The Council and the European Parliament reached a provisional deal on a revision of the directive on package travel which aims to make the protection of travellers more effective. In a package travel, the organiser combines different travel or touristic services such as flights, transfers, accommodation and excursions, etc. Packages are bought both online and offline, and can be offered by tour operators, travel agencies, carriers and other operators. The agreement strengthens consumers' rights, reduces burdens for operators and clarifies the obligations of package organisers on issues such as refunds, insolvency protection and the use of vouchers. Clarified definition of ‘package travel’The new rules simplify the directive by keeping out of the scope linked travel arrangements, adjusting the definition of “package” and introducing information requirements in certain situations not leading to the creation of a package. Improved information for travellersThe new rules enhance and clarify the information that travellers must receive before, during and after the trip. This includes details about available payment methods, relevant passport and visa requirements, accessibility for people with reduced mobility, and termination fees in case of cancellation. The updated directive also includes improved information for travellers in case of the organiser´s insolvency. Furthermore, the new rules introduce an obligation for organisers to have in place complaint-handling arrangements. Package cancellation rightsThe agreement clarifies the rights of travellers when they decide to cancel the trip before the departure due to extraordinary and unavoidable circumstances (also known as force majeure). In such cases, travellers should be able to cancel without having to pay a termination fee. What constitutes ‘force majeure’ will be determined on a case-by-case basis. Additionally, the agreement clarifies the obligations of organisers when they cancel a package. Organisers must refund the traveller within 14 days. The updated directive introduces voluntary use of vouchers, as organisers may offer travellers vouchers instead of reimbursement, but travellers have the right to refuse them. Vouchers must have a value at least equal to that of the reimbursement, be valid for a maximum of 12 months and be transferable only once. Travellers must also be able to use them to purchase one or more travel services offered by the trader. Vouchers will be covered by insolvency protection. Compensation in case of insolvencyIf the reason for the cancellation is the trader's insolvency, travellers should be refunded within six months. Member states may set shorter deadlines. The refund period could be enlarged to nine months in duly justified situations (for instance, an unusually high number of applications in a short time, or when the insolvency impacts passengers from different member states). The updated directive will also cover the publication of information about organisers which comply with their insolvency protection obligations. TranspositionMember states will have 28 months to transpose the new directive after it enters into force. Next stepsThe provisional agreement needs to be confirmed by both institutions before being formally adopted. BackgroundPackage travel is a popular choice for tourists. In package travel, the organiser combines different travel or touristic services such as flights, transfers, meals, accommodation and excursions, etc. Packages are bought both online and offline, and can be offered by tour operators, travel agencies, carriers and other operators. The range of different products and operators (both organisers and service providers) that intervene in package travel make it complicated for travellers to recover their expenditure if, for example, the package is cancelled either in its entirety or in part. The insolvencies of big package travel companies, such as Thomas Cook in 2019, and the COVID‑19 crisis made it clear that traveller protection in the event of any major unexpected events needed to be reinforced. In October 2023, the Commission submitted a revision of the 2015 package travel directive, with strengthened traveller protection. Tourism plays an important role in the global economy, directly and indirectly accounting for over 10% of the global gross domestic product. Driven by rising incomes, falling travel-related costs and an increasing range of available tourism activities, the global number of tourists rose from 680 million in 2000 to over 1.5 billion in 2019. The European Union is the world's main tourist destination, receiving approximately two-thirds of all international tourist arrivals in 2022. The tourism industry plays a key role in the EU economy, with some 2.3 million tourism businesses and 10.9 million people working in the industry in 2020.
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