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Ryanair warns that the impact of the multi-million-euro fine on airlines would be 'passed on' to passengers
Consumer affairs

Ryanair warns that the impact of the multi-million-euro fine on airlines would be 'passed on' to passengers

The Irish low-cost airline responded to the "false claims" made by minister Pablo Bustinduy when he stated that the fines imposed by his ministry on airlines that charge for hand luggage - amounting to 179 million euros - were intended to protect Spanish consumers

Europa Press

Friday, 31 January 2025, 15:16

Ryanair has asked the minister for social rights, consumption and agenda 2030, Pablo Bustinduy, to "respect European Union legislation" that guarantees the freedom for airlines to set prices. In a statement issued on Thursday, the Irish low-cost airline responded to the "false claims" made by the minister, when he stated that the fines imposed by his ministry on airlines that charge for hand luggage - amounting to 179 million euros - were intended to protect Spanish consumers.

Ryanair CEO Michael O'Leary said in a statement that Bustinduy's duty was to "respect the legislation" that "guarantees all airlines the freedom to set prices and policies without interference from big ministers".

According to O'Leary, these fines are therefore "illegal" and affect airlines that have transformed air travel and tourism in Spain by drastically reducing fares for consumers and their families.

"This minister cannot suddenly repeal EU legislation in Spain or tell European airlines how to set their prices," he said, because the impact of this fine "would be passed on to passengers with higher fares".

However, he was confident that this “will not happen” because EU legislation “takes precedence over the illegal sanctions imposed by this misguided minister”.

“It is typical of these left-wing minority ministers to think that they can fine companies without realising that these costs end up falling on consumers,” he added.

He also said that if Bustinduy "really wants to defend consumers" he should take measures against online travel agencies "that are overcharging unsuspecting consumers", or against "air traffic control providers that cause numerous avoidable delays in flights across Europe every summer".

He added that the company transported 60 million passengers in Spain in 2024, passengers who "gladly" accepted its baggage and seating policies in exchange for "ultra-low" fares.

"The last thing Ryanair passengers want is for Mr Bustinduy to interfere or increase our low fares in order to make a populist move with illegal baggage fines that clearly breach EU laws," he concluded.

Brussels investigates the fine

On Thursday, the European Commission announced the start of a preliminary investigation against Spain for the fine of 179 million euros that the government imposed last November on Ryanair, Vueling Easyjet, Norwegian and Volotea for charging extra fees for hand luggage or reserving adjacent seats to accompany dependent persons.

Brussels has established an "informal" dialogue within the EU Pilot mechanism this week, according to EU sources cited by Europa Press; a procedure that gives the Spanish authorities ten weeks to respond to the request for information.

Once Spain's response has been received, the EU executive will have another ten weeks to assess the situation and decide whether to open infringement proceedings. However, the mechanism provides for postponements of up to a maximum of nine months in order to find a solution within the informal dialogue.

The preliminary investigation follows a complaint filed in Brussels by the international air transport association (IATA), the association of European regional airlines (ERA) and Airlines for Europe (A4E).

"The European Commission generally supports consumer protection measures in line with the rules of the Internal Market, provided that they comply with the freedom of price setting and price transparency," the sources explained.

The commission also supports the principle of free pricing in the air services regulation, which it believes has enabled it to reduce costs for consumers by allowing airlines to "compete more effectively through different pricing strategies and tailor-made product offerings".

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