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Virgin Surcharges on the rise from tomorrow

Posted:
07 May 2008, 18:10
by eejp1007
Looks like they are following BA. I presume the slight time lag is to pretend that there is absolutely no copying going on.
It's like being at school and using a different coloured pen in the hope that the teacher won't realise that the words are the same!
I cannot believed that BA and VS have hedged their fuel costs in exactly the same way...
Edited to reflect revenue recepient

Posted:
07 May 2008, 18:13
by Nottingham Nick
Do you have a a link to the story, or any further details?
Nick

Posted:
07 May 2008, 18:22
by eejp1007
Was checking my facts!!
---------------
The following increased surcharges are applicable to all VS flight numbers including children and infants and any new bookings created on/after 08 May 2008.
1. For tickets sold in the UK for travel on the following sectors :-
LAX/SFO/LAS/TYO/SHA/SYD/MRU/JNB/CPT/HKG/BJS-LON and v.v
Charge GBP81.50 per sector (up GBP15 per sector)
Otherwise : All other flights
Charge GBP65.50 per sector. (up GBP12.50 per sector (I think!))

Posted:
07 May 2008, 18:48
by pjh
As much as the pain's the same, just to be pedantic it isn't a tax, it's a surcharge. Good or bad, taxes go to government, this goes to VS. And given that there is little (no?) tax on aviation fuel, Gordo is off the hook in that respect...
Paul

Posted:
07 May 2008, 23:50
by mitchja
Be interesting to see if V Hols pass on this surcharge to me or absorb it for my SFO package in December [?]
According to my invoice I've already been charged £210.10 for 'Fuel apd & resort tax' - that's for PE return flights.
Regards

Posted:
07 May 2008, 23:53
by RichardMannion
Originally posted by mitchja
Be interesting to see if V Hols pass on this surcharge to me or absorb it for my SFO package in December [?]
According to my invoice I've already been charged £210.10 for 'Fuel apd & resort tax' - that's for PE return flights.
Regards
If its above 2% increase, then they can come back to the customer and ask for the difference.

Posted:
08 May 2008, 10:06
by ukcobra
Richard is correct, and I think the upper limit is 10%. I was wondering what your rights are about cancellation if they did that. i.e You have a £4K holiday and they ask for another £400.

Posted:
08 May 2008, 10:27
by pjh
Originally posted by ukcobra
Richard is correct, and I think the upper limit is 10%. I was wondering what your rights are about cancellation if they did that. i.e You have a £4K holiday and they ask for another £400.
According to this article in the
Times you have no cancellation rights (beyond those you have anyway). Interesting that the headline is about the fuel surcharge yet the article suggests its actually more (so far) to do with the value of the euro for the companies it mentions.
Paul

Posted:
08 May 2008, 10:57
by DarkAuror
Quick question.
If the surcharge increase is because of the increasing cost of oil and the strength of the Euro. Will the surcharge decrease if oil prices drop and the Euro weakens? [:?]
Me thinks it won't.[n]

Posted:
08 May 2008, 11:33
by flyerdavid
Just for clarification....I've booked (and paid for) flights to JNB in June. Can/will VS come after me for the surcharge or am I ok as I booked and paid before 8 May?

Posted:
08 May 2008, 11:36
by preiffer
No, you're fine if you'd paid VS in full.
They're not doing a Gordon Brown (dictionary reference: 'ar$ehole') move on people like with APD and the backdating that was done there. It'll only be for new/unpaid bookings.
Besides, VH *may* well just absorb it - yet to be seen.

Posted:
08 May 2008, 11:53
by mitchja
I'll keep an eye on my booking to see if anything does change. So far no change, although it's probably too early yet anyway.
Regards

Posted:
08 May 2008, 11:56
by preiffer
Just one thing - if someone has to re-fare directly with VS (ie: go from Q/X > L for an upgrade, or K > S for the same, D > J for flexibility, etc) then it's *likely* that they will introduce the increased surcharge as part of the re-faring exercise, I believe.

Posted:
08 May 2008, 12:06
by pjh
Originally posted by mitchja
I'll keep an eye on my booking to see if anything does change. So far no change, although it's probably too early yet anyway.
I believe they can apply to levy 'late notice fees' at any time up to 30 days before departure.
Paul

Posted:
08 May 2008, 12:50
by eejp1007
preiffer
You are very correct, if they have to re-issue the ticket in the higher class then they will charge you the difference of any surcharges.
I had someone who was changing their return date and they were charged the £50 date change fee and then almost as much again in the tax increases one way.
I am now seriously thinking of how to use any mileage as was thinking about a quick trip to some sun for a week but it's worth even less and less for an economy ticket. It has to be all about the upgrades so will save for a bit more and upgrade to UC for a flight I think. Even if I can't afford a hotel when I arrive, UC will be a holiday in itself!

Posted:
08 May 2008, 12:57
by DarkAuror
Originally posted by eejp1007
preiffer
You are very correct, if they have to re-issue the ticket in the higher class then they will charge you the difference of any surcharges.
I had someone who was changing their return date and they were charged the £50 date change fee and then almost as much again in the tax increases one way.
I am now seriously thinking of how to use any mileage as was thinking about a quick trip to some sun for a week but it's worth even less and less for an economy ticket. It has to be all about the upgrades so will save for a bit more and upgrade to UC for a flight I think. Even if I can't afford a hotel when I arrive, UC will be a holiday in itself!
Was thinking of the same thing, at the moment, it's seems better to pay the extra for a Y ticket and collect the additional miles.

Posted:
31 May 2008, 18:23
by baloobear
Good article on the whole fuel surcharge debate today in the Daily Telegraph. Makes for an interesting read and the very variable surcharges....
Link to Daily TelegraphEdit by mod to shorten link......... Nick

Posted:
31 May 2008, 20:32
by pkatmk
Originally posted by eejp1007
Looks like they are following BA. I presume the slight time lag is to pretend that there is absolutely no copying going on.
It's like being at school and using a different coloured pen in the hope that the teacher won't realise that the words are the same!
I cannot believed that BA and VS have hedged their fuel costs in exactly the same way...
There is nothing wrong with VA copying BA on surcharges provided that it is done without collusion between them. BA took the initiative at the risk that VA and other competitors might respond with a lower surcharge or none at all. But the most predictable response is to copy; VA need these fuel surcharges at least as much as BA do, but the need to be competitive inhibits them from going higher.
If there were collusion, then you can be sure that the surcharges would be higher than otherwise.

Posted:
31 May 2008, 20:41
by Darren Wheeler
Originally posted by pkatmk
If there were collusion, then you can be sure that the surcharges would be higher than otherwise.
Very much doubt it. BA won't want VS bubbling them up again.

Posted:
31 May 2008, 20:54
by musicmanbrain
Why are none of the amercian airlines charging fuels surcharges?

Posted:
31 May 2008, 21:08
by Darren Wheeler
I think that's because the fuel costs internal to the US are much lower. Just look how much lower petrol is!

Posted:
31 May 2008, 21:18
by slinky09
Originally posted by musicmanbrain
Why are none of the amercian airlines charging fuels surcharges?
American Airlines certainly adds a surchage between the US and UK