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Travel regulation still needs to be simplified for the trade, said lastminute.com managing director John Bevan.

Bevan, who is also an ABTA board member, said regulation surrounding sales of dynamic packages and package holidays and bonding had to be “cleaned up”.

“Travel regulations have to be simplified. It’s an absolute nightmare. Companies are packaging holidays and sometimes they don’t know they are packaging. We need to clean it up,” he said.

New Government guidance on what constitutes a package was issued last month.

Many felt the new rules left a ‘grey area’ for agents, but the Civil Aviation Authority has dismissed these concerns. The CAA has claimed agents will find it hard to sell anything outside the ATOL system and said it will treat the sale of two or more holiday items, including flights, as a package that requires ATOL cover.

Meanwhile, Bevan said the credit crunch was unlikely to hit sales this year. “As long as interest rates stay where they are, punters on the street will be more than happy to go on holiday throughout the year.”

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