UK proposes changes to compensation for domestic flight delays

theguardian.com:

More airline passengers on UK domestic flights could receive compensation for delays and have simpler access to resolve claims under government proposals announced on Monday.

Passengers would have the right to a partial refund of their fare after a one-hour delay instead of the current three-hour minimum – rising to 50% after two and a full refund after waiting three hours.

However, the system could see many people receive less money than before. Under EU regulations, which Britain has retained after Brexit, passengers are entitled to at least a £220 payout after three hours’ delay.

The Department for Transport said that the new model, based on the way rail and ferry operators offer compensation for delays, would be a significant shift and fairer.

Budget airlines have argued that the levels of compensation often outstrip the fare. Airlines often do not pay compensation when delays are deemed beyond their control, for example due to extreme weather, security alerts or air traffic strikes.

The government may also force all airlines to be part of the aviation industry’s alternative dispute resolution [ADR] scheme, which allows passengers to escalate complaints if they feel they have not been settled, without recourse to legal action.

Currently membership is on a voluntary basis. Ryanair quit the scheme in 2019.

The UK’s aviation regulator, the Civil Aviation Authority, would also have increased powers to enforce consumer protection law and fine airlines directly for breaches.

Richard Moriarty, the CAA’s chief executive, said the consultation was “a clear indication of the need to enhance our enforcement powers, and bring us in line with other regulators”.

Airlines could also be made to pay full compensation to wheelchair or mobility