The biggest change: the deposit

Let's start with the change most travellers will notice straight away: the deposit. Until now, operators often demanded a substantial part of the price immediately on early booking.

In future, advance bookings should require at most a quarter — 25 percent — of the total at the time of booking; the rest only around 28 days before departure. For travellers that means less money sitting with the operator for months, and a budget that stays flexible longer.

This cap on the deposit was one of the few demands on which the travel industry partly prevailed — most of its other objections went unheeded.

Better protection if the operator goes bust

The second big point is insolvency protection — and it has a concrete backstory. The spectacular collapses of Thomas Cook and, most recently, the German operator FTI showed what can happen when a provider becomes insolvent: stranded holidaymakers, lost deposits, uncertainty.

The revised directive therefore tightens operators' duty to secure both customers' deposits and their return transport in the event of insolvency. In Spain, a travel insurance fund protecting travellers against operator insolvency has existed since November 2021.

For package travellers that means the money and the journey home are secured if the worst happens.

Cancel without penalty — in certain cases

Third, the directive clarifies when you can cancel free of charge. If exceptional, unavoidable circumstances arise at the destination or the place of departure — such as natural disasters, serious unrest or comparable events — withdrawal without a cancellation fee is possible.

Important to note: this applies to genuine exceptional situations, not to an ordinary change of mind. The directive also clarifies information and refund rights as well as the rules on vouchers.

Industry lawyers point out that the duty to refund essentially lies with the operator — even when individual service providers keep operating.

What you as a package traveller should take away

When booking, check the stated insolvency protection and keep the confirmation safe. Check how much deposit is required — more than around a quarter of the total should no longer be necessary for advance bookings.

Get the cancellation conditions and the deadline for the balance in writing. And: a package holiday (flight plus hotel from one source) is legally better protected than separately combined components — a real advantage for a flight destination like the Canaries.

A word on the market

More protection does not automatically mean cheaper. In the Canaries — especially southern Gran Canaria — the market is highly concentrated; after the FTI collapse, TUI alone holds much of the package business.

At the same time package prices have risen sharply of late, which is why operators are adding more budget options (such as more three-star packages). The new rules improve travellers' rights — they change little about the price.

Comparing several operators still pays off.