Hungarian consumer protection launches investigation against Ryanair!
Ryanair has informed its passengers that it will retroactively charge them almost HUF 4000 each due to the excess profit tax imposed by the Hungarian government. However, the government thinks this is unacceptable and will proceed to launch an investigation on the matter.
Extra charges
According to 444.hu, on Thursday, Ryanair passengers who had booked a ticket from Budapest for July or later received a letter. It shows that the airline will retroactively charge everyone an extra HUF 3900 (EUR 10) because that is the amount of the excess profit tax introduced by the government per passenger. For destinations outside Europe, it is even more, HUF 9750 (EUR 25).
If this is not acceptable, you have until 16 June to cancel your booking, otherwise the amount will be automatically deducted from your bank account. After cancellation, the full amount previously paid will be refunded.
Unacceptable pricing practices
On Friday, Economic Development Minister Márton Nagy said in a statement that the government finds Ryanair’s unfair ticketing practices unacceptable.
“The government has decided to impose excess profit taxes on airlines, among other sectors, to protect Hungarian families. The government has made it clear to all concerned that it will keep a close eye on market developments and will do its utmost to prevent the excess taxes from being passed on to the public. The Government has indicated in advance that it will carry out a thorough investigation into each such case and will take strong action against harmful practices,” 444.hu quoted the Minister writing.
Investigation
The government considers it unacceptable that Ryanair is passing on to travellers the excess profit tax levied on airlines. They find it particularly objectionable that Ryanair has already started this practice for previously sold tickets.
As Portfolio.hu writes, the Minister for Economic Development, Márton Nagy, has therefore called for a consumer protection investigation to ensure that the competent bodies of the Government Office, using their consumer protection powers, thoroughly investigate and, if possible, prevent the airline’s unfair practices.
Read alsoHungarian elected President of the UN General Assembly
Source: 444.hu, Portfolio.hu
I booked 2 flights (a return journey) in July for a friend to visit me from London to Budapest, so I have received the Ryanair email. Obviously the London to Budapest flight already has the UK Air Passenger Duty (13 GDP, around 6000 huf) paid, so it just affects the return flight. The exact text is it is as follows:
Dear
On 4 June 2022, Hungary introduced a new air travel tax on passengers departing Hungary on or after 1 July 2022. This means that even if a passenger booked a flight before 4 June, which is due to depart Hungary on or after 1 July, this new tax must be paid to the Hungarian government.
This new tax is charged at a rate of HUF 3900 (approx. €10). The applicable tax in respect of your flight is HUF 3900 per passenger.
In accordance with Ryanair’s General Terms and Conditions of Carriage (Article 4.2.2), and taking into consideration that airlines and passengers were not given sufficient notice of this tax, we hereby advise you that we will debit your payment card for amount of the tax due in respect of your booking.
.
Passengers not wishing to accept the tax have the option to cancel their reservation and receive a full refund. If you wish to cancel your reservation you must do so on or before 16 June 2022. Otherwise, you will be deemed to have given consent to your payment card being debited for the amount of the tax.
If you wish to cancel your reservation and claim a full refund of the unused flight(s) click on the link below and enter your booking details. Refunds will be processed in 7 working days back to the form of payment that was used to pay for the original booking.
when Wizzair investigation will follow? They are even greater criminals
I am puzzled. Providing a valuable service and expecting a reasonable profit is not “criminal”. If a business cannot make a profit, then it will close — it is a very reason for a business to exist. A business prices its product or service based on the total costs, including taxes and fees. No airline made windfall profits because of the pandemic (traffic dropped significantly while expenses grew, e.g.: disinfecting, checking vaccination status and masks). Losses were further compounded by the increased cost of jet fuel and the increased wages for personnel. Where is the so-called “extra profit” that should be taxed? Ryan Air will probably cease Hungarian operations. Good riddance, I didn’t like them anyway.
@hw, trying to get money back from Wizz Air is like trying to get blood out of a stone. Thankfully when I once used them to buy tickets and was due a refund, I had paid using a UK Credit Card so I was covered by the the UK’s Consumer Rights Act and Section 75 of the Consumer Credit Act. In a nutshell, the card company refunded me in full and then retrieved the money from Wizz Air’s account and there was nothing that those crooks at Wizz Air could do about it.
Wizzair are greater criminals than who? Greater than Fidez seems hardly likely.