From today, travel agents and wholesalers can make
applications to the Consumer Travel Reimbursement Scheme
established to support New Zealanders to get back money they
are owed from cancelled overseas travel plans caused by
COVID-19.
The travel sector and the Ministry of
Business, Innovation and Employment (MBIE) estimate around
$690 million of New Zealanders’ money is locked up from
cancelled travel plans due to COVID-19, with approximately
85% related to international travel. The scheme is designed
to incentivise travel agents to recoup these funds for
consumers.
The scheme is funded to a maximum of
$47.2 million and will pay New Zealand-based travel agents
7.5 per cent of the value of all cash refunds they are able
to successfully recover for their customers and 5 per cent
of the value of all credits successfully secured or rebooked
for international travel.
MBIE’s spokesperson James
Hartley, General Manager Commerce, Consumers and
Communications says, “The Consumer Travel Reimbursement
Scheme has been put in place to play an important role in
helping Kiwi customers get their money back, while at the
same time providing the travel industry with the confidence
and financial support to facilitate the recovery of funds
held overseas.”
“Travel businesses are best placed
to support the return of funds as a result of their
knowledge and expertise within the industry. Bookings are
often complex, involving a series of transactions with
multiple overseas suppliers.”
He says securing
refunds will enable New Zealanders to support the local
economy through domestic tourism.
MBIE is working with
the Travel Agents’ Association of New Zealand (TAANZ) and
First Travel, Flight Centre, Helloworld and House of Travel,
who will apply to the scheme on behalf of their members,
franchisees and affiliates. Independent travel businesses
based within New Zealand can apply to participate in the
scheme directly through MBIE.
Refunds and credits for
cancelled travel will be secured by travel businesses on
behalf of their customers, who will pass refunds and credits
to their customers in full. The travel businesses can then
claim a percentage of the refund or credit through the
scheme. Consumers seeking refunds or credits should contact
the travel agent or wholesaler they booked
through.
Further information for travel agencies and
wholesalers, including details of how to apply to the scheme
can be found on MBIE’s website.
