HC Deb 24 January 1983 vol 35 cc656-7
26. Mr. Gwilym Roberts

asked the Minister for Trade if he will take steps to protect holidaymakers from misleading advertisements for package tours; and if he will make a statement.

Dr. Vaughan

The ABTA code, which was developed in consultation with the Director General of Fair Trading, requires brochures and advertising issued by ABTA members to contain clear, comprehensive and accurate information. This offers the holidaymaker a considerable degree of protection.

Mr. Roberts

Does the Minister accept that, in spite of the good work done by ABTA, there are many holidaymakers who are still disappointed when the reality of the holiday in many ways does not live up to the dream? As there are probably 5 million Britishers whom operators hope will travel overseas towards the sun this summer, is it not important that something further is done to protect those people?

Dr. Vaughan

I sympathise with what the hon. Gentleman says about holidays that have gone wrong, and I hope that what he says is not based on personal experience.

Mr. Roberts

Not at all. I stay in this country.

Dr. Vaughan

The answer for holidaymakers is to go to reputable companies, which obey a code of conduct and have safeguards for the customer.

Mr. Squire

Does my hon. Friend accept that there is concern on both sides of the House, not only about holidaymakers, but about the general matter of payments in advance for services and goods? Will he continue to bear that in mind in considering the Cork recommendations in this connection?

Dr. Vaughan

Yes, we are well aware of that. I hope that with the discussions going on we shall not have to wait for the whole of Cork to be put into legislation, but will be in a position to pull out some action to deal with the current abuses.

Mr. Dobson

If the Minister has time, will he turn his attention to the present television advertising by Sir Freddie Laker? Will he say whether he believes that those advertisements are telling the truth when Sir Freddie Laker says that people's money is safe with him? Will he confirm that he would have said this last time Sir Freddie made personal advertisements, despite the fact that that occurred between the time when the Civil Aviation Authority had warned Ministers that that company was at risk and before the company went bust?

Dr. Vaughan

I always have time to take note of what appears in advertisements, because it is important that customers should not be misled. If the hon. Gentleman has some additional special points to put to me, I should be happy to look at them.

Mr. John Fraser

As no one has outbankrupted the Laker holiday company, is it right that someone should be allowed to go back into the trade so easily after such massive losses in the conduct of the business?

Dr. Vaughan

As the House knows, we are considerably concerned about this kind of action. On the other hand, we practice a free market, and it would be difficult to legislate against that at the moment without handicapping genuine honest traders.