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Thomas Cook collapse leaves holidaymakers stranded
The UK Civil Aviation Authority (CAA) shelled out £100 million to get 150,000 stranded tourists home after the Thomas Cook failure. The CAA had to charter 62 jets.
This triggered new laws to relieve the government from having to dip into its own coffers in the future, should another airline go belly up.
Going forward, any airline that goes bust will have to fly their passengers back, or the UK government will seize the aircraft. Loss of aircraft means big hits in the liquidation of the airline.
A UK Department for Transport spokesman said, “Using existing assets and staff in order to get people home will help to cut the costs of repatriation.”
UK Transport Secretary Grant Shapps vowed to bring in reforms as quickly as possible, saying: “I’m determined to bring in a better system to deal with similar situations in the future.”
So, whether you are a traveler, a government, or a taxpayer funding the government, the fall of Thomas Cook paints a brighter picture for the outcome of a potential unforeseen airline catastrophe.
