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- Dear Sirs
- Thank you for your email of 07 May 2021, with a deadline of 4 weeks in which to respond. Please
- accept our apologies for the delay in responding to you.
- The booking:
- I can confirm André Eklöf (the Passenger) was booked to travel as follows:
- BA819 Copenhagen (CPH) – London Heathrow (LHR) 14MAR 1800 1905 (the Flight)
- The facts:
- The Flight was cancelled as a result of the global pandemic caused by Coronavirus (COVID-19) and
- restrictions in place in both the UK and Denmark to control the spread of COVID-19.
- COVID-19 Outbreak
- On 30 January 2020, the World Health Organisation (WHO) declared the outbreak of COVID19 as a
- Public Health Emergency of International Concern based on the advice of the Emergency
- Committee under the International Health Regulations. Please refer to the attached WHO
- timeline [Attachment 1]. On 11 March 2020, the COVID-19 outbreak was characterised as a global
- pandemic.
- The COVID-19 outbreak is an unprecedented pandemic which is in its nature extraordinary to the
- course of normal events. It is therefore necessary to consider the cancellation of the Flight in the
- full context of the operating environment at the relevant time.
- To say these are difficult or “extraordinary” times for the aviation industry is an understatement.
- To give context, every single one of the approximately 220 destinations that British Airways
- operates to have been impacted by COVID-19 throughout this period, through immigration
- restrictions, operating permit changes, country closures, health declarations, or changes in crew
- entry/staying in country requirements. All these restrictions have changed many times over, often
- at very short notice.
- Many of these restrictions have been implemented with less than 48 hours’ notice, without
- consultation and without alignment between nations, regions or trade blocks. In addition, the
- arrival process into the UK has also been amended on several occasions including entry
- restrictions for citizens from certain countries and health declarations. The FCO advice has been
- updated throughout this crisis to advise against all but essential travel, initially to Wuhan and
- Hubei province before gradually expanding to cover the entire World. This has never before been
- issued on this scale in peace time. Please see the following statement for your information:
- https://www.gov.uk/government/news/travel-advice-foreign-secreatary-statement-17-march2020 [Attachment 2]
- Impact on Airlines
- The effect of COVID -19 on airlines has been particularly devastating. International Air Transport
- Association (IATA) data at the end of February, showed an estimated potential loss of nearly
- US$30 billion for airlines. I exhibit an article which discusses the IATA predictions of February
- [Attachment 3].
- Shortly after this time, analysis from IATA in early March indicated that the COVID-19 outbreak
- could cost the global airline industry up to $113 billion. I exhibit an article from just 14 days after
- the February predictions which discusses the March data, further showing the rapidly changing
- effects of COVID-19 on the industry [Attachment 4].
- Willie Walsh, the CEO of British Airways’ parent company IAG, wrote to the Prime Minister in May
- outlining the impact that COVID-19 had made on the aviation industry. Mr Walsh explains that for
- British Airways, flights had been reduced by nearly 94% in April with no revenue income.
- IATA has announced that it has downgraded its traffic forecast for 2020 to reflect a weaker than
- expected recovery, as evidenced by a dismal end to the summer travel season in the Northern
- Hemisphere.
- IATA now expects full-year 2020 traffic to be down by 66 per cent when compared to 2019 levels.
- The previous estimate was a 63 per cent decline.
- August 2020 passenger demand continued to be hugely depressed against normal levels, with
- revenue passenger kilometers (RPKs) down by 75.3 per cent when compared to August 2019. This
- was only slightly improved compared to the 79.5 per cent annual contraction in July 2020.
- Domestic markets continued to outperform international markets in terms of recovery, although
- most remained substantially down on a year ago. August capacity (available seat kilometers or
- ASKs) was down by 63.8 per cent compared to a year ago, and load factor plunged 27.2 points to
- an all-time low for August of 58.5 per cent.
- https://www.internationalairportreview.com/news/138195/iata-downgrades-2020-trafficforecast/ [Attachment 5]
- IATA have reported that:
- International passenger demand in 2020 was 75.6% below 2019 levels. Domestic demand in 2020
- was down 48.8% compared to 2019. December 2020 total traffic was 69.7% below the same
- month in 2019, little improved from the 70.4% contraction in November. Capacity was down
- 56.7% and load factor fell 24.6 percentage points to 57.5%. Bookings for future travel made in
- January 2021 were down 70% compared to a year-ago, putting further pressure on airline cash
- positions and potentially impacting the timing of the expected recovery.
- “Last year was a catastrophe. There is no other way to describe it. What recovery there was over
- the Northern hemisphere summer season stalled in autumn and the situation turned dramatically
- worse over the year-end holiday season, as more severe travel restrictions were imposed in the
- face of new outbreaks and new strains of COVID-19.” said Alexandre de Juniac, IATA’s Director
- General and CEO.
- Travel restrictions
- In the attached Prime Minister’s Statement of 31 October, the Prime Minister Boris Johnson made
- a press announcement stating:
- ‘From Thursday until the start of December, you must stay at home.
- You may only leave home for specific reasons, including:
- For education; For work, say if you cannot work from home; For exercise and recreation outdoors,
- with your household or on your own with one person from another household; For medical
- reasons, appointments and to escape injury or harm; To shop for food and essentials; And to
- provide care for vulnerable people, or as a volunteer.
- www.gov.uk/government/news/prime-minister-announces-new-national-restrictions
- [Attachment 6]
- A BBC New report dated 08 November 2020 reported, ‘On 07 November 2020 the UK imposed a
- ban on non-UK citizens coming from Denmark amid concerns over a new coronavirus strain that
- has spread from mink to humans.
- UK citizens can return from Denmark, but will have to isolate along with all members of their
- household for 14 days. Cabin crew are also no longer exempt from the rules, which Ryanair
- described as a "bizarre and baseless" move.
- The transport secretary announced the changes less than two hours before they took effect on
- Saturday.
- Writing on Twitter, Grant Shapps said: "This decision to act quickly follows on from health
- authorities in Denmark reporting widespread outbreaks of coronavirus in mink farms. Keeping the
- UK public safe remains our top priority."
- https://www.bbc.co.uk/news/uk-54851042 [Attachment 7]
- On 21 December 2020 the Danish Government banned all passenger flights from UK from 09:00
- GMT on 21 December until 09:00 GMT on 23 December 2020. However, the ban on residents in
- the UK not being permitted to enter Denmark was extended until 03 January 2021. I refer you to
- the attached report from The Local, which can also be viewed using the following link:
- https://www.thelocal.dk/20201221/denmark-bans-flights-from-uk-over-new-covid-19-
- strain/[Attachment 8]
- The Danish Governments entry ban on UK residents was extended several times until the outright
- entry ban was lifted on 24 February 2021. The lifting of the ban was reported in The Local and can
- be viewed at the following link:
- https://www.thelocal.dk/20210224/denmark-lifts-uk-entry-ban-but-extends-all-other-covid-19-
- travel-restrictions-until-april/[Attachment 9]
- Whilst the ban was lifted, the Danish Government introduced tight restrictions for UK residents.
- UK residents would only be permitted entry if they have a worthy purpose until initially 28
- February 2021. UK.GOV Entry requirements for Denmark states “The new variant of COVID-19 in
- the UK has led the Danish Government to introduce tighter restrictions for UK residents entering
- Denmark.”
- The attached Gov.uk travel advice Denmark page [Attachment 10], updated on 01 March 2021
- and was valid at the time the Passenger was due to travel, states:
- ‘Under current UK COVID-19 restrictions, you must stay at home. You must not travel, including
- abroad, unless you have a legally permitted reason to do so. It is illegal to travel abroad for
- holidays and other leisure purposes.
- The FCDO advises against all but essential travel to:
- Denmark based on the current assessment of COVID-19 risks. The FCDO is not advising against
- travel to the Faroe Islands and Greenland.
- From 1 March you can enter Denmark with a worthy purpose if you are resident in the UK.’
- Cancellation
- The Flight had a Planned Time of Departure from CPH of 17:00 GMT on 14 March 2021 and a
- Planned Time of Arrival at LHR of 19:05 GMT. However, the Flight was cancelled on 04 March due
- to ongoing entry restrictions for UK nationals and the subsequent drop in passenger demand
- [Attachment 11].
- The attached Flights Operated and Cancelled report from 28 February-14 March 20 [Attachment
- 12] shows BA operated 96 flights from CPH to LHR and had the capacity to carry 15,353
- passengers. Whilst, this was at the start of the COVID-19 pandemic BA still carried 8,375
- passengers.
- In contrast, the attached Flights Operated and Cancelled report from 28 February-14 March 2021
- [Attachment 13], shows BA only operated two flights over this period. BA had the capacity to
- carry 408 passengers, but only carried 261 passengers representing a load factor of only 64%. This
- clearly demonstrates the effect the pandemic and the entry restrictions and travel restrictions in
- both countries had on passenger demand.
- Article 7
- For reasons explained further below, the Passenger is not entitled to the compensation set out in
- Article 7 (1)(a).
- Article 5(3) of the Regulation states airlines are not obliged to pay compensation in accordance
- with Article 7, if the cancellation was caused by extraordinary circumstances which could not have
- been avoided even if all reasonable measures had been taken.
- In Pešková & Peška v. Travel Services A.S. (Case C-315/15), the Court of Justice of the European
- Union (“CJEU”) clarified that extraordinary circumstances under Regulation 261 refer to situations
- that “are not intrinsically linked to the operating system of the aircraft, are not by their nature or
- origin inherent in the normal exercise of the activity of the air carrier concerned and outside (the
- Airline’s) actual control”.
- As a result of the pandemic, the European Commission issued specific guidance with the aim of
- interpreting and clarifying how the provisions of EU passenger rights legislation (including the right
- to compensation under EU Regulation 261) would apply in the context of the COVID-19 outbreak.
- The guidance, in section 3.4, includes the following explanation:
- “The Commission considers that, where public authorities take measures intended to contain the
- Covid-19 pandemic, such measures are by their nature and origin not inherent in the normal
- exercise of the activity of carriers and are outside their actual control.”
- The guidance issued by the Commission indicates that the Covid-19 pandemic is in itself an
- extraordinary circumstance and it can follow that indirect consequences, for example, low
- passenger uptake may indeed be included in the range of extraordinary circumstances.
- To alleviate the impact of the pandemic and discourage airlines from flying with low (or no)
- passenger loads, the European Commission itself has waived the 80:20 rule which requires airlines
- to use 80% of its allocated slots to avoid losing them.
- The UK Civil Aviation Authority (CAA) has also provided information on what may be considered an
- extraordinary circumstance under EC Regulation 261/2004 in the context of the COVID-19
- pandemic. The guidance confirms that:
- “Where the Government is advising against travel to a destination we consider that this would be
- viewed as an 'extraordinary circumstance' and compensation would not be payable. Cancellations
- related to coronavirus in other circumstances (e.g. where there is no advice against travel) would
- need to be considered on their merits and facts. However, decisions by authorities to close
- airspace, restrict airline operations or place restrictions on passengers are likely to be an
- extraordinary circumstance. Cancellations due to the economic and environmental consequences
- of operating flights with only a few passengers on-board may also be considered to be an
- extraordinary circumstance, for example where the imposition of quarantine requirements
- significantly impacts demand.”
- The CAA COVID-19 guidance can be viewed online using the below link:
- https://www.caa.co.uk/Our-work/Newsroom/COVID-19-guidance-for-passengers/[Attachment
- 14]
- Reasonable measures
- The cancellation of the Flight could not have been avoided even if all reasonable measures had
- been taken, within the meaning of Article 5(3).
- It was the extraordinary circumstances of COVID-19 which resulted in the cancellation of the
- Flight. There were no reasonable measures that could have been taken by British Airways to avoid
- the effect of COVID-19. This was completely beyond the control of British Airways. The
- cancellation was caused by unforeseen disruption arising from the COVID-19 global pandemic.
- It would be an intolerable sacrifice for British Airways to continue operating flights with
- significantly low passengers.
- Article 8
- The Passenger chose not to travel and instead requested a refund.
- I can confirm that our Refunds team processed a full refund of 846 DKK on 06 March 2021 and this
- was returned to the original form of payment.
- Conclusion:
- As the cancellation of the Flight was not within the control of British Airways, we deny that the
- Passenger is entitled to EU compensation on this occasion.
- BA sincerely regrets the Passenger was inconvenienced by the cancellations. However, I trust I
- have provided sufficient information to prove we have acted sufficiently in accordance with EC
- Regulation 261/2004.
- Kind regards
- Laura McDade
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