§ Baroness Burton of CoventryMy Lords, I beg leave to ask the Question which stands in my name on the Order Paper.
§ The Question was as follows:
§ To ask Her Majesty's Government whether, in view of current developments in air travel including the growth of "bucket shops", they will make a statement on the availability of discounted air tickets to the general public, and whether any action is contemplated.
§ The Parliamentary Under-Secretary of State, Foreign and Commonwealth Office (Lord Trefgarne)My Lords, British Airways and the Association of British Travel Agents have recently announced that they intend to make discounted tickets for certain destinations available at ABTA agents for a period of three months from 1st January. The Civil Aviation Authority has invited British Airways to file the new fares.
§ Baroness Burton of CoventryMy Lords, that is a little more than I expected but not enough. May I ask the noble Lord the Minister whether he is aware that this is, of course, the first time that discount air tickets will be available over the counter? As these tickets are competitive with "bucket shop" tickets and, as he has said, cover British Airways routes to the Far East, can he say whether or not the Government will be able to encourage the use of these, as it will bring discounted air tickets within more general availability to the public for the first time? Does the noble Lord know also that British Airways and the Association of British Travel Agents have admitted that their pact is illegal, but, as the Government have taken no action over illegal transactions in the past, they expect that the Government will not be taking any action over this one? Will the Minister comment?
§ Lord TrefgarneMy Lords, there is no question of illegality with the present proposal, which has not come into force yet. As I said at the end of my first Answer, the Civil Aviation Authority has invited British Airways to file the new fares, which doubtless they will do.
§ Baroness Burton of CoventryMy Lords, that is an extraordinary answer. Does the noble Lord the Minister know that bookings for these tickets will be accepted from 14th December, which is Monday, that the tickets will be usable on 1st January, and furthermore, that the 2,000 agents who will be selling them will have to undertake large and extensive advertising 1432 campaigns? Do the Government intend to condone an advertising campaign which is illegal according to present laws? Or are they at last prepared to amend the legislation, removing the offending section and thus making it legal?
§ Lord TrefgarneMy Lords, I have on many occasions explained to your Lordships the legal complexities of this matter, including the need to carry other Governments with us in the necessary negotiations. As I said, the Civil Aviation Authority has invited British Airways to file new fares and I see no reason why the process should not be completed by the time the new arrangements come into force.
§ Baroness Burton of CoventryMy Lords, I do not wish to be a nuisance and the House has been very patient, but may I ask the Minister, because he has so often said that they cannot do anything on this matter and it is for IATA, whether he is aware that this particular endeavour is supported by the Association of British Travel Agents, by British Airways and by IATA? And is he proposing to get it all put in order, or the legislation altered, by Monday, 14th December?
§ Lord TrefgarneMy Lords, it is not necessary to alter the legislation by 14th December, or indeed by 1st January, when the proposals are to come into effect, provided the processes of the Civil Aviation Authority approval, and subsequent Government approval, if that proves to be necessary, can be achieved by that time. I have no reason to think that they cannot.
§ Lord DerwentMy Lords, am I right in thinking that this is the end of Round 14?
§ Lord DrumalbynMy Lords, may I ask whether similar action has been taken by overseas competitors in other countries, in competition with British Airways?
§ Lord TrefgarneMy Lords, British Airways apparently take the view that on the routes on question the amount of discounting that is going on by other airlines is such that they have to compete in this perfectly proper way. What the reaction of the other airlines will be to British Airways' move is not for me to suggest.