The EU obliges airlines to display prices with hand luggage included.
New European Union rules on passenger rights could change the way European airlines advertise their services. This has immediately provoked a sharp reaction from Dublin.
Changes in European regulations that mandate a more transparent display of air ticket prices have reopened the conflict between Brussels and low-cost carriers. At the heart of the new dispute is the obligation for airlines to include the cost of a second piece of cabin baggage in the initial, prominent flight price.
For a business model that relies on so-called ancillary revenue – meaning subsequent charges for everything except the seat itself – this represents a direct blow to marketing and sales strategy. While regulators claim to be protecting consumers from hidden costs and making it easier to compare offers on the market, Industry warns of side effects. Namely, these effects could create the illusion that flying in Europe has become significantly more expensive overnight.
The end of the era of hidden surcharges or forced price increases on the basic tariff?
The main argument against this decision lies in the statistics of passenger behaviour. More than half of users on European routes consciously choose the cheapest basic package and travel with only one, smaller piece of personal luggage that fits under the seat. However, forcing airlines to include a larger cabin bag in the advertised price means that initial fares on search engines and official websites will appear considerably higher. For a huge segment of the market, these fares are not actually realistic.
For the tourism sector that integrates airline offerings, this brings operational changes. Instead of dynamically adding luggage through cross-selling In reservation systems, the initial display of offers will have to be adapted to the new legal standard. This temporarily complicates the comparison of historical price data.
The broader context of pressure on the European aerospace industry
This legislative decision comes at a time when European aviation is grappling with several parallel regulatory and infrastructural challenges. Ryanair's chief executive, Michael O’Leary, has used this situation to draw attention to the problems once again. According to him, these issues are genuinely threatening the competitiveness of European skies.
Costs of ETSEmissions Trading System – the system by which companies have to pay for every tonne of CO2 they emit into the atmosphere) are continuously rising and exclusively burdening intra-continental flights. On the other hand, intercontinental routes remain exempt from similar dues. In addition, chronic deficiencies in air traffic control (ATC) and frequent strikes across Europe cause delays, for which airlines still have to pay compensation to passengers according to EU261 regulation. However, they have no influence whatsoever on the disruptions themselves.
The new baggage rules are therefore not seen in industrial circles as an isolated incident, but as a continuation of administrative pressure that ignores operational reality. Instead of introducing new obligations that alter pricing displays, the aviation industry believes that Brussels' focus should be on reforming aviation infrastructure and reducing operating costs. In the long term, this would bring real benefits to both passengers and the economy.
