'When chaos reigns, why is it always tour operators left picking up the pieces?'

As highlighted in Aito’s response to the government’s call for evidence on updating the PTRs, these costs can be significant, particularly where flights and/or accommodation need to be rearranged.

Unlike the largest, vertically-integrated travel companies, our SME members don’t have large cash reserves immediately available, and neither do they have the resources – or the leverage – to seek significant compensation from the airports. Aito’s SMEs are therefore left to suffer cash flow issues due to the failings of third parties.

This highlights a huge disparity within the travel industry. Consumers who book directly with airlines will often be recompensed by the airline or their travel insurer.

’Unfair and unequal burders’

However, for those who – very sensibly – prefer the peace of mind that comes with a package booking, such claims are often declined and referred back to the tour operator to deal with under its legal obligations. This is exceptionally unjust, and makes no sense whatsoever.

Aito members’ customers have paid for travel insurance to protect them against any and all such potential risks, so why should the tour operator concerned bear the insured loss rather than the insurance company?

The PTRs are clearly responsible for foisting such unfair and unequal burdens on SME, such as those that belong to the Aito community.

We urge the next government to act quickly to deliver long-overdue reform of the PTRs, which currently stymie the success and growth of travel’s SMEs – which is ultimately to the detriment of the very consumers the rules are designed to protect.

Martyn Sumners is executive director of Aito – The Specialist Travel Association.