§ Mr. O'Brienasked the Secretary of State for Trade and Industry if, in view of the continuing difficulties for people who lose money through holiday tour companies going into liquidation, he will introduce legislation to ensure that tour operators insure against the loss of holidaymakers' money.
§ Mr. Norman LamontA wide range of financial protection is already available to intending holidaymakers. Around 90 per cent. of the package holiday industry is in membership of the Association of British Travel Agents and is therefore covered by that association's bonding requirements. All air travel organisers operating from the United Kingdom are required to provide bonding as a condition of being licensed by the Civil Aviation Authority. In addition, I understand that there are now available travel insurance policies which offer cover against the financial failure of tour organisers. I do not, therefore, see any need for legislation on the lines proposed by the hon. Member.