CMA warns package travel firms over refunds ahead of summer trips

20th May 2021 by admin

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The Competition and Markets Authority (CMA) has warned package holiday companies to respect the refund rights of holidaymakers ahead of the summer period.

The CMA has published an open letter to tour operators and has also sent it directly to the 100 package travel firms with the most complaints about them. The letter reminds the firms of their legal obligations and of the need to ensure refund options are clear and accessible.

As a result of CMA action, TUI UK has now given a formal commitment – known as an ‘undertaking’ – to provide clearer information on refunds upfront to customers whose holidays have been cancelled due to coronavirus (COVID-19). The company had already taken steps to meet concerns raised by the CMA, by improving the information it provides to customers and making it easier for people to get their money back.

Since March 2020, the CMA has received over 23,000 complaints from consumers about refund issues relating to package holidays that could not go ahead due to the pandemic. In acknowledgement of this, today’s letter to the package travel sector sets out what businesses should provide and what customers can expect, including:

[Source: Competition and Markets Authority, May 2021]

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