EU plans to reduce air passenger rights

17-03-25

The European Union is considering a proposal to amend Regulation (EC) 261/2004, which sets out compensation for flight delays and cancellations. If approved, passengers would only be able to claim compensation after five, nine or even twelve hours of delay, depending on the distance of the flight. Currently, the limit is three hours, so this change would mean a significant reduction in consumer rights.

Since its implementation in 2004, Regulation (EC) 261/2004 has been a global benchmark for air passenger protection. Countries such as the United Kingdom, Canada, Saudi Arabia, Turkey, Brazil and even the United States have adopted regulations inspired by this standard. However, the European Commission argues that the current compensations represent an economic burden for airlines.

Nevertheless, according to the International Air Transport Association (IATA), the industry's revenues will reach 940 billion euros in 2024, up 6.2% from the previous year. Meanwhile, the estimated cost of compensation under current regulations ranges between €0.58 and €1.17 per passenger, a minimal amount compared to the industry's profits.

The situation is complicated by Denmark's upcoming presidency of the Council of the European Union in July 2025. The Danish transport minister has expressed support for lower passenger rights, backed by Scandinavian Airlines (SAS). It is worth noting that Denmark has favoured this airline in the past with aid and exemptions.

If this reform succeeds, it is estimated that 80% of delayed flights would no longer qualify for financial compensation. This could discourage airlines from improving their operational management, directly affecting millions of passengers.

The current three-hour rule not only protects consumers, but also incentivises airlines to maintain high levels of punctuality. By increasing the time threshold for compensation, airlines could be under less pressure to avoid delays, resulting in more inconvenience for passengers and potentially increased pollutant emissions due to less efficient management.

It is essential that consumers and passenger rights organisations remain informed and active in the face of these possible changes. The protection of air passenger rights has been a significant achievement in the European Union, and any changes that weaken these rights must be carefully assessed and debated.

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