EU lawmakers have agreed on a sweeping set of new rules designed to crack down on the pricing tricks and hidden fees used by low cost airlines, in a move that could reshape how flights are booked across Europe.

After more than a decade of political deadlock, driven largely by pressure from aviation lobbies and disagreement among member states, the European Parliament’s negotiating team approved the measure unanimously. Rapporteur Andrey Novakov said the Parliament had promised passengers their rights would be protected, and that this promise had now been kept.

The end of dynamic pricing on hand luggage

The most significant change concerns cabin baggage, the small bag or backpack passengers stow under the seat in front of them. Under the new rules, airlines, booking platforms and travel search engines will be required to display the full ticket price, including hand luggage, from the very first step of booking. This puts an end to the familiar bait and switch tactic where a low headline price balloons once extra fees are added during checkout. Hand luggage becomes the default inclusion, and airlines will only be allowed to offer discounted fares as an explicit, voluntary option for travelers who choose to fly without any bag at all.

No more being forced into apps or paying to fix a typo

The agreement also strengthens passenger data privacy and accessibility. If a flight is delayed or cancelled, airlines will have to send refund instructions by email or text within four days, and they will no longer be allowed to require passengers to create an account or download a company app just to request a refund or receive flight information.

Scandinavian Airlines
Image: SAS

A boarding pass, including a paper version, becomes a guaranteed right: digital passes must be issued automatically at check in without forcing travelers to install dedicated apps, no airline can charge extra for printing a boarding pass at home, and no passenger can be denied boarding for showing up with a paper copy.

Correcting a simple typo in a passenger’s name will also no longer come with a fee. Airlines will be barred from charging “modification” costs for basic spelling mistakes.

Tighter rules on seating algorithms and compensation

The deal also targets the algorithms airlines use to assign seats, which are often designed to split up travel groups in order to push people toward paying for seat selection. Going forward, airlines must seat children under 14 next to at least one parent or guardian free of charge, and the same free adjacent seating guarantee will apply to pregnant women and passengers with disabilities or reduced mobility.

Existing compensation rights remain in place: passengers can still claim a refund or rerouting in case of cancellation, along with cash compensation ranging from 250 to 600 euros depending on flight distance for delays of more than three hours. Airlines must send clear digital refund instructions within four days of a disruption, without requiring an account or app download, and passengers will have nine months to file a claim, with airlines obligated to pay or justify a refusal within 30 days. If a passenger with reduced mobility misses a flight because airport assistance failed to get them to the gate on time, the airline will be required to compensate them, rebook them and provide assistance.

Airlines still have an escape hatch

Airlines retain one major way to avoid paying compensation: exceptional circumstances. The agreement maintains an open ended list of such circumstances, including natural disasters, war, extreme weather, strikes by air traffic controllers or ground staff, and disruptive passengers. When delays are caused by third parties, airlines are not required to pay monetary compensation, though they must still provide meals and accommodation.

Before the rules can take effect, they still need approval from the Council of the EU and final ratification by the full Parliament. Negotiators are aiming to close the process within six weeks, with a possible two week extension, and the European Parliament expects to vote on the agreement during its July plenary session.

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