 236,691 284,173
2010 2,445 45,114 47,559
2011 47,013 145,809 192,822
Total 202,216 933,624 1,135,840
(1) 23 December 1992-31 March 1993. Source: Air Travel Trust Report and Accounts 1993-2010 and Air Travel Trust Report and Financial Statements 2011

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