§ Baroness Burton of Coventry asked Her Majesty's Government:
§ How many complaints they have received about package holidays during the most recent 12-month period for which figures are available, and how this compares with the previous 12-month period.
§ Lord StrathclydeMy Lords, in 1988 the Departments of Trade and Industry, Employment, and Transport and the Civil Aviation Authority and Office of Fair Trading recorded in total 598 written complaints about package holidays. This compares with 489 recorded in 1987.
§ Baroness Burton of CoventryMy Lords, that means an increase of some 20 per cent. in the number reported to government departments alone. Last year some 13 million people went on package holidays. As a recent ABTA survey revealed 6 per cent. of dissatisfied customers, does the Minister agree that if that figure were applied to the 13 million who went on package holidays, there would be approximately 750,000 dissatisfied holidaymakers? That is nothing to do with the ABTA report. Can the Minister say whether the Government are still against accepting Article 5 of the EC directive on package holidays? If that is so, are they prepared to accept the recommendation of our own Select Committee: that liability for each element of the package should be separately examined? If not, what are the Government doing about that?
§ Lord StrathclydeMy Lords, I do not wish to comment definitively on the recommendation at this stage because it is too early to predict how negotiations in Brussels may develop. The Government's starting point is that tour operators should be contractually liable to provide their customers with precisely the holiday that they book, and that beyond that a formula must be found for limiting liability in a sensible way. Many European Community partners share our general concern but wish to tackle the offending article in different ways. It remains to be seen what kind of formula may be mutually acceptable.
§ Baroness Burton of CoventryMy Lords, I thank the Minister, but he did not answer my question. I asked whether the Government are in favour of accepting the recommendation of our Select Committee? It was that liability for each element of the package should be separately examined.
§ Lord StrathclydeMy Lords, I am sorry if I did not satisfy the noble Baroness. At the beginning of my answer I said that I did not wish to comment definitively on the recommendation because we are still negotiating in Brussels.
§ Baroness Burton of CoventryMy Lords, with the leave of the House, does the Minister recall that in a debate on 15th December he told the House that the Commission had been told to go away and think of a better proposal after consultations with experts? Does he not believe that it would have been a useful idea to include consumers in those consultations? Is the Minister aware that consumers believe that the acceptance of Article 5 is essential to the package?
§ Lord StrathclydeMy Lords, the Government's position was reached after careful consideration of the various submissions put to them on consultation. They take account of the views expressed by consumer bodies. However, the consumer movement, the travel industry and others with expertise in the field should also consider whether they wish to make appropriate representations on the issue to the Commission.
§ Lord Williams of ElvelMy Lords, is the Minister aware of the persistent reports that this year conditions for package holidaymakers regarding airport delays, hotel problems and health hazards will be worse than last year? Do the Government agree with such reports? If so, what action will they take?
§ Lord StrathclydeMy Lords, the answer to that question must be taken in the context of the past 10 years. Package holidays have increased from 4 million to 13 million today. Therefore it appears that the vast majority of people who take such holidays obviously enjoy themselves and continue to go.
The Viscount of FalklandMy Lords, has the air travel component of a package holiday been an increasing source of complaint, or is it decreasing?
§ Lord StrathclydeMy Lords, the main increased area of complaint has been in respect of consumer surcharges. ABTA has introduced a new code which should greatly improve the situation.
Lord MorrisMy Lords, arising from an earlier answer, perhaps I may ask this question. Is my noble friend aware that he should draw great comfort from the fact that he is not the only member of the Government Front Bench who fails to satisfy the noble Baroness?
§ Baroness Ewart-BiggsMy Lords, can the Minister explain why the Government will not support the draft directive which seeks to establish the principle of strict liability of the travel company to the consumer when that principle applies to the manufacturers of goods?
§ Lord StrathclydeMy Lords, the question of strict liability in the context of holidays is different from that in the context of food. For instance, we are not 753 entirely certain that it would be fair for a tour operator to be strictly liable for a holidaymaker who had a stomach upset while on holiday in Turkey.
§ Baroness Burton of CoventryMy Lords, I am sorry to rise again, but I have been trying to sort out the Minister's reply. Did the Minister tell the House that the Government were not considering Article 5 at the moment? Did he include in that answer the fact that they were not considering the resolution from the Select Committee of your Lordships' House?
§ Lord StrathclydeNo, my Lords, we are still considering both.
§ Lord Williams of ElvelMy Lords, can the noble Lord say when those considerations will end and we shall have a result?
§ Lord StrathclydeMy Lords, the consideration will be complete in due course.