Iru Urges Eu To Keep Coach Smes Viable Amid Package Travel Directive Revisions

The International Road Transport Union (IRU) has welcomed the European Parliament‘s plenary vote on the revised Package Travel Directive but highlighted unresolved issues that could undermine the viability of Europe’s coach tourism sector, particularly small and medium-sized enterprises (SMEs).

The Parliament’s vote marks key victories for operators, reflecting long-standing demands from IRU. Among the wins is the rejection of the European Commission’s plan to impose a rigid EU-wide 25% cap on down payments and clarification on what qualifies as unavoidable and extraordinary circumstances.

Furthermore, the Parliament removed the impractical rule that would have automatically classified services added within 3 or 24 hours of booking as a package, unless the trader invited passengers to book additional services at the same point of sale.

Raluca Marian, IRU’s EU Director, expressed appreciation for the Parliament’s vote, stating, “The Parliament’s vote shows that legislators have listened to some of our operators’ concerns. Removing rigid down payment limits and fixing the package definition are major wins for our sector.”

However, Marian emphasized that trilogue negotiations (discussions between the European Parliament, the Council of the EU, and the European Commission) must deliver workable solutions on liquidity, proportionality, and crisis management tools. Without these, the Package Travel Directive could still threaten the survival of SMEs in the coach tourism sector.

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A key unresolved issue is the reimbursement deadlines proposed in the Commission’s draft, which require operators to refund organizers within seven days and organizers to refund travelers within 14 days. For small coach companies that only provide part of a package, this timeline is financially unfeasible. IRU is advocating for a more realistic framework: 15 days for service providers and 30 days for organizers, in line with other passenger rights legislation.

Regarding cancellations and vouchers, IRU supports the Parliament’s clarification that passengers who book a package despite being informed of official travel warnings should assume the financial risk if they later cancel. The Council and Parliament have agreed that the choice between a voucher or reimbursement lies with the customer, denying operators the option to issue vouchers in the event of mass cancellations.

IRU also insists that vouchers must be flexible, long-lasting, and usable during crises to prevent operators from losing liquidity during mass cancellations.

Finally, IRU raised concerns about the penalties proposed by the Parliament, which could be up to 4% of a company’s annual turnover. For many coach operators, package travel represents only a small share of their business, so IRU believes the sanctions should be proportionate to the revenue linked to package travel, ensuring fairness while still providing deterrence.

With trilogue negotiations now underway, IRU urges co-legislators to find a fair balance between safeguarding consumer rights and ensuring the viability of coach tourism operators across Europe.

The article IRU urges EU to keep coach SMEs viable amid Package Travel Directive revisions first appeared in TravelDailyNews International.