The Civil Aviation Authority (CAA) announced today that it is restricting the use of the ‘ATOL protected’ logo to ATOL holders only.

The restriction means that only ATOL holders will be permitted to use the logo in brochures, online or in shop windows. The decision follows concerns that unlicensed travel firms using the logo when advertising could potentially mislead consumers into believing that travel arrangements are ATOL protected when this may not be the case.

Each ATOL holder will be provided with a licence to use the trademarked ‘ATOL protected’ logo as part of their ATOL licence, for use when offering ATOL protected travel arrangements. Unlicensed firms will not be allowed to use the logo.

The CAA expects firms to take notice of the new rules and will take action should it discover companies to be breaching regulations.

David Moesli, CAA Deputy Director of Consumer Protection, said: "Many ATOL holders already recognise the benefits of prominently displaying the ATOL logo in their marketing material. Restricting its use will help to ensure that the logo is not devalued by travel firms without licences.

“This, in turn, will boost consumer confidence when booking with an ATOL holder, particulary in today’s marketplace where holidaymakers can now purchase other holiday products that are not financially protected. This of course was not the case years ago when practically all holiday arrangements were covered under the ATOL scheme.”

Following the introduction of the ATOL Protection Contribution (APC) and new licence conditions earlier this year, the CAA has now published guidance for unlicensed travel firms on the information they must provide to prospective customers when acting as agents for ATOL holders, as well as on the information that must be included in agents’ receipts.