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Thousands of passengers faced cancellations and long delays after the latest technical failure at UK air traffic control provider NATS, reviving questions about when disrupted travellers can claim cash compensation, insist on refunds or demand help with hotels and meals.
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How NATS disruption fits under UK air passenger rights
UK rules on flight disruption are largely set out in UK Regulation (EU) 261/2004, commonly known as UK261. These protections apply to all flights departing the UK on any airline, and to flights arriving in the UK if they are operated by a UK or EU carrier, according to guidance from the Civil Aviation Authority (CAA).
Under these rules, passengers may be entitled to fixed-sum compensation when flights are significantly delayed or cancelled, but airlines can avoid paying if they can show the disruption was caused by “extraordinary circumstances” that could not have been avoided even if all reasonable measures had been taken. Publicly available information from the CAA indicates that major failures in air traffic control systems, including those operated by NATS, are generally treated as such extraordinary circumstances.
Following the large-scale outage of NATS systems in August 2023, and again after the latest disruption on 8 September, the CAA issued statements explaining that delays and knock-on cancellations linked to these technical issues are likely to fall into the extraordinary category. That position aligns with earlier government travel guidance, which notes that airlines have duties to look after passengers during disruption even when the root cause lies outside their control.
For passengers, this distinction is crucial: it means that while care, assistance, refunds and rerouting may still be due, automatic eligibility for cash compensation is far from guaranteed when the problem originates with NATS rather than the airline itself.
When you can claim a refund or choose rerouting
Regardless of whether NATS disruption is classed as extraordinary, cancellation and long-delay rules on refunds and rerouting still apply. CAA guidance on cancellations makes clear that when a flight is cancelled, passengers should be offered a choice between a refund of the unused part of their ticket, rerouting at the earliest opportunity, or travel on a later date that suits them, subject to seat availability.
In practical terms, travellers whose flights were cancelled because airspace capacity was restricted during a NATS outage can normally ask for their money back if they no longer wish to travel. This includes taxes and charges, and, where the flight is part of a longer journey on the same booking, potentially the unused legs of that itinerary as well.
Those who still need to complete their journey can instead request rerouting. According to UK261 rules summarised by the CAA, this means the airline should arrange alternative transport to the final destination at the earliest opportunity, taking into account available seats. Some consumer organisations have highlighted cases where passengers were rebooked on flights days later, but official guidance makes clear that airlines remain responsible for getting travellers to their destination, even when disruption was triggered by NATS systems.
Where an airline offers vouchers instead of cash for a cancelled flight, passengers are generally free to decline if they would prefer a straightforward refund. Transport-focused reports submitted to Parliament after previous NATS failures found that confusion over these options was common, with some travellers unaware that they did not have to accept vouchers.
Care and assistance: meals, hotels and communications
Even when a disruption stems from extraordinary circumstances, airlines still have what the law calls a “duty of care” to affected passengers. CAA guidance on delays states that once a flight reaches specific delay thresholds, carriers must provide meals and refreshments, access to communication such as phone calls or emails, and, where an overnight stay becomes necessary, hotel accommodation and transport between the airport and lodging.
These obligations apply irrespective of who is to blame for the underlying problem. During the August 2023 NATS outage, an independent review commissioned by the CAA and related passenger research found that many travellers struggled to obtain food vouchers or hotel rooms in practice, or discovered that vouchers issued by airlines were not accepted at busy airport outlets.
Following those findings, the regulator published more detailed guidance for airlines on what constitutes acceptable care and assistance. The documents emphasise that if vouchers cannot be provided or used, passengers should be reimbursed for reasonable expenses they incur for essentials such as meals and basic accommodation while they wait for replacement flights.
Government travel advice similarly underlines that airlines are expected to provide clear, timely information about these rights during disruption, so that passengers understand when they can spend and later claim back, and what receipts they need to keep.
Why NATS outages rarely trigger cash compensation
The key question for many travellers is whether they can claim fixed cash compensation for the inconvenience and missed plans caused by a NATS failure. Under UK261, compensation is normally payable when flights are cancelled or arrive more than three hours late, unless the airline can show that extraordinary circumstances were the cause.
In guidance issued after the August 2023 outage and highlighted again in recent statements on the 8 September disruption, the CAA has indicated that large-scale technical failures in NATS’s flight planning and air traffic management systems are likely to qualify as extraordinary. That interpretation has been echoed in parliamentary evidence submissions by consumer groups, which note that the disruption could not reasonably have been prevented by airlines.
As a result, reports from consumer publications and some airlines’ own disruption pages state that passengers affected by NATS failures are generally unlikely to receive UK261 compensation, even when delays exceeded three hours or flights were cancelled at short notice. Airlines remain responsible for refunds and care, but can lawfully decline compensation claims if they can link the problem directly to the NATS outage and demonstrate that all reasonable steps were taken.
Some travel commentators have questioned whether this balance is fair, arguing in evidence to a House of Commons committee that passengers bear the brunt of costs while NATS and airlines dispute who should pay. For now, however, publicly available guidance suggests that the legal position on compensation remains unchanged, with the focus on ensuring airlines meet their existing duties on care and rerouting.
How to pursue a claim if your flight was affected
Passengers who believe their rights were not respected during NATS-related disruption can still pursue complaints and, in some cases, seek financial redress. The CAA’s “making a claim” guidance advises travellers to contact their airline first, using the carrier’s official complaints or claims process and providing booking details, receipts and an explanation of the disruption.
If an airline rejects a claim for compensation on the grounds of extraordinary circumstances, passengers may still be able to recover out-of-pocket expenses related to care and assistance, provided these costs are reasonable and supported by evidence. Government travel guidance encourages travellers to keep all receipts for food, accommodation and alternative transport arranged during the delay.
Where disputes remain unresolved, or passengers believe an airline has not followed UK261, complaints can be escalated to alternative dispute resolution schemes or to the CAA, depending on whether the carrier is signed up to an approved ADR body. In more contentious cases, travellers may choose to pursue claims through the small claims court, although official advice suggests trying other routes first.
Meanwhile, the government has asked the CAA to carry out an independent review of the latest NATS disruption, building on previous investigations into the August 2023 failure. Any future reforms to how responsibility and costs are shared between NATS, airlines and passengers are likely to depend on the findings of that review and subsequent policy decisions.
Civil Aviation Authority: Flight delays and cancellations
CAA statement on NATS disruption and passenger compensation