TRAVEL PRICE ADVERTISING

As we have shown with our work with ABTA on misleading airline pricing in the travel industry, the self-regulatory approach can provide a more flexible alternative. ABTA's work in policing its own members was effective and ensured an undesirable industry practice was remedied quickly. Office of Fair Trading, March 2009

The exclusion of elements of the total price of travel services from advertising of travel services has long been a matter of concern to the travel industry and its consumers. Airlines in particular have historically excluded taxes, fees and charges from the basic advertised price.

Following complaints received over a number of years, the Office of Fair Trading (OFT) intervened in this issue in February 2007 by issuing demands to airlines that the basic prices offered in their advertisements should include all non-optional charges.

In a joint move, ABTA increased the monitoring of its Members and the enforcement of the relevant provisions of its Code of Conduct.

This initiative, linking statutory regulation with effective industry self-regulation, has led to clearer price advertising in the sector.

At a European level, the Common Rules for the Operation of Air Transport Services in the Community imposed similar requirements on airlines throughout the EU from November 2008.

ABTA’s Position

ABTA maintains requirements on price advertising in its Code of Conduct and issues guidance to Members on compliance.

ABTA is monitoring the effectiveness of the OFT action and the impact of the Common Rules for the Operation of Air Transport Services in the Community.

last updated: 27 February 2009