Airlines to include card fees in headline price

Twelve airlines have agreed to include debit card surcharges in the headline price rather than surprise consumers at the end of the booking process.

Aer Lingus, BMI Baby, Eastern Airways, easyJet, Flybe, German Wings, Jet2, Lufthansa, Ryanair, Thomas Cook, Thomson (TUI) and Wizz Air were subject to an Office of Fair Trading (OFT) investigation and have since agreed to change their practices.

he airlines have also agreed to make any charges incurred for using a credit card clear in the early stages of booking.

Ryanair has said it will include its £6 administrative flight fee in advertised prices by August 1st and in headline prices on its website bu December 1st.

Easyjet is further ahead in this process and already includes its £9 admin fee in its advertised price, according to the OFT.

Sarah Brooks, Director of Financial Services at Consumer Focus said: "We welcome the OFT's response to Which?'s supercomplaint on surcharging. It is good news that there will be better transparency over card charges and consumers won't have to endure hidden extras which bump up the advertised price.

"Nothing is more frustrating for consumers than seeing a good online deal disappear on the final screen before booking."

The OFT said in a statement: “Debit cards are the online equivalent of cash which means that headline prices should be the price people can pay.”

As part of the enforcement action, the airlines have also agreed to make surcharges for credit cards more transparent during the booking process.

The consumer watchdog estimates that debit and credit card surcharging in the airlines sector cost consumers £300 million a year.

Clive Maxwell, OFT chief executive, said: “This is a great outcome for the millions of people who buy flights online.

“It is important that the cost presented when they search for a flight is realistic and that they are not surprised by extra charges. Otherwise it is harder for them to shop around for the best deal.”

Meanwhile, the Government has announced plans to bring forward legislation to ban excessive debit and credit card surcharges across all sectors.

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