Compensation doubled for stranded air passengers

Euro-MPs today voted to double cash compensation for stranded air passengers to counter deliberate overbooking by airlines - …

Euro-MPs today voted to double cash compensation for stranded air passengers to counter deliberate overbooking by airlines - despite warnings from budget carriers that the move could mean an end to bargain-basement fares.

Maximum payouts of €600 were agreed for travellers "bumped off" flights, and new laws will bring in a scale of compensation for undue delays too.

But MEPs meeting in Strasbourg voted down plans to introduce American-style"name and shame" performance scoreboards charting the record of airlines ondelays, overbooking and even lost luggage.

The new compensation levels bear no relation to the price paid for the airticket, despite hard lobbying by budget airlines that the two should be linked.

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Subject to final approval from EU governments, compensation for affectedflights of 1,500 kms (937.5 miles) or less will be set at €250,with €400 for flights between 1,500 kms and 3,500 kms (2187.5 miles),and €600 for longer flights to destinations outside the EU.

In addition, passengers facing "significant" departure delays will have thelegal right to meals, refreshment and hotel accommodation if necessary whilethey wait.

For low-cost operators such as Ryanair and easyJet, the compensation ratescould be devastating.

With some budget flights available for just a few euros, they say, it iswrong to offer passengers many times as much if they suffer inconvenience.

Under current EU legislation, passengers who are "bumped off" scheduledflights because of overbooking can choose between an alternative flight or fullreimbursement of the ticket price, plus compensation of up to €260 for long-haulflights.

But there is no legal requirement to compensate for cancelled or delayedscheduled or charter flights.

Under the new rules the compensation for delays will be triggered after twohours for short-haul flights, after three hours for flights between 1500 and3500 kms, and after four hours for longer flights.