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Sunday, Jun 08, 2025

EU Council Approves Reform Reducing Passenger Compensation for Flight Delays

New regulations will increase delay thresholds, limiting compensation eligibility for travelers across Europe.
The Council of the European Union has approved a reform to Regulation CE 261, which governs air passenger rights, that will allow airlines to extend the delay threshold for compensation from the current three hours to four or even six hours.

This decision, made by qualified majority, faced opposition from Spain, Germany, Estonia, and Portugal.

As a result of this change, approximately 60% fewer travelers affected by flight delays will be eligible for compensation, according to travel technology company AirHelp.

The reform has raised concerns about the decreased level of protection available to European passengers when compared to nearby regions outside the EU.

Proponents of the reform have stated that the extension of delay thresholds is intended to help prevent flight cancellations.

However, AirHelp has criticized this rationale as inadequate, noting that flight cancellations are also subject to compensation payments independent of delay-related claims, as well as additional costs associated with passenger care and rebooking.

Furthermore, rather than adjusting compensation amounts to reflect inflation over the past two decades since the regulation’s introduction, the EU Council has opted to reduce compensation for medium and long-haul flights.

The proposed maximum compensation for passengers would be capped at 500 euros, while flights shorter than 3,500 kilometers would see limits set at 300 euros.

This represents a significant reduction from current amounts, which provide for compensation of 250 euros for delays of three hours or more on journeys of 1,500 kilometers, 400 euros for distances between 1,500 and 3,500 kilometers, and 600 euros for longer flights.

Regulation CE 261 has long been viewed as a global benchmark for passenger rights, and AirHelp expresses concern that the weakening of these protections could result in 'very negative' consequences for millions of travelers, who could face more frequent and prolonged delays with limited options for compensation.

The increasing burden of disruptions due to airlines is seen as transferring responsibility further onto passengers at a time when delays and cancellations are reportedly on the rise across Europe.

The CEO of AirHelp, Tomasz Pawliszyn, stated that by increasing the threshold for delays and reducing compensation amounts, the EU is undermining long-standing protections and causing confusion among travelers.

AirHelp is urging the European Parliament and the Council to reconsider any proposals that would further weaken Regulation CE 261, calling instead for efforts to enhance passenger protections amid rising air traffic and increasing profitability for airlines.
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