Spain is pressing for a European guarantee fund which would allow holidaymakers hit by the coronavirus crisis to get their money back in vouchers with 100% protection.
Minister of Industry, Commerce and Tourism, Reyes Maroto told tourism leaders of the European Union that the new voucher system would work if agreed by all the countries as a joint initiative.
Ms Maroto said: “Spain is in favour of temporarily allowing airlines to offer passengers vouchers instead of reimbursements, issued under uniform conditions for the entire EU, but to guarantee the rights of passengers - in the face of possible insolvency of airlines - it would be necessary to create a European guarantee fund, given that the regulation is supranational in nature and a national solution would generate asymmetric protections for passengers according to each country."
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Thousands of Brits have been issued with refund credit notes for cancelled trips and there is confusion over whether or not they will become worthless if the tour operator or airline goes bust.
The EU has already suggested that travellers owed refunds might be persuaded to take vouchers rather than cash if the offer was made more attractive by offering enhanced amounts and at least a year to use them.
By law, the owed money should be given back but the EU says it recognises both sides of the story.
Cash flow and lack of finance have hit tourism agencies and airlines while financial hardship has hit customers.
Reyes Maroto also called for phased and coordinated steps in the EU for cross-border travel and tourism.
She especially defended the need to establish coordination between the Member States for the gradual return of tourism.
Spain and eleven other countries are pressing for a European Recovery Plan for the tourism sector that pays attention to the specific problems of the most affected countries and territories and, in particular, to the outermost regions and islands.
The tourism chief said Spain welcomed the recommendations on tourism and transport issued by the Commission on May 13 to restore freedom of movement and gradually lift coordinated border controls between member states and travel restrictions.
“We believe that a phased approach approach, coordinated and agreed among Member States, is the best way to achieve a gradual normalisation of cross-border travel; therefore, we must coordinate to lift the confinement and quarantine regulations, as well as in the restoration of tourism and transport services, " she said.
