At the end of 2023, the European Commission initiated a reform process to revise the Package Travel Directive. The aim of the amendment should be to improve the protection of package travellers while simplifying the existing regulations.
But the draft that has now been presented has met with fierce criticism from the travel and hotel industry. Representatives of these economic sectors warn against a massive expansion of the definition of package tours, which could lead to a significant increase in the bureaucratic burden for companies.
New definition of package tour causes uncertainty
The planned new definition of package holidays is the subject of particularly controversial debate. According to the European Parliament's draft, a package holiday will in future be deemed to exist if two travel services are booked within 72 hours. The industry sees this as a serious problem.
Gregor Kadanka, chairman of the Association of Travel Agents in the Austrian Federal Economic Chamber (WKÖ), warns: "This regulation makes it extremely difficult for consumers and companies to determine what exactly has been booked and what rights and obligations arise from it." Such a definition could lead to even services booked independently of one another being subsequently declared to be a package tour - with all the legal consequences that this entails.
Johann Spreitzhofer, chairman of the Hotel Industry Association in the Austrian Chamber of Commerce, also voiced sharp criticism. In future, hoteliers would have to monitor all bookings within a 72-hour period to determine whether individual services constitute a package holiday. This would be difficult to implement in practice and would lead to considerable additional administrative work without offering guests any discernible benefit.
endangering the competitiveness of package holidays
A key concern for the industry is the competitiveness of package holidays. The share of package holidays in all travel bookings within the EU has fallen significantly in recent years. While it was 2013 percent in 40, it is now less than 15 percent.
This is an alarming trend for the tourism industry. Package tours already offer travelers a high level of security, as they provide comprehensive protection against cancellations, insolvency and other problems. However, if additional regulations increase the bureaucratic burden, this travel format could become increasingly unattractive.
“The EU Commission and the European Parliament should not destroy a product that already offers comprehensive protection by introducing further, even more restrictive legislation,” warns Kadanka.
Industry demands practical solutions
The travel and hotel industry is committed to a practical reform that strikes a balance between consumer protection and economic feasibility. The aim is to eliminate existing ambiguities while avoiding unnecessary additional burdens.
So far, discussions at EU level have revealed differing attitudes. While the member states in the Council have recognised the obvious weaknesses of the Commission's draft and are calling for more balanced regulations, the European Parliament appears to be largely ignoring the industry's concerns.
Spreitzhofer concludes: “The hotel industry must not be burdened by new, complex regulations that do not provide any discernible added value for the hotel guest.”
It remains to be seen whether the criticism from the industry will be heard. What is certain is that the planned reform could significantly change the travel industry - with potentially far-reaching consequences for companies and travelers alike.