Business

British Airways, Ryanair exempt from paying refunds for cancelled lockdown flights

Law does not provide passengers with a sufficiently clear right, rules regulator

Updated 5 years ago · Published on 07 Oct 2021 9:00PM

British Airways, Ryanair exempt from paying refunds for cancelled lockdown flights
The Competition and Markets Authority regulator says it has closed its probe into British Airways and Irish carrier Ryanair after finding the law unclear. – Pixabay pic, October 7, 2021

LONDON – Britain ruled today that British Airways and Irish carrier Ryanair are not obliged to refund customers whose flights were cancelled because of the pandemic.

The Competition and Markets Authority regulator added in a statement that it had closed its probe into both airlines after finding the law unclear.

“The CMA has concluded that the law does not provide passengers with a sufficiently clear right to a refund in these unusual circumstances to justify continuing with the case,” it said.

The watchdog had in June launched its investigation into whether the two airlines had broken the law in failing to offer refunds for flights that could not be taken during lockdown.

“Consumer protection law sets out that passengers are entitled to refunds when an airline cancels a flight, because the firm cannot provide its contracted services,” the CMA added today.

“However, it does not clearly cover whether people should be refunded when their flight goes ahead but they are legally prohibited from taking it.”

The regulator added it would not pursue its investigation because it would take a long period of time in the courts to reach an “uncertain outcome”.

Both airlines welcomed the watchdog’s decision.

However, Rory Boland, editor of consumer magazine Which? Travel, described the outcome as “disappointing”.

“It’s hugely unfair that passengers have been left to shoulder the bill for following the law and protecting public health by staying home, while British Airways and Ryanair have been allowed to hold onto their cash for flights people couldn’t legally take.”

Aircraft were grounded worldwide as a result of the deadly Covid-19 pandemic, devastating demand for air travel and sparking thousands of job cuts across the sector. – AFP, October 7, 2021

Related News

Community / 3w

Visit Terengganu Year 2027 - Many returning to rekindle fond memories

Malaysia / 1mth

Malaysians urged to rethink travel to southern Thailand after 51 violent incidents

Events / 4mth

Arrivia, KrisFlyer deepen partnership with launch of cruise redemptions

Opinion / 4mth

Improvement in making Hari Raya Haji travel more bearable

Trending / 4mth

Xiaohongshu and Singapore Tourism Board ink MoU to tap changing outbound travel habits

Opinion / 4mth

The Islamic business revolution in Southern Thailand

Spotlight

Malaysia

Haze: Schools in Johor, Melaka, and Negeri Sembilan to close tomorrow

Malaysia

Tun Mahathir’s health improves, but not ready to leave hospital

Malaysia

LPT3 row puts Kelantan’s infrastructure priorities under scrutiny

Malaysia

Terengganu royal family member sues two banks over RM1.99m missing from savings

Malaysia

Irene Sofiya murder probe referred to Johor prosecutors for review

Malaysia

Teacher denies negligence charges over fatal school SUV crash in Kota Bharu

Malaysia

Sulaiman Md Ali opts out of Melaka polls, will not defend Lendu

You may be interested

Business

SC targets stronger board oversight through higher standards for company secretaries

Business

Oil prices retreat below US$104 as markets weigh Middle East risks

Business

Oil prices stay above US$93 as Middle East tensions put pressure on ringgit