News: Cheap prices are misleading according to Euro chiefs
Flights > News > # 841 (18/07/2006)
Airlines which advertise attractive fares only to load on extra charges are expected to be targeted by proposals from the European Commission.
Airlines often advertise cheap ticket prices, only to add taxes and fuel surcharges, a ploy the Commission says is misleading.
Euro chiefs say it is wrong that such extra costs are usually only revealed at a late stage, when a customer may have already decided to buy a ticket. They also claim this prevents customers being able to compare the real cost of travelling with different airlines.
Its new proposals call for a ban of such practices, and will force carriers to publish the full cost of each ticket, including all taxes and charges from the start of the booking process.
It will also ban airlines from charging customers in different European countries different fares for travelling on the same route.
Industry experts suggest there will be fierce resistance to the proposals from many airlines, and some even go as far as to say the Commission are specifically targeting Irish budget specialists Ryanair. Europe's biggest no-frills airline has often been criticised for advertising fares as low as 1p, even though passengers end up having to pay far more in taxes and charges, but they say they will welcome the move. A Ryanair spokesman said the airline already provides passengers with a full breakdown of fares, taxes and charges before any passenger makes a booking.
Among a raft of other proposals, the Commission also wants to prevent national governments from distorting the market, by giving national carriers special rights on services to and from the EU.
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