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ABTA and Advantage welcome UK government?s decision to back refund credit notes

Travel industry groups have welcomed the government?s announcement that all refund credit notes will be protected under the ATOL scheme for holidays cancelled  due to COVID-19.

Under the new ATOL scheme, passengers who accept vouchers for cancelled holidays as a result of COVID-19 will be protected, even if the company later collapses, or when a refund remains outstanding after an agent has been unable to secure reimbursements from airlines or other suppliers. The scheme applies to non-flight and flight-based packages, with ABTA bonding under the Package Travel Regulations. This assurance enables consumers to rely on refund credit notes when rebooking a holiday.

An ABTA spokesperson said: ?The move will particularly help tour operators who have not been able to refund customers immediately for cancelled package holidays, because they are waiting for money back from the airlines and other suppliers. We now need the government to listen to the industry calls for support, and to protect businesses and jobs, until its recovery can take effect.?

Julia Lo Bue-Said, CEO at Advantage Travel Partnership said, ?We welcome the long-awaited announcement from the government to protect refund credit notes offered, if ATOL protected package holidays are cancelled as a result of COVID-19. Even as the world begins to slowly reopen its doors, travel anywhere will remain an uncertain and complex experience, so it is vital that consumers can start to plan a holiday in the full knowledge that they are protected, if they cannot travel due to COVID-19 related issues. Since the recent announcements by the government, we have seen an encouraging rise in the number of bookings. We do urge consumers not to panic buy holidays, to discuss every aspect of their holiday experience with a travel agent, who will know what to expect during the constantly changing circumstances.?

?We have created a check list for our travel agent members, to help their consumers navigate their way through the new airport and destination protocols, new health requirements and be prepared for a different type of holiday experience. The checklist also ensures that the travel agent covers off all destination requirements for entry, as well as reminds customers to review their insurance policies to ensure they are currently fit for purpose,? she added.

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