With the deadline fast approaching for many organisations to renew their ATOL licence and a new renewal system in place this year; the Civil Aviation Authority (CAA) has issued a reminder to the travel industry to submit their ATOL applications without delay and ensure that applications are correctly completed.
As a responsible regulator the CAA has a duty to ensure that it has complete and accurate information before processing a renewal. Without this accurate information there may well be a delay in the renewal process.
The CAA said that so far 950 of the potential 1,200 companies had applied to renewal their ATOL. Any company seeking assistance in renewing can contact the CAA's ATOL team: email@example.com
If a new ATOL is not granted before the current one expires the business will no longer hold an ATOL and will be unable to transact business which is legally required to be covered under ATOL.
This means businesses would have to:
- Stop taking new licensable bookings.
- Stop accepting payments for existing licensable bookings.
- Instruct agents (if applicable) that they should not accept any new bookings or any payments.
- Stop advertising licensable business and remove all references to ATOL on your website/s and other publicity/promotional material.
In addition, there would be a breach of the ATOL Regulations if businesses continued to hold bookings for customers that have entered into licensable transactions. This means businesses would have to notify all customers due to travel after 30 September 2018 that they cannot provide their travel arrangements and provide a full refund of all monies paid.