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  5. Package travel regulations

Package travel regulations

4 minute read• Last updated: 19 February 2026

The Package Travel and Linked Travel Arrangements Regulations 2018 are crucial for ensuring fair practices within the travel industry. They not only protect consumers who book package holidays but also help build trust between businesses and their customers.

Find out how the package travel regulations can apply if you collaborate with another business to sell a product. They can also apply to your travel distribution partner, if they are selling your product as part of a package or itinerary.

In this article:

  • Definition of a package
  • What do the regulations mean for businesses?
  • What do the regulations mean for consumers?
  • Practical steps for businesses
  • Watch the package travel regulations webinar

Package Travel Regulations updates for 2026

Package Travel Regulations are changing in 2026. Check back here soon for further information.

Definition of a package

These regulations are designed to safeguard consumers when booking a combination of travel services sold as a package. A "package" typically includes two or more of the following elements:

  • Transport: flights, trains, or buses (but not short transfers to accommodation).
  • Accommodation: hotels, resorts, or holiday rentals.
  • Vehicle hire: cars, motorbikes, or similar.
  • Tourist services: significant activities like guided tours, spa treatments, or event tickets.

Other conditions

  • The services must be marketed together or purchased as part of the same booking process.
  • The tourist service must be significant, meaning it either represents 25% or more of the trip’s cost or is marketed as an essential feature.

Exemptions

Some activities do not fall under package travel regulations:

  • Business travel: if sold under a general agreement for regular bookings, these are exempt.
  • Day trips: trips under 24 hours without accommodation are excluded.
  • Charity bookings: Nonprofit organisations offering occasional, limited travel services to specific groups are exempt.

Examples and applications

  • A three-day itinerary with multiple excursions (eg cycling tours) does not qualify as a package if only one type of travel service is involved.
  • A day trip with transport and a guided tour is exempt as it lasts under 24 hours.
  • Accommodation booked separately from excursions does not form a package since the services were not purchased simultaneously.

What do the regulations mean for businesses?

If you’re a business offering package travel or linked travel arrangements, you have specific obligations under the 2018 regulations. Key responsibilities include:

  • Clear information

    Providing customers with clear, accurate information about the travel services included in the package, along with the total price.

  • Financial protection

    Ensuring travellers’ payments are protected in case the company ceases trading. This often involves setting up a trust account or purchasing insurance.

  • Liability

    Taking responsibility for the performance of all services included in the package, even if they are provided by third-party suppliers.

  • Cancellation rights

    Allowing customers to cancel the package under certain conditions, such as significant changes to key components of the trip.

  • Assistance for travellers

    Providing prompt assistance to customers in case of emergencies during their trip, such as helping them find alternative travel arrangements or accommodations.

What do the regulations mean for consumers?

For consumers, these regulations provide peace of mind and added protections when booking holiday packages. Key benefits include:

  • Transparency: knowing exactly what is included in their holiday package and its cost.
  • Financial security: confidence that their money is safe even if the provider faces insolvency.
  • Guaranteed assistance: assurance that they’ll receive support in case of problems encountered during their trip.

Practical steps for businesses

If you’re a travel operator or accommodation provider:

  • Understand package components

    Review your offerings to identify if you’re selling combinations that qualify as packages.

  • Consider future expansion

    Even if your current market is exempt, plan for potential growth into regulated regions.

  • Evaluate market reach

    Determine whether your primary market is UK/EU-based or international. Tailor terms and conditions to reflect the applicable legal framework.

  • Implement compliance measures

    Ensure your contracts, payment processes, and information dissemination meet regulatory standards.

  • Seek independent legal advice

    For complex cases, consult a legal expert to ensure compliance and mitigate risks.

Watch the package travel regulations webinar

Watch this webinar by VisitScotland and Travlaw for a detailed introduction to package travel regulations and learn more about current UK and EU regulations.

Package travel regulations webinar

Please note - this video is presented by the legal firm TravLaw. VisitScotland cannot promote or endorse any particular legal adviser and it is the responsibility of businesses and individuals to obtain their own independent legal advice. If you are looking for a legal expert in any specific area you can contact the Law Society of Scotland who will be able to provide details of specialists.

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