Flight-Only sales made within the UK
Airlines selling their own services are exempt from the need to hold an ATOL.
Other businesses (whether established inside or outside the UK) selling Flight-Only direct to end user customers as an airline ticket, may also be exempt if they meet all of the conditions of ATOL Regulation 13 and the IATA Accredited Agents selling Flight-Only Exemption.
The conditions for the exemption are:
- Appointed by an airline as its agent.
- Written agreement with the airline to supply confirmed tickets (IATA Accredited Agents are exempt from the need for written agreements if they have an airlines ticketing authority and follow IATA rules).
- Acting in accordance with the agreement.
- Direct dealings with consumers, not other agents or travel businesses.
- Issuing confirmed tickets immediately upon payment and notify the consumer, that the business is an airline ticket agent for the named airline(s) and that the flight is not protected under the ATOL scheme; and
- Not providing tickets as part of a package.
A confirmed ticket is a document or other information (e.g. e-ticket) that is valid for travel without the need for the end user to make further payment in the event the airline has not been paid by its agent.
There are other exemptions that could also apply to Flight-Only sales as outlined below:
- An agent for an ATOL holder
- An airline ticket agent
- Selling under a general business travel agreement
- Selling occasionally on a not-for-profit basis to a limited group of customers
- In accordance with the Small Aircraft Exemption – 01/2018
- In accordance with the Whole Plane Exemption - 06/2012
- In accordance with the Flight-Only ticket fully paid Exemption – 02/2018
- In accordance with the Overseas Exemption – 04/2013
- In accordance with the Credit Sales Exemption – 04/2018
- In accordance with the IATA Accredited Agent Exemption – 05/2018
- In accordance with the Sales to a Person Who Is Selling Under a General Business Travel Agreement Exemption – 01/2020
Flight-Only sales to other travel businesses
If you sell Flight-Only to other travel businesses, it is likely that you are required to account for these sales under your own ATOL as the only exemption that could apply is “The Sales to a Person Who is Selling Under a General Business Travel Agreement Exemption”.
If you are an ATOL holder selling Flight-Only to another ATOL holder these sales could be transacted on an ATOL-to-ATOL basis. As the selling ATOL holder, you need to ensure you have a sufficient ATOL to ATOL authorisation.
You should seek independent professional advice if you are uncertain as to whether you require an ATOL.
Flight-Only sales directly to consumers
If you sell Flight-Only directly to consumers and have not entered into arrangements to buy seats directly from an airline acting as their agent, you are required to account for these sales under your own ATOL unless one of the following circumstances/exemptions apply: -
- You are an agent for an ATOL holder
- You are selling occasionally on a not-for-profit basis to a limited group of customers
- You are selling in accordance with the Small Aircraft Exemption – 01/2018
- You are selling in accordance with the Overseas Exemption – 04/2013
- You are selling in accordance with the Credit Sales Exemption – 04/2018
You should seek independent professional advice if you are uncertain as to whether you require an ATOL.
Flight Inclusive Packages
If you combine a flight with other services to create a flight-inclusive package (as defined in the ATOL Regulations), you will require an ATOL unless one of the exemptions relating to selling under a business travel agreement apply.
You should seek independent professional advice if you are uncertain as to whether you require an ATOL.
Useful links
The Civil Aviation (Air Travel Organisers’ Licensing) Regulations 2012, as amended
General Class Exemptions
Travel trade selling through agents | UK Civil Aviation Authority
Information for agents of ATOL holder’s
Information for Airline Ticket Agents
Advice for airlines about the ATOL Regulations and the ATOL scheme
Advice for brokers about the ATOL Regulations and the ATOL scheme
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