Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what guidance his Department has given to (a) travel companies and (b) insurers on refunds for holidays booked to green list destinations that are subsequently moved to the amber or red travel list under covid-19 regulations.
The Government is clear that businesses should treat their customers fairly and responsibly and in accordance with their statutory rights, and where disagreements arise in respect to holiday cancellations and refunds, they should seek to find a mutually acceptable solution.
The Package Travel Regulations 2018 and the Consumer Rights Act 2015 outline the conditions under which a consumer is entitled to a refund from travel companies if a travel package is cancelled or severely disrupted. The Competition and Markets Authority has made clear, for instance in its open letter to the package travel sector of 13 May 2021, that organisers of package holidays are expected to comply with travellers’ statutory rights, for example by offering consumers a right to cancel and receive a full refund within 14 days if, due to circumstances beyond its control, the organiser needs to alter significantly any of the main characteristics of the package. Travelling to countries against FCDO advice is likely to invalidate customers’ travel insurance.
Furthermore, the Passenger Covid-19 Charter was published by Department for Transport on 17 May 2021, providing information on the rights and responsibilities of passengers booking travel while Covid-19 restrictions remain in place. It also sets out reasonable expectations for industry, including offering flexibility, where possible, for bookings affected by changes to Covid-19 restrictions and to traffic light categories.