Downgraded on BA - compensation

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Hi guys

Apologies if this isn’t the right part of the forum, but I wanted to sense check my position.

We had booked a holiday with British Airways (hotel and flights to the USA and Canada) travelling transatlantic in Premium economy. Flights were Manchester to London, London to JFK, Toronto to London, London to Manchester.

(The NYC to Canada part was sorted independently, and I had reasons for wanting the London routing).

On the morning of the outbound flights, the London to JFK flight was cancelled.

We were rebooked on Aer Lingus (MCR to Dublin, Dublin to JFK). We only arrived an hour late, but we were downgraded to economy as Aer Lingus doesn’t have a premium economy class.

I’m talking to BA about compensation. My reading is that I am entitled to a refund of 70% of the downgraded ticket, payable within a week.

Some 2 1/2 weeks after the cancellation BA finally give me an update on the phone. They’ve said the compensation is c. £170 per person.

They won’t share a breakdown of the holiday prices, or how they’ve calculated the amount. When I pointed out that it suggests that a premium economy flight from London to JFK is c £250 they just said that holiday bookings have access to special rate fairs not visible on the website and the refund excludes taxes. I just need to trust that they know how to do the calculations (!)

When I asked about the additional air passenger duty I had paid for a premium economy seat they went quiet and said no-one had ever asked about that before!

My questions are:
1.does the amount of refund sound reasonable? Is the premium economy flight genuinely typically sold for £250 as a package (ex tax)?

2. Am I entitled to an APD refund, because I paid for premium economy on my ticket, but travelled in economy? Presumably this should be added onto the statutory compensation.

Thanks for any help!
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Comments

  • Caz3121
    Caz3121 Posts: 15,545 Forumite
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    fubar4164 wrote: »
    Is the premium economy flight genuinely typically sold for £250 as a package (ex tax)?

    looking at a premium economy flight for random dates in Feb I can see a breakdown of - fare £355, taxes and fees £399
    the £355 would be a return ticket and you only receive a refund for the portion of your journey that was downgraded (so 1 leg of the 4)
  • heatherw_01
    heatherw_01 Posts: 6,554 Ambassador
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    Hi, we move threads if we think they’ll get more help elsewhere (please read the forum rule) so this post/thread has been moved to another board. If you have any questions about this policy please email forumteam@moneysavingexpert.com.
    I’m a Forum Ambassador and I support the Forum Team on the Quick Grabbit, Freebies, Overseas Holidays & Travel Planning and the UK Holidays, Days Out & Entertainments boards.
    If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com.
    All views are my own and not the official line of MoneySavingExpert.
  • jpsartre
    jpsartre Posts: 4,085 Forumite
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    Sounds to me like they might be trying to fob you off with 75% of the fare part of your ticket.
  • Heliflyguy
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    Prem econ APD is £156 econ is £78 so £78 each overpaid.

    You also will have paid £13.99 each more on the other taxes on your original LHR departure.

    LHR UB (passengers service charge) £44.91 (no other departure taxes or fees)

    Having departed from MAN (MCR is Singapore although Google will show Manchester if you search MCR)

    MAN UB £14.02
    Irish Taxes and fees
    UP 10.00 (Passenger charge)
    UQ 6.90 (Inspection or pre clearance charge)

    APD definitely should be refunded BA may argue the others cannot be but they can so be firm.
  • Westin
    Westin Posts: 5,940 Forumite
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    Like you I was always under the impression that Premium Economy and Business Class incurred APD at a higher rate - PE being double Economy.

    Not sure if this has changed as HMRC indicate that the reduced APD rate is charged were the seating pitch is less that 40" -
    https://www.gov.uk/guidance/rates-and-allowances-for-air-passenger-duty

    If this is now the case, given that BA WT+ have 38" pitch, their APD would be the same as Economy/World Traveller.
  • Heliflyguy
    Heliflyguy Posts: 932 Forumite
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    edited 18 October 2018 at 3:21PM
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    I have just priced a BA premium economy for November in W, E and T class to JFK and in each case the GB tax is £156?

    You raise an interesting question as there are not many airlines that have a pitch 40" and over in that cabin.

    https://www.seatguru.com/charts/premium_economy.php

    Must be because of the jump in class and covered in the class of service paragraph, its HMRC so what should we expect really.

    Goes up to £172 next year think we pay the highest tax on flights in the world, years ago it used to be Sierra Leone but we have gone way past their tax charge now.
  • fubar4164
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    Thanks for all the replies - looks like I was way off in my thinking on what a flight costs!

    On APD - I read the HMRC guidance as being the lowest rate applies to the lowest class of travel, and higher rates apply to any other classes, OR the pitch is 40”+, which I guess is to catch private jets etc where there might only be a single type of seat.

    I will be careful of the MAN/MCR point going forward as well 😊
  • fubar4164
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    So the latest update is they’re going to pay me the 75% of flight base cost that I’m entitled to for being downgraded but say that I’m not entitled to the APD difference because it is tax and the Ts & Cs say it is not refundable and paid to the government.

    I think this is incorrect, if they’ve charged me an amount that they call ‘tax’ but it is in excess of what they should have charged under government rules, then it is a straightforward overcharge that should be refunded, irrespective of what their Ts & Cs say.

    Has anyone experience of this, because I feel as if I’m wasting my time when speaking or emailing BA.

    Or am I missing something?

    Thanks
  • Heliflyguy
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    Do the Ts & Cs say that?

    BA state on their agents website regarding non refundable tickets:
    Only Government and/or Airports taxes will be refunded.

    How far you want to push it is up to you but I wouldn't take no for an answer, however I dont know if the terms will override, so need to check those first.

    I think you may have (possibly) had a good result on the fare refund though.
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