Spain fines low-cost airlines for unfair practices

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Spain’s government has imposed fines on several low-cost airlines, including Ryanair and EasyJet, for engaging in unfair practices such as charging fees for carry-on luggage and printing boarding passes at airport terminals.

On Friday, the Spanish Ministry of Consumer Affairs announced penalties totaling €179 million against five airlines: Ryanair, EasyJet, Vueling, Volotea, and Norwegian Air Shuttle. These fines address actions deemed to harm consumer rights, including charging extra for seat reservations for children and dependent passengers, and refusing cash payments for tickets at airport counters.

The highest fine, €107.8 million, was imposed on Ryanair, which was the first airline to introduce fees for carry-on luggage in November 2018. Vueling, part of the International Airlines Group (owner of British Airways), was fined €39.3 million, while EasyJet received a €29.1 million penalty. Norwegian Air Shuttle and Volotea were fined €1.6 million and €1.2 million, respectively.

The ministry also cited airlines for providing misleading information and insufficient price transparency, which it claimed hindered consumers’ ability to compare offers and make informed decisions.

Ryanair plans to appeal

Ryanair was singled out for charging passengers what the ministry described as an “unreasonable fee” for printing boarding passes at airport terminals. The airline immediately announced plans to appeal the decision. CEO Michael O’Leary called the fines “unlawful and unjustified,” alleging that the Spanish government’s actions were politically motivated.

O’Leary argued that EU law protects airlines’ freedom to set prices and policies without government interference. He warned that these fines could undermine the ability of low-cost airlines to pass on cost savings to consumers through lower fares.

Spain’s Airline Association (ALA) condemned the decision as “absurd,” stating it unfairly penalizes airlines and puts them at a disadvantage in the competitive aviation market. ALA confirmed plans to appeal and noted that baggage policies would remain unchanged pending a court ruling.

The International Air Transport Association (IATA) also criticized the fines, calling them “outrageous” and describing the decision as a “blow to travelers who value choice.”

In contrast, Spain’s consumer rights organization Facua praised the ruling as “historic.” Facua emphasized that these are the largest penalties ever imposed by a consumer protection authority and urged affected passengers to seek refunds for the disputed fees.

The fines were calculated based on the “illegal profits” each airline gained through these practices. The Ministry of Consumer Affairs confirmed that the penalties, initially announced in May, had been upheld, rejecting the appeals submitted by the airlines.

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