United Air Lines to use all-inclusive price advertising

United Air Lines has undertaken to include all taxes, levies and charges applicable to airline tickets in its advertising.

United Air Lines has provided court enforceable undertakings to the Australian Competition and Consumer Commission after concerns were raised about its airfare advertising.

The ACCC became aware that United Air Lines had been advertising headline airfares on its Australian based website and in newspapers without including applicable taxes, levies and charges payable by a consumer as a pre-condition of receiving the services.

Failing to make the total price to be paid clear in advertisements is likely to mislead consumers and breach the Trade Practices Act 1974.

As part of the undertakings, United Air Lines will also review its trade practices compliance program to ensure it will continue to meet its obligations under the Act.

ACCC Chairman, Mr Graeme Samuel, said the advertising changes will avoid confusion about the actual prices consumers are likely to pay if they purchase tickets.

"Consumers are entitled to expect accurate information from all companies, large and small, when those companies advertise or promote goods and services.

"This should further reinforce the message to the travel industry that the ACCC expects all forms of price advertising to comply with the Act," Mr Samuel said.