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EU Parliament Approves New Protection Rules for Package Holidays

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EU Parliament Approves Updated Protection Rules for Package Holidays
Updated rules means passengers won't have to accept travel vouchers as a refund. | Photo: Harm van de Ven

After years of disruption caused by the pandemic and a series of high-profile travel-agency bankruptcies, the European Parliament and Council have finalised a provisional update to the Package Travel Directive that broadens protections for holidaymakers across EU states. The reform was adopted in negotiations in late 2025, responding to serious consumer-protection gaps exposed in recent years. Under the new regime, travellers will have strengthened rights to refunds, clearer definitions of what constitutes a “package”, tighter voucher regulations, and mandatory insolvency safeguards from organisers. The update aims to restore confidence in package travel across the bloc after travel chaos and financial collapse left many stranded or out of pocket.

Clearer Definition of “Package” and Extended Coverage

One of the first and most foundational changes concerns what qualifies as a “package holiday.” Under the revised directive, any combination of transport, accommodation, and additional services (e.g. transfers, excursions, car hire) — even if booked separately but as part of a bundled deal — can be considered a package and therefore covered by the protections. This closes previous loopholes where loosely bundled or add-on services fell outside regulatory safeguards.

That means more travellers will benefit from protection — even if they build a holiday from different providers, as long as the booking is offered as a combined deal. This expanded definition reflects lessons from recent years, when many people using “flexible” or “linked” travel services fell through the cracks.

Refunds and Insolvency Protection for travellers

A major focus of the reform is financial protection if a tour operator becomes insolvent. Under the updated rules, where a package organiser collapses — or fails to provide agreed services — customers are entitled to full refunds for pre-payments for undelivered services. If clients are already abroad, they will also receive repatriation help.

To ensure this, tour operators must carry insolvency protection (e.g. guarantee funds or insurance) that cover all pre-payments and refunds. Member states will oversee compliance to guarantee consumers are not left stranded without support or funds recoverable.

Additionally, any refunds for cancelled packages must be made without undue delay, especially when trips are terminated before departure, or when partly or fully unperformed due to insolvency or force majeure events.

Passengers don’t have to accept travel vouchers as a refund

During the pandemic many travel firms offered vouchers instead of refunds for cancelled holidays, but these often became worthless with time or when companies folded. Under the new directive, vouchers remain an option, but travellers cannot be forced to accept them. They have the right to request a full cash refund within 14 days.

If a traveller accepts a voucher but does not use it, any unused portion must be refunded when the voucher expires. Vouchers must remain valid for at least 12 months and can be transferable or partially used — giving flexibility and reducing the risk of losses if the holder’s plans change.

Importantly, vouchers are also covered by the same insolvency protections as pre-payments: if the organiser goes bust, voucher holders’ funds remain protected.

New Cancellation Rights for Unexpected Disruptions

The updated directive expands travellers’ rights to cancel a holiday without a penalty — with a full refund — if “unavoidable and extraordinary circumstances” occur at the departure location or destination, or if official travel warnings are issued sufficiently close to departure. This may include natural disasters, political instability, health emergencies or comparable disruptions.

This change addresses many of the complaints logged during the pandemic, when travellers were often offered only vouchers or partial refunds — even when circumstances were clearly beyond their control. The new clarity and flexibility aims to give consumers greater confidence and more concrete protection under unpredictable global conditions.

Complaint Procedures for Travellers in EU

Under the revised rules, travel companies must provide full and clear information at the time of booking — including insolvency safeguards, what the package includes, whether linked services are part of the protected package, and what cancellation or refund rights apply. This transparency requirement aims to prevent misunderstandings that were common in past crises.

In addition, a formal complaints and redress mechanism will be mandated. Companies must acknowledge complaints within a defined short period (e.g. 7 days) and issue a substantive response within a limited timeframe. This added accountability aims to ensure that consumers can seek resolution effectively if things go wrong.

What This Means for UK Travellers & Travel Industry

Although the UK is no longer part of the EU legislative process, the updated directive sets a new gold standard across Europe. For UK travellers booking package holidays within the EU, these protections will apply. For UK-based travel firms operating across Europe or marketing to EU residents, aligning with the new rules may become a competitive advantage — signalling reliability and consumer safety.

Meanwhile, consumers should verify that their holiday bookings qualify as packages under the new definition and check whether the provider carries insolvency protection. Especially with winter holiday bookings and early deals underway, accepting vouchers without confirming protections should be approached with caution.

For airlines, tour operators and travel agencies, the reforms raise the bar: they will need to adopt stronger financial guarantees, clearer contract language, transparent communications, and robust customer-service procedures. Smaller operators may face increased costs to meet compliance, but the reforms aim to level the playing field and protect customers across Europe.

Olivia Miller is a journalist and blogger regularly collaborating with media outlets and writing about entrepreneurship, brand authority and corporate social responsibility (CSR).

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easyJet plane forced back to Spain after mid-air passenger brawl

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easyJet plane forced back to Spain after mid-air passenger brawl
Review due in the autumn could affect Apollo's proposed £5.7 billion easyJet takeover. | Photo: Frank Schlattmann

easyJet is making headlines this week – and not for the best reasons.

A flight bound for the United Kingdom was forced to return to Tenerife after a major disturbance involving around 10 passengers broke out shortly after take-off, prompting the captain to prioritise the safety of everyone on board.

The incident occurred on easyJet flight EZY3352, which had departed Tenerife South Airport for Liverpool. According to Spanish air traffic authorities, the crew requested an immediate return to the airport around 30 minutes into the journey after reporting a serious altercation involving a group of passengers. Air traffic controllers coordinated a priority landing, and police officers were waiting to meet the aircraft on arrival.

easyJet onboard fight may have started before boarding

Officials said the disturbance involved approximately 10 passengers travelling together. Although initial reports described the incident as a “mid-air brawl”, later information from Spain’s Civil Guard indicated that eight people — two adults and six minors — were removed from the aircraft after it landed safely.

Investigators believe the disagreement began inside the airport terminal before boarding and continued after take-off. No injuries were reported among passengers or crew, and officials confirmed that no arrests were made. However, everyone involved in the disturbance was identified by police and escorted from the aircraft before the flight resumed its journey to Liverpool John Lennon Airport yesterday.

EU review of ownership rules threatens easyJet bids

The onboard disturbance is not the only issue facing easyJet this month. The European Union is preparing a review of airline ownership rules designed to prevent foreign investors from gaining effective control of European carriers.

The review comes amid a bidding war between two US investment firms for control of the budget airline, a contest that is expected to test EU rules requiring airlines to remain at least 51% owned and controlled by EU nationals.

According to Reuters, easyJet earlier this month backed a £5.7 billion ($7.65 billion) takeover offer from Apollo Global Management, surpassing a previous £5.5 billion bid from Castlelake. However, Apollo has not publicly explained how it would satisfy the EU’s majority ownership requirements, one of the biggest obstacles facing any non-EU acquisition of a European airline.

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Gatwick Express to start overnight and early‑morning train services

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Gatwick Express to start overnight and early‑morning train services
Gatwick Express is introducing a new summer timetable from 18th July 2026. | Photo: GTR

Starting this weekend, Gatwick Express is trialling early morning and overnight train services to cater to those getting early flights out of London on Saturdays, and returning back to the capital late on Sunday nights.

Departing London Victoria at 03:40 on Saturdays and leaving Gatwick Airport at 04:35 on Sundays, the new train times tap into the trend for ‘bed to boarding’ style, which is being led by Gen Z travellers.

In a survey commissioned by Gatwick Express, more than a third (33%) of Brits aged 18-29 say they have travelled to the airport in pyjamas, with over half of the same age group (53%) saying it’s acceptable to do so for an early morning flight. This is in stark comparison to Gen X (13%) and Boomers (4%) sharing the same views.

Gifts for early raisers

To celebrate the launch of the new trains and additional benefits, Gatwick Express customers were gifted with travel essentials kits this week, featuring handy holiday items such as portable chargers, passport holders, and mini toiletries.

“We know that annual leave is precious and when the time comes to get away, every minute counts. Our new services will help people maximise their holidays by connecting them to early morning and late-night flights over the weekend. These new customer enhancements are part of our wider strategy to drive growth to key airports on our network,” says Louis Rambaud, Chief Customer Officer at GTR.

Rail Minister, Lord Peter Hendy, said: “These additional overnight Gatwick Express services will make a real difference to people arriving late or travelling for early flights – connecting them straight to the capital. Alongside contactless ticketing at every London airport, we’re building a railway that works for passengers and drives growth across the country.”

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How to Beat Rising Travel Prices and Spend Less

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How to Beat Rising Travel Prices and Spend Less
Overseas holidays rose by over 20% between 2022 and 2024. | Photo: Olya Kobruseva

A well‑deserved holiday shouldn’t leave you with financial worries — but rising travel costs mean many people are now paying more than ever for the same trip. According to the UK’s Office for National Statistics, the cost of overseas holidays rose by over 20% between 2022 and 2024, driven by higher airfares, accommodation prices, and general inflation. At the same time, ABTA’s 2024 Holiday Habits report found that 68% of UK travellers actively look for ways to reduce costs, and more than half say they are changing how they book, when they travel, or where they go to save money.

When you add in hidden fees, airport charges, and fluctuating exchange rates, and it’s easy for a trip to cost far more than expected. However, travellers who plan strategically can offset much of this. With the right approach — from smarter budgeting to avoiding unnecessary charges — you can still enjoy a memorable holiday without overspending. Here we explore practical steps that help you travel smarter, spend less, and get more value from every trip.

Budgeting for Your Next Escape

The first step to any affordable holiday is creating a realistic budget. Before you even think about destinations or booking flights, you need to know what you can comfortably spend. Start by setting an overall savings goal for your trip. How much do you want to spend in total? Once you have a figure in mind, you can break it down into categories: flights, accommodation, food, activities and pre-travel expenses.

A great way to stay on track is to set up a separate savings account specifically for your holiday fund. Automating a weekly or monthly transfer, no matter how small, helps build your travel pot consistently. Seeing that balance grow provides powerful motivation. There are many apps and online tools that can help you track your spending and stick to your goals. Following some smart travel budgeting tips can help you identify where you can make small cutbacks in your daily life to redirect more funds towards your adventure. Remember, a budget isn’t about restriction; it’s about control. It empowers you to make conscious decisions about where your money goes, ensuring you have enough for the things that matter most on your trip.

Finding Flight and Accommodation Deals

Flights and accommodation are often the two biggest expenses of any holiday, but this is also where you can find the most significant savings. The key is flexibility and timing. Being open to travelling on different days of the week can make a huge difference; flying mid-week is almost always cheaper than on a Friday or Sunday. Similarly, consider flying at less popular times, such as very early in the morning or late at night.

Use flight comparison websites to scan for the best prices across multiple airlines. Don’t forget to check the airlines’ own websites too, as they sometimes offer exclusive deals. It can also be worthwhile to look at flying into a smaller, alternative airport near your destination, as landing fees can be lower, resulting in cheaper fares. When it comes to accommodation, think beyond traditional hotels. Private rentals, apartments and guesthouses can offer better value, especially for families or groups. Booking well in advance is a common piece of advice, but sometimes last-minute deals can pop up if you’re willing to take a chance. For a detailed breakdown of how to approach this, a good budget-conscious traveller’s guide can provide invaluable insights into timing your bookings perfectly.

The Value of Pre-Booking Travel Essentials

Beyond flights and hotels, other essential parts of your journey can cost a lot more if left until the last minute. Things like airport transfers, car hire, and even getting to the airport itself are often much cheaper when organised in advance. Leaving these arrangements until the day of travel not only adds stress but also exposes you to premium, on-the-spot pricing.

For example, driving to the airport is a convenient option for many, but paying the gate price for parking on the day of your flight can be incredibly expensive. By looking into and booking airport parking services online weeks or even months ahead, you can secure a spot for a fraction of the cost. The same principle applies to hiring a car at your destination. Pre-booking online from home gives you the time to compare different providers and find the best deal, rather than being faced with limited, pricey options upon arrival. Taking care of these logistical details beforehand means you lock in a better price and start your holiday with one less thing to worry about.

Avoid Hidden Charges

A carefully planned budget can be quickly derailed by unexpected charges. Airlines, in particular, have become masters of the ‘add-on’ cost. What looks like a bargain flight can become expensive once you add checked baggage, choose your seat or pay for priority boarding. Always read the fine print before you book. If you know you’ll need to check a bag, it’s almost always cheaper to pay for it online during the booking process rather than at the check-in desk at the airport.

Another common pitfall is currency exchange. Exchanging money at the airport is notoriously bad value due to poor rates and high commission fees. Plan by ordering your currency online for collection or by getting a specialist travel debit or credit card that offers fee-free transactions abroad. Finding cheap travel money requires a little research but can save you a surprising amount. Finally, be aware of your mobile phone’s roaming charges. Check with your provider about their policies for your destination country to avoid returning home to a shocking bill. Many providers offer affordable daily or weekly roaming packages that can be activated before you go.

Travel Insurance: A Non-Negotiable

When you’re trying to cut costs, it can be tempting to skip travel insurance. This is a false economy. Travel insurance isn’t just an optional extra; it’s an essential part of your holiday planning that protects you from potentially crippling costs. A comprehensive policy provides a vital safety net for a wide range of unforeseen events, from medical emergencies to trip cancellations and lost luggage.

The cost of medical treatment abroad can be astronomical, and your standard health service coverage may not apply. A good insurance policy ensures you can get the care you need without facing a life-changing bill. It also provides cover if you have to cancel your trip due to illness or an emergency, allowing you to recoup the costs of your pre-booked flights and accommodation. When you’re looking at policies, it’s important to be honest about any pre-existing medical conditions to ensure you’re fully covered. The process of choosing travel insurance involves comparing different levels of cover, so read the policy details carefully to understand exactly what is and isn’t included. For the relatively small outlay, the protection it offers is invaluable.

Saving money on your holiday is entirely possible with a little organisation. By budgeting carefully, booking smartly and planning for the small details, you can make your travel funds stretch much further, allowing you to relax and enjoy your time away.

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