6 factors that could shape the future of aviation in the UK
Gary NoakesMPs have recommended a wholesale shake-up of how the airline industry is regulated, and how it conducts itself, while roundly criticising some of the decisions taken by the government during the pandemic.
Parliament’s transport committee made recommendations in its report, UK Aviation: Reform for Take-off, on Monday (25 April), a potential blueprint for the future of international travel to and from the UK
Key concerns included testing, domestic flights, slot holdings, and the lack of CAA powers to prosecute airlines that refuse refunds.
The report said: "The government struggled to balance the competing priorities of protecting public health and of facilitating international travel during the coronavirus pandemic.
"It restricted international travel to manage the virus’s spread, but the arbitrary nature of those restrictions left travellers struggling to secure refunds, to access affordable testing and to navigate the confusing ‘traffic-light’ system.”
Here are just some of the points raised by the committee, and some of its recommendations which could change travel for good should they be taken onboard by government.
Testing
Covid testing providers came in for strong criticism. The report said there was a need to “provide transparent, reliable information on testing providers” in the travel testing market, but that despite recommendations by the Competition and Markets Authority in September 2021, “recommendations for improving the PCR travel testing market have yet to be implemented in full, and no review examining the antigen travel testing market has been carried out”.
The report concludes: “The travel testing market was established with no clear protections or means of recourse for consumers. Unclear pricing, misleading advertisements and delays in receiving tests and test results still persist more than a year after the government first introduced travel testing requirements. The government has been far too slow to address those issues.”
CAA powers
The committee had recommended bolstering the CAA’s powers to act for consumers. Present powers mean lengthy court procedures to ensure airlines comply with consumer protection laws.
The CAA gave the example of a Ryanair prosecution, which took more than three years following industrial action in 2018 during which it refused to compensate passengers. The airline claimed delays and cancellations were “extraordinary circumstances”. The case may reach the Supreme Court.
The committee said: “UK regulators such as the Office of Rail and Road can issue financial penalties to businesses in response to shortcomings. If the regulator had the power to impose financial penalties, consumers could have received redress sooner.”
Domestic flights
Another section of the report deals with domestic flights, which fell from 612,000 in 2009 to 484,000 in 2019. The committee called on the government to help the industry serve key routes.
It urged the scrapping of rules that say subsidised Public Service Obligation routes must be operated from London and by one airline to qualify from support from central government. Another rule is that devolved administrations can only support PSO services wholly within their nation.
The committee said multiple airlines should be allowed to operate PSO routes to foster competition and cross-border PSO services should be permitted.
Air Passenger Duty
The committee backed reform to domestic Air Passenger Duty that will see APD halved to £6.50 from April 2023.
However, it said: “The government should bring that date forward to 1 July 2022 to support domestic routes that might otherwise collapse because of the coronavirus pandemic.”
Sustainability
Sustainability was another issue in the report, with MPs recommending more investment in Sustainable Aviation Fuel plants. They also urged the CAA be given more powers “to enforce environmental mandates”.
Slot rules
The MPs opposed the reintroduction of the "use it or lose it" airport slot rules “until the effects of the Russian invasion of Ukraine on the UK aviation market are apparent” and urged a review of how “ghost” flights – services flown with few passengers to keep a slot open – could be avoided.
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Gary Noakes
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