The European Commission has ruled that fines totalling €179m imposed by Spain on Ryanair, EasyJet, Norwegian, Vueling and Volotea for charging extra fees on cabin bags breached EU regulations on air services.
Spain’s Consumer Rights Ministry issued the fines last year for practices including charges for cabin luggage that airlines traditionally included in ticket prices. The fines challenge the business model of budget airlines, which relies on low base fares supplemented by fees for extras such as larger hand luggage.
The Commission sent a letter of formal notice to Spain, initiating an infringement procedure that could lead to the case reaching the EU’s Court of Justice if unresolved within two months. A Spanish court in June ordered a temporary halt to the fines, permitting airlines to continue their pricing policies until a final ruling.
Pablo Bustinduy shared, “It is regrettable that the European Commission has decided to openly position itself as the defence attorney for this handful of large multinationals that are profiting at the expense of consumer rights. We will go to the EU tribunal and we will defend with all rigor our position.”
Michael O’Leary shared, the Commission has in fact sided with consumers, who benefit from broader price options.
