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Spain sanctions low-cost airlines with $187M for “abusive” practices

Spain has fined five low-cost airlines nearly €179 million ($187.5 million) for abusive practices, including charging passengers for hand luggage and reserving seats for minors and dependent individuals.

The Ministry for Social Rights, Consumer Affairs, and Agenda released a statement announcing the fines, which were signed by Spanish Minister Pablo Bustinduy.

The total fines amount to €178.9 million ($187.5 million), with Ryanair receiving the largest penalty of €107.78 million ($112.93 million), followed by Vueling (€39.26 million/$41.14 million), EasyJet (€29.09 million/$30.48 million), Norwegian (€1.61 million/$1.69 million), and Volotea (€1.19 million/$1.25 million).

The investigation, initiated in 2023 by Spain’s General Directorate of Consumption, identified the violations as “very serious” under the nation’s Consumer Protection Law.

The Ministry has prohibited practices such as charging extra for cabin luggage, imposing fees for seat reservations for minors, dependent persons, and their companions, refusing to accept cash payments at airports, charging excessive fees for printing boarding passes, and providing misleading pricing information that complicates comparisons for consumers. Ryanair was specifically fined for overcharging passengers who needed to print boarding passes at airport terminals.

The fines were calculated based on the illicit profits generated by these practices, with Spain’s penalty framework allowing for fines up to six to eight times the illegal gains for severe violations exceeding €100,001 ($104,744).

The affected airlines have announced plans to challenge the penalties in court, describing them as “manifestly illegal.” The Airlines Association (ALA) criticized the sanctions as an unjustified interference in the free market, arguing that Spain is the only EU country seeking to ban charges for cabin luggage. The airlines defended their baggage policies as consistent with industry standards and warned that implementing changes before the courts issue a ruling could significantly harm passengers.

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