Spanish Government Fines 5 Low-Cost Carriers for Charging Carry-On Bag Fees, Criticism Arises from Industry Groups

Spanish Government Fines 5 Low-Cost Carriers for Charging Carry-On Bag Fees, Criticism Arises from Industry Groups

The Spanish Ministry of Consumer Affairs has decided to abolish the carry-on luggage fee and impose a fine of 179 million euros on airlines.

According to CNBC, the fines were imposed on five low-cost carriers (LCCs), including Ryanair, Vueling Airlines, EasyJet, Norwegian Air Shuttle, and Volotea, with Ryanair being affected the most.

Ryanair immediately declared its intention to appeal, labeling the fine as “illegal and baseless.” Michael O’Leary, CEO, criticized the fine from Spain, stating, “The success of Ryanair and other LCCs across Spain and Europe is due primarily to Europe’s open skies policy and the freedom of airlines to set prices and policies without government interference. This fine from Spain is an attempt to weaken that.”

A survey by the International Air Transport Association (IATA) revealed that 65% of respondents want to buy airline tickets as cheaply as possible, paying additional fees for necessary services, 78% believe air travel offers good value for money, and 74% feel adequately informed about the products and services purchased from airlines.

IATA’s Director General, Willie Walsh, fiercely criticized the decision, describing it as “a terrible decision that insults travelers seeking options rather than protecting consumer interests.” He argued that prohibiting all airlines from charging for carry-on luggage would mean the costs would automatically be included in all tickets, questioning what would come next. He emphasized, “EU law protects the freedom to set prices for legitimate reasons, and airlines offer a wide range of service models from all-inclusive to basic transportation. This move by the Spanish government is illegal and must be stopped.”

According to IATA, the Spanish government had attempted in 2010 to impose fines and restrictions on airlines based on laws enacted during the dictatorship era, but it was overturned by the EU Court of Justice. This time, they prioritized another law dedicated to consumer protection.

Walsh commented on the impact of carry-on baggage rules, stating it prolongs boarding, especially on short-haul flights, affecting profitability. He concluded that “reducing options and making all passengers pay more is the worst outcome regulations could bring.”

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