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Car hire prices 'unfairly vary' across EU Car hire prices 'unfairly vary' across EU
(about 2 hours later)
Drivers are being charged different prices online for the same car rental based on where they live in Europe, the European Commission has said.Drivers are being charged different prices online for the same car rental based on where they live in Europe, the European Commission has said.
Charges vary for some motorists, even if they are picking up the same vehicle from the same location and from the same hire company.Charges vary for some motorists, even if they are picking up the same vehicle from the same location and from the same hire company.
The Commission said that price discrimination based on residence broke the rules of the EU's single market.The Commission said that price discrimination based on residence broke the rules of the EU's single market.
The UK's car rental trade body said work was being done to get it right.The UK's car rental trade body said work was being done to get it right.
A spokesman for the British Vehicle Rental and Leasing Association (BVRLA) said: "We are actively working with our members to ensure they comply with the European Commission."A spokesman for the British Vehicle Rental and Leasing Association (BVRLA) said: "We are actively working with our members to ensure they comply with the European Commission."
Booking blockBooking block
The Commission highlights one case in which a German driver searched online for a vehicle to hire in the UK. When the driver filled in Germany as country of residence, the price doubled.The Commission highlights one case in which a German driver searched online for a vehicle to hire in the UK. When the driver filled in Germany as country of residence, the price doubled.
In other cases, some consumers have been stopped from making a booking online after the website identified where they were located through their computer's IP address. This was owing to the website routing them to a country-specific site.In other cases, some consumers have been stopped from making a booking online after the website identified where they were located through their computer's IP address. This was owing to the website routing them to a country-specific site.
The Commission wrote to six international car rental companies. telling them to review their pricing policies. The Commission first raised concerns in 2011, and recently wrote to six international car rental companies, telling them to review their pricing policies.
It said that it had received an "unsatisfactory" reply from three companies - Europcar, Hertz and Avis. Consequently, it has made the letter public this week and has requested these companies conduct a full review by the end of the month.It said that it had received an "unsatisfactory" reply from three companies - Europcar, Hertz and Avis. Consequently, it has made the letter public this week and has requested these companies conduct a full review by the end of the month.
"The single market should be a daily reality, not only for major international companies, but also for consumers of Europe," said Michel Barnier, vice-president of the European Commission."The single market should be a daily reality, not only for major international companies, but also for consumers of Europe," said Michel Barnier, vice-president of the European Commission.
The Commission said that some companies were keeping to the non-discrimination principle, but it was not fully applied throughout the sector.The Commission said that some companies were keeping to the non-discrimination principle, but it was not fully applied throughout the sector.
It also urged drivers to shop around for the best deals and called on EU member states to ensure consumers' rights were protected.It also urged drivers to shop around for the best deals and called on EU member states to ensure consumers' rights were protected.
Rental and leasing of cars accounts for 5.5% of complaints made to the European Consumer Centres network, which deals with cross-border complaints. Rental and leasing of cars accounts for about 30,000 complaints (5.5%) made to the European Consumer Centres network, which deals with cross-border complaints.
The BVRLA estimates that the vehicle rental and leasing industry contributes £14.3bn to the UK economy. Ten million vehicles were hired in the UK last year.The BVRLA estimates that the vehicle rental and leasing industry contributes £14.3bn to the UK economy. Ten million vehicles were hired in the UK last year.