Proactive Investors - Wizz Air Holdings PLC (LON:WIZZ) has received an enforcement order from airline regulator, the Civil Aviation Authority (CAA) after slow refunds for cancellations and flight delays sparked a raft of complaints.
In a landmark ruling against an airline, the CAA said it had taken action after “significant concerns over high volumes of complaints about the airline not paying passengers what they are owed”.
The regulator added that it had been in contact with Wizz Air for several months after the complaints, which have meant a spike in County Court actions against the airline.
In particular, the CAA said passengers complained Wizz Air failed to provide alternative flights to enable passengers to get to their destinations when their flights had been cancelled.
Wizz Air said it will make changes to its procedures and review again claims received for “replacement flight costs, transfers when replacement flights were via different airports, and care and assistance (typically hotel costs) following flight disruptions”.
Claims after 18 March 2022 will automatically be reviewed, while those with a grievance for a flight up to six years earlier can also ask for their claims to be reopened.
Wizz Air will also be required to provide information to the CAA about its review of closed expenses claims.
Paul Smith, joint-interim chief executive at the CAA said: "This enforcement action sends a clear message that airlines must meet their obligations to passengers when they cancel or delay a flight. We will not hesitate to step in if we believe that airlines are not consistently doing this.”
Wizz Air replied:” "Last summer, like all airlines in Europe, Wizz Air faced unprecedented operating challenges, driven mostly by the external environment, including ATC disruptions, airport constraints and staff shortages across the whole supply chain. As a result, we were unable to meet our own high standards of service.
“We expect this summer to be challenging for air traffic control, which will impact airlines. While we cannot anticipate every disruption, we have invested over £90 million to prepare for increased air traffic.”