The revised Package Travel Directive has been approved. New rules will apply to vouchers, refunds and insolvency protection, alongside a faster right of redress for organisers. Member States must transpose the Directive by 2028, but the industry is already being called upon to prepare.
The regulatory framework governing organised travel in Europe is undergoing substantial change. On 29 April 2026, the European Parliament and the Council adopted Directive (EU) 2026/1024, amending the long-standing Directive 2015/2302 on package travel.
The legislation, published in the Official Journal of the European Union on 8 May 2026, had been approved by the European Parliament with an overwhelming majority the previous March. The revision draws on the experience of the pandemic and the business failures that have affected the travel sector in recent years, with the aim of addressing the shortcomings that emerged in relation to refunds, vouchers and cancellations.
For travel agencies and tour operators, this is a reform that requires careful examination. The Directive does not overturn the previous framework, but it introduces important changes in several crucial areas, with the stated objective of strengthening traveller protection and simplifying provisions that had created uncertainty when applied in practice.
The Rules Governing Vouchers
One of the most widely debated changes concerns the use of vouchers. When a package travel contract is terminated—because of unavoidable and extraordinary circumstances, substantial changes that the traveller does not accept, or a price increase exceeding 8%—the organiser required to refund the amounts paid may offer the traveller a voucher as an alternative, potentially with a value greater than the amount originally due. However, strict conditions apply. The traveller must accept the voucher voluntarily and may always refuse it, requesting a refund within 14 days instead. The voucher may be used for any service offered by the organiser and may also be redeemed in part. It must be covered by insolvency protection and may be transferred to another person once, free of charge. The objective is to prevent the implicit pressure to accept vouchers that became widespread during the pandemic.
Insolvency Protection and the Right of Redress
In terms of financial security, the Directive strengthens protection in the event of an organiser’s insolvency. The guarantee will have to cover all payments made by travellers, including refunds due and vouchers issued before the insolvency occurred. Of particular importance to the financial sustainability of operators is the new right of redress. A provider of an individual travel service—such as an airline or hotel—that cancels or fails to provide a service included in a package will be required to reimburse the organiser within seven days. The mechanism is designed to allow tour operators to meet their own obligations towards travellers promptly, without being caught between customer refund requests and lengthy repayment times from suppliers.
Issues That Remain Unresolved
The reform has not escaped criticism. Industry associations, while acknowledging that the final text represents an improvement on the European Commission’s initial proposal, argue that the overall framework remains unbalanced. Another significant change is the removal of the concept of a “linked travel arrangement”, one of the most complex legal constructs contained in the previous legislation. In terms of implementation, the industry has time to adapt. Member States must transpose the Directive into national law by 29 September 2028, with the national provisions applying from 29 March 2029. This timeframe leaves room for consultation and discussion over the national implementing measures.
An Opportunity for Organised Travel
Beyond the technical details, the reform reinforces a message the industry has emphasised for years: the added value of a package holiday compared with independent travel arrangements. Travellers purchasing an organised package can rely on a single point of contact capable of assisting them before, during and after the trip, identifying alternative solutions and, where required, arranging replacement services or rerouting. In an increasingly uncertain travel environment, the stronger protections introduced by the new Directive can become a tangible selling point for travel agencies and tour operators.