Wizz Air Holdings PLC (AIM:WIZZ) has paid £1.2 million to passengers who had claims for refunds rejected by the airline after an enforcement action by the UK's Civil Aviation Authority (CAA).
Payments in 6,000 cases followed a reassessment of around 25,000 claims by the CAA.
Action was taken after high volumes of complaints about Wizz Air by customers over the airline’s passenger rights obligations, the regulator said.
Most complaints were that the airline failed to provide alternative flights to destinations when their flight had been cancelled and did not provide appropriate care when flights were significantly delayed.
As well as the additional payment, Wizz Air has promised to improve further the way it handles claims, such as introducing an automated refund process.
Paul Smith, consumer director at the CAA, said: "While we welcome the steps taken by Wizz Air after falling short in its treatment of disrupted passengers, airlines should routinely look after passengers and uphold their rights when flights are delayed and cancelled.
“Passengers have every right to expect their claims to be resolved quickly, efficiently and in line with the regulations. These outcomes will now provide Wizz Air’s passengers with a better experience.”
Airlines are legally bound to cover the cost of a replacement if they cancel a flight.
Wizz Air UK Managing Director, Marion Geoffroy, said: “We are pleased the CAA has recognised the significant steps Wizz Air has taken to improve performance for our customers.
"We are seeing a significant uptick in our customer satisfaction scores and we remain fully committed to continuing to improve our operations in 2024 and beyond.”