Online travel agency Webjet has been fined $9 million for misleading travellers about flight prices.
Australian Competition and Consumer Commission (ACCC) Deputy Chair Gina Cass-Gottlieb said the Federal Court order followed Webjet admitting that between 2018 and 2023 it made false or misleading statements when it advertised airfares that excluded compulsory fees.
Ms Cass-Gottlieb said Webjet also admitted that between 2019 and 2024 it provided false or misleading booking confirmations to 118 consumers for flight bookings which had not actually been confirmed.
She said Webjet later asked for additional payments, of up to $2120, from consumers to complete the booking, adding Website had refunded these customers.
“We took this case because we considered that Webjet used misleading pricing by excluding or not adequately disclosing compulsory fees in its ads.”
Ms Cass-Gottlieb said the ACCC investigation started after a consumer complained about an airfare advertised as “from $18”, which cost almost three times that price after Webjet added its compulsory fees.
“Seeking to lure in customers with prices that don’t tell the whole story is a serious breach of the Australian Consumer Law.”
She said the Webjet fees comprised the “Webjet servicing fee” and “booking price guarantee” fee which ranged from $34.90 to $54.90 per booking, depending on whether the flights were domestic, to New Zealand and the Pacific, or other international destinations.
