Thomas Cook

Debate between Grant Shapps and Douglas Chapman

Wednesday 25th September 2019 Commons Chamber

[Grant Shapps]

Yes. That situation will depend on whether the holiday was in the end booked through an ATOL-protected scheme or not. From the hon. Lady’s description, it sounds like it may have been, but I suggest that she writes to me with the full details and I will ensure that the case is investigated.

[Douglas Chapman (Dunfermline and West Fife) (SNP)]

In this House on 16 May, I raised the issue of the sustainability of Thomas Cook following a Brexit-related trading warning. The ministerial response at that point reeked of complacency on stilts. What discussions have taken place between the Government and Thomas Cook during this period, and what actions were agreed between the Government and Thomas Cook to avoid the company’s collapse?

[Grant Shapps]

The CAA holds a large part of the duty of ensuring the sustainability of an airline. In fact, it would have been responsible for renewing the airline’s licence at the beginning of October, so it was keeping a close eye on things. The Department will—latterly, as things got much more serious, particularly through the later profit warnings—have become increasingly involved. I was made aware at some point after I joined the Department of the difficulties that the company may have been in. Of course, everyone was hoping that the airline would be rescued, and there were very serious and full talks in place to rescue it. The problem for anyone commenting on such things is that they can precipitate exactly the thing they are trying to avoid.