Travel buyers’ network BT4Europe has formally raised concerns about a new EU provision that could force TMCs and other intermediaries to reimburse their transaction fees, as well as the original ticket price, for cancelled flights.
The potential impact of this provision on the corporate travel industry was first reported by BTN Europe’s sister publication, The Beat (subscription required), earlier this week. It forms part of the EU’s revised passenger rights package, which includes changes to the EU261 compensation rules for disrupted flights.
BT4Europe said that while it “welcomed” the EU’s efforts to strengthen airline passenger rights, the group warned that the provision on third parties to refund their booking or service fees could “unintentionally shift financial liability to travel intermediaries for disruptions beyond their control”.
The group added in a statement that TMC fees covered services such as itinerary planning, booking administration, traveller support and duty-of-care assistance, which are delivered “regardless of whether the transport provider subsequently cancels the journey”.
BT4Europe is arguing that there should be a “fair allocation of liability” in the EU’s reformed passenger rights regime.
Patrick Diemer, chair of BT4Europe, said: “Business travellers deserve strong passenger protection, and BT4Europe fully supports that objective. At the same time, responsibilities should remain with the party responsible for the disruption.
“Where intermediaries have fulfilled their contractual obligations, they should not be required to absorb costs resulting from events entirely outside their control. Fair passenger rights and fair liability must go hand in hand.”
The European Parliament and European Council, which represents the governments of the 27 member states, reached a provisional agreement in June to reform the EU’s air passenger rights after years of debate.
Both bodies have now formally approved the new regulation with the rules expected to take effect from mid-2027 following a 12-month grace period.
BT4Europe said it has written to the European Parliament and to the Irish Presidency of the Council of the European Union urging action on the issue of TMCs and other third parties potentially having to refund their fees for cancelled flights.