CALLS have been made for a new mandatory aviation ombudsman, amid growing concerns that proposed changes to the 'broken airline complaints system' fall far short of what is needed to restore consumer trust in travel.
According to a new survey trust in the travel industry is worryingly low, with nearly a third (31%) of consumers saying they do not trust airlines and travel operators as concerns continue over rights to refunds for trips.
The consumer organisation Which? has responded to the Civil Aviation Authority’s (CAA) consultation on potential changes to its current Alternative Dispute Resolution (ADR) policy, highlighting how the current rules do not work for consumers and risk further damaging trust in the travel sector.
Passengers have complained that they have been let down by the convoluted dispute resolution process with some battling for over a year to receive compensation for their case, despite promises that cases would be resolved within 90 days.
A former transport secretary has called for “much-need reforms” to the CAA’s powers to force airlines to issue refunds to consumers without “inexcusable delays”.
Conservative peer Lord Young highlighted “tens of thousands of passengers” who had complained to the CAA about delays in getting their money back from cancelled flights during the pandemic.
He called for the government to “bring in much-needed reforms to enable the regulator to take swift and effective action to protect consumers when the law is broken”.
Recent Which? research revealed that many airlines and tour operators have 'broken the law' by not issuing refunds for cancelled trips, despite assuring the aviation regulator that it would sort things out.
There are growing concerns that holiday firms have held back billions of pounds in refunds, as they battle with the worst financial crisis their industry has ever faced.
Holiday companies should offer refunds within 14 days while for airlines it is seven days, but many consumers were still waiting for their cash months after trips were cancelled because of the coronavirus.
In August the Civil Aviation Authority (CAA) said it had found airlines had upped their game when it comes to providing refunds following a review of the refund policies and performance of UK airlines and three of the largest international operators to the UK.
But the consumer organisation found evidence that airlines were "reneging" on promises about how they would improve their refund processes, including from some passengers who have been left out of pocket since March.
The CAA’s proposed changes to the internal rules for ADR schemes include a new process for “complex and novel” cases and a post-decision review process which Which? says could give airlines an opportunity to influence how future cases are handled.
The consumer organisation said it was "concerned the proposed changes will do little to address the weaknesses of the existing system, and amount to little more than tinkering around the edges".
The proposals also appeared to "prioritise airlines’ perspectives over consumers, and risk already weak consumer protections being further diluted".
Now Which? is calling for the government to introduce a new aviation ombudsman scheme that all airlines operating in the UK must be made to join to improve the passenger complaints process, as part of its upcoming aviation recovery plan.
Rory Boland, editor of Which? Travel, said: “Throughout the coronavirus crisis, passengers have seen their consumer rights ripped up by some airlines that have consistently flouted the law – but they have found there is nowhere to turn for support.
“This situation has only served to highlight that the current complaints system is broken, and tinkering around the edges will not be enough to reform it and make it work for passengers.
“The government must ensure that passengers’ needs are front and centre in its aviation recovery plan, starting with the introduction of a mandatory, single ombudsman scheme for airlines, as a first step to restoring trust in the sector.”
One consumer, Premini Mahendra used a claims management firm to fight her case against one travel firm after her flight was delayed by 13 hours. The case took 12 months, and a bailiff was eventually required to collect the compensation. Premini was awarded €400, of which the solicitors took almost €180.
She said “They just wanted to frustrate me and string out the process. Lots of people probably just give up.”
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