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British Airways responds to my question on 2-4-1 downgrade compensation

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I ran another article last week about BA’s treatment of downgraded passengers who are travelling on an American Express 2-4-1 voucher and claim compensation under EU261.

When downgraded whilst travelling on an Avios ticket, under EU261 BA is obliged to refund you 75% of the Avios used for that leg of your flight.  This is not in dispute and British Airways has always been happy to pay this.

What is currently in dispute is what happens when someone travelling on a 2-4-1 companion voucher is downgraded.  In the original case we discussed, a reader was offered zero compensation because he was told his companion ticket had zero value.  His partner, the BA Amex cardholder, received the full compensation due.  When he launched a case for compensation, BA settled based on the cash cost of buying 75% of the Avios value of the ticket.

British Airways BA A380 flying

Over the next couple of weeks we will get a real-time example of how this works because my contributor will be filing a claim after being downgraded.  His wife, who was the 2-4-1 cardholder and so would qualify for compensation, was not downgraded.

British Airways has now issued a statement to me explaining how they believe EU261 should be applied to 2-4-1 tickets:

To quote “the value of the purchase [is] split across the two tickets”.  This is, of course, the same as saying that the companion ticket has zero value.

If one person is downgraded – irrespective of whether that person is the original ticket holder or the companion – “the person on the voucher would be entitled to 75% of the value of the ticket – which would be calculated on 50 per cent of the amount of Avios paid for the pair“.

I very much doubt whether this would stand up in arbitration:

BA uses the word “value” rather than the “cost” of the purchase.  I doubt it means this, because the value could be either monetary or expressed in Avios.  It is difficult to see how it could argue the value of the companion seat is nil.  The voucher actually has a value of 100,000 Avios – or whatever the relevant value for the ticket it was used for – and if the voucher is not returned for reuse then the holder should be compensated for its loss.

You can argue that BA has accepted the voucher as ‘consideration’ in contractual terms for the second seat.  This means that it has value.

It is clear from the T&C’s that the Amex 2-4-1 voucher does NOT get you two tickets at half price. You get one ticket at full Avios and the other ticket at zero Avios.  There is an argument to say the voucher effectively entitles you to two half-price seats rather than one free seat, but a parallel argument that the voucher has a value of the seat it entitles you to.

What BA states above is not what they offered in the case of the HFP reader who was downgraded and filed a compensation claim.  He was offered nothing until he filed his case, based on the grounds that the companion ticket cost zero Avios.

Anyway ….. we now know where BA stands on the matter.  I very much doubt that my contributor will accept an offer based on the guidelines above, and if it goes to arbitration then we will all be in a ringside seat to see how it pans out.  This should then be the end of the matter as the result will be in the public domain.


How to earn Avios from UK credit cards

How to earn Avios from UK credit cards (April 2024)

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In February 2022, Barclaycard launched two exciting new Barclaycard Avios Mastercard cards with a bonus of up to 25,000 Avios. You can apply here.

You qualify for the bonus on these cards even if you have a British Airways American Express card:

Barclaycard Avios Plus card

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Barclaycard Avios card

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There are two official British Airways American Express cards with attractive sign-up bonuses:

British Airways American Express Premium Plus

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You can also get generous sign-up bonuses by applying for American Express cards which earn Membership Rewards points. These points convert at 1:1 into Avios.

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You should also consider the British Airways Accelerating Business credit card. This is open to sole traders as well as limited companies and has a 30,000 Avios sign-up bonus.

British Airways Accelerating Business American Express

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There are also generous bonuses on the two American Express Business cards, with the points converting at 1:1 into Avios. These cards are open to sole traders as well as limited companies.

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Click here to read our detailed summary of all UK credit cards which earn Avios. This includes both personal and small business cards.

Comments (239)

This article is closed to new comments. Feel free to ask your question in the HfP forums.

  • Mozo says:

    I started collecting avios when they were paper air mile vouchers around 35 years ago.

    I have never redeemed any.

    I have a 241 first class flight to Singapore in 4 weeks to celebrate 30th wedding anniversary.

    I won’t be particularly happy if we get bounced and it takes me another 35 years to earn enough points to try again!

  • MarkC62 says:

    Good luck with the claim. BA, and any other airline for that matter, should be made to pay the same compensation no matter how you have paid for the ticket. IMHO, they hould be made to compensate in cash based on the full flexible fare for that journey / cabin booked as that is almost what an Avios booking gives you. If you hit them where it hurts, in the pocket, then they are unlikely to downgrade involuntarily. Like so many things in the Travel Industry, the law needs to toughen up and stand on the side of the consumer. I am not a legal brain but my tickets issued after a 2-4-1 redemption say confirmed – I then assume that means just that – that my journey class & route is confirmed so isn’t it breach of contract if they downgrade you from involuntarily? When is confirmed not confirmed!

  • Phil G says:

    BA have responded to me by saying they would never target an avios or 2-4-1 redemption seat for downgrade, and anyone who has been downgraded was picked at random.
    ” There are occasions where our customers make a booking and then don’t turn up for their flight. We have an overbooking policy, which helps us avoid flying with empty seats and means we can keep the cost of our fares down. Ultimately this also means we can fly a lot more passengers to their destinations. We collect data about how many people don’t turn up for each flight and we use this information to tell us if we should book more passengers than there are seats.

    I’m afraid we do get it wrong sometimes and more passengers turn up for their flight than we expected. We normally ask for volunteers so people who are happy to accept compensation are downgraded first. If no one steps forward, we have to choose customers at random. However, we can confirm that we try to stay away from families, so we’re aren’t separating parents and their children. I hope this clears up any concerns you may have had.”

    AMEX have responded by saying it is nothing to do with them but here’s 5000 avios for asking.

    • @mkcol says:

      Looks like a cut & paste response from BA.

      • Nick says:

        Why shouldn’t it be? It’s a general question and at least gives BA’s view on whether 241 is prioritised for downgrade- they say it isn’t.

  • Leigh says:

    Called amex to express my thoughts on ba this morning and im considering not renewing the card next month.

  • Nick Anon says:

    If BAs argument is that the companion voucher is at no cost… I might call up and ask for one…

    Once I’ve got and used my 241 that’s it, I’m out, I will not fly BA again, even if it costs more elsewhere. When will they realize that they are the National Carrier and the worlds airlines (used to) look up to their high standards, and high standards are what customers want. Alex Cruz – just hurry up and re-brand it to EasyBrit we all know you want to.
    BA – too big to fail?

    • Mr Dee says:

      Nothing is too big to fail, if people consistently see disappointed with a company they will stop using it, overtime we will see the effect if people are not happy with BA

      • Nick Anon says:

        During the recent financial crisis the banks were propped up by government (taxpayers).
        Alex Cruz is acting like those bankers and must think that because his company is sooo big he can do whatever he likes, screw the customer, just make money, screw reputation, just profit.

  • Simon says:

    I sense this is being blown out of all proportion……. What percentage of 241s have ever experienced this problem??? And what percentage of regular seat purchases have had issues?? Ive used more than 20 Comp Vouchers and never had any problerms.

    • Tony says:

      Surely the issue isn’t the frequency, which you’re quite right is minimal, but the fairness in compensation when it does occur?

      • Simon says:

        Very true Tony. But this is a lot of hot air for a situation 99% of people will never ever have to worry about….. Sometimes life isn’t fair.

        • Darryl says:

          Sometimes it isn’t and you can’t do anything about it, why not try and fix the situations where you can do something about it though…

    • Mike says:

      Simon like you I historically used a lot of BA Companion tickets without problems. But this has now changed and I and many others recently were downgraded. It seems BA now have introduced a policy when down-grading to prioritise passengers using Avios. This is now a major issue and has not been blown out of all proportion.

      • Simon says:

        Do we know this for sure? Or assuming it based on a few data points?

    • Rob says:

      The new FLY passenger management system seems to have changes downgrade prioritising – as has EU261.

  • Alastair France says:

    In the cases that we are aware of, has there been any “calling for volunteers” that anyone is aware of? If BA are just bumping 241s withiut calling for volunteers (who would, of course, get some monetary compensation) then we can be pretty sure this is a penny pinching exercise (and very likely a major own goal).

    • Liz says:

      They obviously didn’t call for volunteers in Anon’s case as he was prevented from checking in 24 hrs beforehand – looks like he had already been targeted which makes the whole thing even worse!

    • Rob says:

      No. The full statement BA gave me said they always ask for volunteers. This is not true, as Anon will confirm. EU rules mean asking for volunteers is commercial suicide because those who have the paid the most are most incentivised to volunteer and get the 75% EU comp plus whatever bribe BA offers on the day.

  • Sundar says:

    All the best Anon and enjoy the ocean and holiday for now.
    Just a thought ? Would an argument for Section 75 apply ? Surely the service has not been as good/expected and BA are not compensating….Similar to someone who recently got paid by Amex for Southwest train delays ?
    BA is cost-cutting royally, I have a broken luggage case that I am dealing with them and subsequent insurance claim hopefully…
    It has to realize that this will be at loss of customer if we avoid it actively.

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