Ryanair ‘almost taunting’ customers over extra fees

Ryanair CEO Michael O'Leary

Meanwhile, Ryanair’s boss has said passengers would ‘dance in the streets’ if he quit

BY Jonathan Harwood LAST UPDATED AT 09:58 ON Mon 4 Jan 2010

Budget airline Ryanair, famed for its cheap fares and extra charges, has come under fire from the chief executive of the Office of Fair Trading, John Fingleton, who accused it of operating "completely outside the spirit of the law" over its fees.

He said the airline was "almost taunting" its customers and acting in a "puerile" way over the way it advertised charges and fees. The attack came as the carrier's controversial chief executive Michael O'Leary claimed passengers would "dance in the street" if he quit.

O'Leary, who will stand down in 2012, was quoted in the Belfast Telegraph as saying: "It will be a nicer, warmer, caring airline with me gone. I think half our passengers would like to see me dead and buried, actually, and eventually they'll get what they want. Frankly, I couldn't care less as long as they fly with us."

Since January 1 the only way passengers can avoid a £5 passenger transaction fee when booking tickets with Ryanair is to pay using a prepaid Mastercard. Under consumer law businesses must advertise all compulsory charges - but because there is a single payment method that is free, Ryanair can claim that the charge is not compulsory.

OFT boss Fingleton has accused the carrier of using a "low frequency payment mechanism" to get round the regulation.

"It's almost like taunting consumers and pointing out: 'Oh well, we know this is completely outside the spirit of the law, but we think it's within the narrow letter of the law'," he said.

"This is just playing silly games at the margins of it all and we might or might not go running after something like that."

Fingleton also attacked the automatic addition of insurance to flights unless customers opted out. He said the practise, carried out by Ryanair and other airlines, fell into a legal "grey area".

It is by no means the first time Ryanair has incurred the wrath of the OFT. In 2008 the Advertising Standards Authority referred the airline to the watchdog for "persistent failure to abide by the Code of Advertising Practice". In July last year Ryanair promised to take steps to increase the clarity and transparency of its website and other advertising.

But, as usual, the airline is unrepentant. Spokesman Stephen McNamara, said: "Ryanair is not for the overpaid John Fingletons of this world, but for the everyday Joe Bloggs who opt for guaranteed lowest fares."

In 2008 Ryanair made almost £550m in extra charges including baggage fees, in-flight food and insurance costs according to researchers in the US. O'Leary's latest plan is to rip seats out of planes and take standing passengers. ·