EU agrees on renewed rules for package travel

The most important changes for package holidays

Travellers are already well protected by European regulations regarding package travel. These rules apply to fully organised trips by agencies and to combinations of different travel services. However, during a crisis, trips can suddenly be cancelled. As a result, travel organisations may quickly go bankrupt. This means that travel organisations are no longer able to pay their partners and refund their customers.

In these situations, the rules for package holidays can be unclear or poorly monitored. The EU aims to address this with:

• Clear information about the type of trip and the point of contact in case of problems with the trip
• The right to cancel the package in the event of unavoidable and extraordinary circumstances
• The right to reimbursement within 9 months after a travel organisation goes bankrupt
• A new rule about offering vouchers
• The right to a response from the tour operator within 60 days of submitting a complaint

Clear information about the type of trip and who is responsible

A package holiday is a trip with multiple services, such as a flight, accommodation and rental car that one travel company books for you. But not all trips with different services are package holidays. If it is not a package holiday, then different rules apply. This is not always clear to travellers. Therefore, the term 'package holiday' will be described more clearly. 

If you are booking a combination of travel services, the travel provider must clearly indicate whether you have booked a package holiday. You should also be able to easily find who the contact person is for your trip and who is responsible for the refund if your package holiday does not take place.

More certainty in case of cancellation or unexpected circumstances

Is a trip cancelled due to an extraordinary situation that the travel organisation cannot do anything about? For example, in case of natural disasters, unsafe situations or risks to public health. This is called force majeure. In this case, the travel organisation must refund you. Even if you do not ask for it yourself. You will also have the right to cancel the trip yourself in such cases. You would not have to pay a fee to the travel provider for cancelling due to force majeure.

Right to reimbursement if a travel organisation goes bankrupt

If a travel organisation can no longer pay the bills of entrepreneurs it works with, it usually goes bankrupt. That means that it can no longer exist. Currently, it is not certain that you will get your money back from the travel organisation. This will change with the new rules: travellers must then get their money back within 9 months after a travel organisation goes bankrupt.

New rule for offering vouchers

During the coronavirus pandemic, many travel organisations were unable to reimburse travellers right away. This was often because they had not received refunds for the services they had paid for in advance. As a result, they offered travellers vouchers instead. However, the temporary rules for offering vouchers were not the same in all EU countries. Consequently, many travellers were not sure whether they could refuse a voucher or if they were entitled to a refund. 

That is why there will be a new European rule for offering vouchers. A travel organisation may still offer vouchers instead of a refund. However, the tour operator must indicate that you are entitled to a refund within 14 days and that you do not have to accept the voucher.

The amount on the voucher must match the amount you would receive as a refund. Vouchers will be valid for up to 12 months. If it's not used, the travel organisation must refund the voucher amount within 14 days of the expiration date. This also applies if you do not request it. If the travel organisation goes bankrupt, you will also be entitled to a refund of the amount on your voucher. 

Next steps

This concerns is a provisional agreement. The European Parliament and the Council have agreed on the adjustments. But they still have to officially approve the proposal. This will probably happen in early 2026. After the formal approval, EU countries have two years and four months to transpose the rules into national law. The new rules will only apply after official approval and transposition into national law.

Want to know more?

Read the European Commission's press release Political agreement on revised rules protecting travellers and helping package travel organisers.

Read the press release from the Council of the European Union Consumer protection: Council and Parliament strike a deal on revising rules on package travel - Consilium

For more information on what your rights are now under a package holiday, see What are my rights under a package holiday? | ECC Netherlands