£1 Levy on Package Holidays
The government is to introduce a £1 levy on every package holiday, to cover costs of airlines going bust
17th May 2005
The government is today to announce a £1 levy on package holidays, with the proceeds going to refresh the Air Travel Trust, a fund which covers the costs of repatriating air passangers stranded abroad when their airline goes bust.
The fund has been in deficit since 1991, when the collapse of Air Europe saw 25,000 passangers stranded.
Currently, the trust only protects package holidaymakers - passengers on scheduled flights have no protection, underlining the need for independant travellers to take out their own travel insurance.
Read More: Guardian Unlimited
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