Civil Aviation (Consumer Protection and Regulatory Reform) Bill [HL]

Earl Russell Excerpts

2nd reading
Tuesday 2nd June 2026 Lords Chamber

[Earl Russell (LD)]

My Lords, I thank the noble Lord, Lord Hendy of Richmond Hill, for introducing the Bill and for the briefings that he and his team have kindly provided to Members of the House. We approach this Bill with an open mind and with a clear desire for greater clarity and certainty. Its relatively short length masks the complexity of the systems it seeks to update and reform, as well as the significance of the mechanisms chosen to implement those changes.

On the face of it, the Bill seeks to strengthen consumer protections, support economic growth and infrastructure, and modernise and enhance aviation safety. Of course, those are all laudable aims. However, the policy space that the Bill occupies is both crowded and contested, and the interaction between its different elements requires great scrutiny. Airspace modernisation is long overdue, but it may also facilitate increased capacity and, potentially, airport expansion. Likewise, the stronger consumer protections are clearly needed, but we must be confident that the measures proposed will work as intended in practice.

The Bill provides a framework rather than a finished product. It establishes significant delegated powers and relies heavily on secondary legislation, placing key decisions one step removed from parliamentary scrutiny. For these reasons, we will seek further clarity and assurances across three principal areas: first, the relationship between airspace modernisation, airport expansion and our environmental commitments; secondly, the delivery of improved and effective consumer protections; and, thirdly, the scope and use of delegated powers within the Bill.

I turn first to airspace modernisation and slot allocation. The aviation sector remains a vital and growing part of the UK economy. It supports jobs, enables trade and logistics, connects us to global markets and underpins both inbound tourism and outbound travel. According to the latest Civil Aviation Authority data, more than 61 million passengers travelled through UK airports in the first quarter of this year alone— a record high driven by short-haul European flights. Many of those journeys could and should be taken by rail, which is far better in terms of our carbon outputs. Yet this growth also presents a clear challenge.

The Climate Change Committee’s 2025 progress report to Parliament makes it clear that, while overall UK emissions are declining, aviation now contributes a greater share of total emissions than the electricity supply sector. It also warns that continued growth in aviation emissions could place our future climate targets at risk. While we are clear in our opposition to further airport expansion in the south-east, the Government have publicly indicated support for expansion, including a third runway at Heathrow. That policy context inevitably shapes how this Bill is read and understood.

Aviation remains one of the most difficult sectors in which to reduce emissions. While emerging technologies, including sustainable aviation fuels, are welcome and necessary, they have inherent limitations and they are emerging technologies. The Climate Change Committee has been equally clear that, should technology progress fall short, the Government may need to consider demand management measures to remain on track to net zero. Against this backdrop, I welcome the Minister’s clear statement that this Bill is not intended to enable airport expansion, either directly or indirectly, and we are grateful for that.

On these Benches, we recognise the need to modernise our airspace. The UK has some of the most congested skies in the world, and our airspace management systems have not been fundamentally updated since the 1950s. They remain structured largely around ground-based navigation systems that are increasingly outdated. Modernisation, if done well, offers real benefits, improved efficiency, enhanced passenger safety, reduced noise for affected communities and lower emissions through more direct and optimised flight paths. We therefore support this complex but necessary work, including the proposal to establish a UK airspace design service to oversee its delivery.

However, while we understand the Government’s desire for powers to direct this work, including in relation to slot allocation and scheduling, it would be remiss of us not to seek clear assurances about how these powers will be used in practice. In particular, we are concerned to ensure that the powers cannot be used deliberately or inadvertently as a back door to increased airport capacity or expansion, without appropriate scrutiny. In that context, I ask the Minister to reaffirm that decisions taken under these powers will continue to be informed by the independent advice of the Climate Change Committee, and I would also welcome greater clarity on the relationship between airspace modernisation, slot allocation and any future increase in overall capacity or passenger numbers.

At what point does operational reform become, in effect, expansion, and how will Parliament be able to distinguish clearly between the two? Furthermore, what safeguards exist to ensure that, even if the present Government do not intend to use these powers to facilitate expansion, a future Government could not do so without proper oversight? We will seek to work constructively with Ministers to establish appropriate guardrails, including stronger requirements for monitoring, reporting and transparency in relation to the airports national policy statement, the environmental impacts and the effect on our local communities of noise.

I turn briefly to consumer rights. We agree that the current system is not functioning as it should. We also recognise that many of these powers are coming to an end and need to be reformed. From delays and cancellations to lost luggage and overbookings, passengers too often experience poor outcomes and inconsistent enforcement. It is essential that passengers can rely on robust protections and that the regulators have the tools needed to ensure swift and ready compliance.

The fact that the Civil Aviation Authority has, in some cases, had to resort to the courts to enforce basic consumer protections points to systemic weaknesses. We therefore broadly welcome the strengthening of the CAA’s powers, bringing them in line with other consumer rights. However, the Bill also provides for potential divergence from retained EU law in this area. At a time when the European Union is updating passenger protections and the Government have indicated a desire for broader alignment in certain areas, we will be seeking clarity that the intention here is one of convergence rather than divergence.

We also strongly support measures to improve the experience of passengers—particularly those with mobility impairments, who continue to face significant and unacceptable barriers when travelling, particularly in relation to their mobility aids. More broadly, however, we consider that the Bill is overly cautious in its approach to consumer rights. It presents a real opportunity to place passengers more firmly at its centre. There are many issues here that need broad reform, from not separating families or travellers from the people they are with to the size of hand luggage and extra charges added to people’s bills. We would like to see a statutory passenger charter in the Bill to ensure that high standards are not only articulated but embedded in practice.

Finally, on delegated powers, we will consider carefully the forthcoming report of the Delegated Powers and Regulatory Reform Committee. Given the breadth and significance of the powers proposed, it is essential that appropriate safeguards, limits and mechanisms for parliamentary oversight are in place. I welcome the Minister’s opening comments on that, but more needs to be done and amendments will be needed in this space.

While we broadly support the aims of this Bill, we will work constructively to ensure that it aligns with our environmental obligations, delivers tangible benefits for our communities and provides meaningful, effective and enduring consumer protections.