O’Leary warned over ‘broken promise’

THE airline industry watchdog has hit out at Ryanair for refusing to pay out if passengers re-book on rival airlines.

In a withering attack, the Civil Aviation Authority accused its chief Michael O’Leary for breaking a promise made by his lawyers. It said the airline’s approach raised fears that its ‘express intention was to fail to meet its obligations’ under EU rules. This would ‘give rise to significant consumer harm,’ it warned.

Many of the estimated 400,000 passengers affected by cancellations have no choice but to book a more expensive flight with a rival airline. Ryanair has promised to refund passengers whose flights have been cancelled or book them on another flight for free. But where this is not possible, Mr O’Leary drew the line at paying for tickets on rival airlines. He insisted it is not required to do this under EU261 rules, adding: ‘We cannot afford to pay the high costs of our competitors.’

But in a letter to Mr O’Leary – seen by the Daily Mail – the CAA said he is wrong.

Richard Moriarty, its director of consumer and markets, said EU regulation ‘requires Ryanair to offer passengers on cancelled flights alternative travel options, including flying with a different airline’.

He added that Mr O’Leary’s statement contradicted assurances given by Ryanair’s legal team to the CAA and is demanding an immediate explanation.

Last night, the regulator, which has been criticised for being too lenient with airlines, said Ryanair appeared to have backed down and confirmed it will reroute passengers on other carriers. The airline’s marketing director Kenny Jacobs said: ‘We will comply in full with all EU261 legislation. Our position has not changed.’