Last week the DfT quietly released its consultation on ‘Modernising consumer protection in the package travel sector – Consultation on Atol changes’.

Many have questioned whether the UK needs to push ahead with implementing another European Directive considering the result of the referendum.

The DfT is clear on this point.

The consultation document reads: “Until we negotiate our exit, the UK remains a member state of the EU with all of the rights and obligations that this entails, including negotiating, implementing and applying EU legislation.

“In the meantime the obligation to transpose PTD 2015 into UK law by January 2018 remains.

“We have been working closely with the Civil Aviation Authority to consider what this means for the Atol scheme.”

The document outlines three ‘high level approaches’ – make no change to the Atol scheme or regulations in order to implement PTD 2015, strengthen Atol to be consistent with PTD 2015 or place the requirement on businesses to meet their insolvency protection obligations.

The DfT recommends the second approach, which is said would allow Atol members and consumers to access the “benefits that the new directive is designed to bring”, while avoiding the difficulties of transitioning to a new type of insolvency protection in a short timescale.

It concludes that it believes the Atol scheme will continue to have a central role to play as a method of complying with PTD 2015.

Martin Alcock, director of the Travel Trade Consultancy, said: “Of course, there’s still a big question mark over what happens after the UK has left the EU, but then the travel sector is hardly unique there.”