Office of Public Sector Information

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations are made under section 71A of the Civil Aviation Act 1982, which authorises the Secretary of State to make provision for persons applying for licences under section 71 of that Act to make contributions to the Air Travel Trust.

Regulation 3 provides that a person who applies for and who is granted a licence pursuant to the Civil Aviation (Air Travel Organisers’ Licensing) Regulations 1995 must make contributions to the Air Travel Trust.

Regulation 4 provides that contributions are to be calculated by reference to the number of passengers included in bookings under a licence.

Regulation 5 provides that the CAA must, after consultation, determine and publish applicable rates of contribution and the dates on which they come into force.

Regulation 6 provides that the CAA must, after consultation, determine and publish applicable payment periods, which may be either one month or three months.

Regulation 7 provides for the method of calculating contributions payable by licence holders (other than the holders of Small Business ATOLs), which are payable in arrears at the end of each payment period.

Regulation 8 provides for the method of calculating contributions payable by the holders of and applicants for Small Business ATOLs, which are payable either in advance of the grant or within six weeks after the renewal of such licences.

Regulation 9 provides that the CAA may require the provision of undertakings to make payments of contributions and security for the duty to pay contributions.

Regulation 10 provides that the CAA may reimburse amounts paid in certain circumstances.

Regulation 11 provides for the recovery of sums due as civil debts and authorises the CAA to recover interest on overdue amounts.

Regulation 12 provides that the CAA will act as agent for the trustees of the Air Travel Trust, obliges the trustees to accept contributions collected by the CAA and requires the Air Travel Trust to reimburse the CAA’s expenses.

Regulation 13 provides that the CAA may, after consultation and with the consent of the Secretary of State, suspend the requirements to make contributions.

Regulation 14 provides that the CAA may, with the consent of the Secretary of State, make exemptions.

Regulation 15 provides that, where the Regulations require compliance with prescribed consultation requirements, certain persons must be consulted. It also provides that this requirement is to be treated as having been satisfied to the extent that consultation occurred in the 12 month period before the Regulations came into force.

Regulation 16 provides for the manner in which matters must or may be published.

Regulation 17 provides that holders of and applicants for licences must not knowingly or recklessly supply false information to the CAA for the purpose of paying less than is due.

Regulation 18 provides that any contravention of regulation 17 is a criminal offence.

Regulation 19 amends the Civil Aviation (Air Travel Organisers’ Licensing) Regulations 1995 to provide that the CAA may refuse to grant, vary, suspend or revoke a licence in the event of non-compliance with these Regulations.

A full regulatory impact assessment of the effect that this instrument will have on the costs of business has been produced and a copy placed in the library of both Houses of Parliament. Copies may be obtained from the Department for Transport, 76 Marsham Street, London SW1P 4DR. Alternatively, copies can be obtained from the Department for Transport’s website which is at www.dft.gov.uk.