Source · Select Committees · Transport Committee
Recommendation 12
12
Paragraph: 67
In the absence of additional powers, the Civil Aviation Authority must utilise its existing powers...
Conclusion
In the absence of additional powers, the Civil Aviation Authority must utilise its existing powers to challenge businesses and to pursue enforcement orders from the courts to tackle infringements of consumer rights in relation to refunds. Although that process may be lengthy and costly for the regulator, it is the best form of recourse available to consumers trying to secure refunds, until the Civil Aviation Authority is granted the power to impose financial penalties.
Paragraph Reference:
67
Government Response
Acknowledged
HM Government
Acknowledged
The Government has noted this recommendation. The CAA is able to enforce aviation consumer law where infringements harm the collective interests of consumers. Currently, they have a range of enforcement actions available, and in line with best practice, the CAA will generally utilise more collaborative approaches where possible. Their current approach is based on reputational regulation where they consider a specific aspect of the law and review the level and method of compliance across a large section of the industry. Ensuring consumers have the protections they need is essential, and we are currently exploring options to go further in this area. This includes through the Aviation Consumer Policy Reform Consultation (which closed on the 27 March 2022). The consultation sought views on whether the CAA should have additional powers, as well as whether they should be able to enforce individual cases. We are currently considering responses and will respond in due course. For an individual consumer who feels their rights have been breached, their first step is to raise their complaint directly with the airline. In the event that their complaint is not resolved, they may be able to escalate their complaint through Alternative Dispute Resolution (ADR), if the airline is a member of an ADR body. ADR is currently voluntary for airlines, however, as part of the Aviation Consumer Policy Reform Consultation, we sought views on whether to mandate ADR for all airlines operating to, from and within the UK. We are currently reviewing and analysing responses and will set out next steps in due course.