The government has dropped plans to entitle more passengers to flight delay compensation from initial reforms aimed at protecting consumers, the Department for Transport has announced.
The government launched a consultation last year on allowing travellers to claim payouts for domestic flights that arrive at their destination an hour late.
But on Tuesday it said “further work” was needed before the rules were changed.
The UK uses the EU’s 261 rule, which means passengers on flights shorter than 1,500km can claim £220 ($280) for delays of more than three hours, but nothing for shorter hold-ups.
The department proposed replacing this system with a model similar to the one used by rail and ferry operators, which links compensation amounts to the cost of travel.
This would have meant passengers would be able to claim 25 per cent of the ticket price for delays of one to two hours, rising to 50 per cent for delays of two to three hours and 100 per cent for longer hold-ups.
The department is going ahead with a proposal to make it mandatory for airlines using UK airports to sign up to an alternative dispute resolution scheme, which could help more people receive the refunds and compensation to which they are entitled.
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ADR programmes have helped thousands of passengers to increase complaints without going to court, but membership by airlines is voluntary.
Under the new plans set out in the government’s response to its policy reform consultation, the Civil Aviation Authority will be given the power to fine airlines for breaches to consumer laws.
Another measure involves making airlines pay full compensation for damage caused to wheelchairs on domestic flights and offering new training to ground handlers to reduce the number of incidents.
“I recognise the work airlines do around the clock in order to provide a good service to customers, and today’s proposals set out how we can go even further for travellers," Transport Secretary Mark Harper said.
“I’ve heard really concerning examples of passengers’ wheelchairs getting damaged and being left without full and fair compensation. It’s important that everyone can travel with confidence.
“A thriving aviation sector is good for passengers, good for the industry and will grow the economy.”
CAA joint interim chief executive Paul Smith said: “We have long called for a stronger enforcement toolkit to bring us in line with other regulators.
“The plans announced today achieve this and will help ensure that the Civil Aviation Authority is better equipped to hold industry to account in meeting their obligations to passengers.”