Ryanair reluctantly agrees to follow compensation law

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Irish budget carrier Ryanair is to continue pressing for a limitation on compensation to disrupted air passengers but intends to comply with the current regulation.

While the carrier had reportedly insisted yesterday that it would not pay the costs of accommodating stranded passengers - in defiance of European law - it has today stated that it "will comply" with regulation 261/2004 which sets out carriers' liability to passengers.

But Ryanair chief Michael O'Leary has expressed his irritation at the "absured and discriminartory" rules, pointing out that other forms of transport do not have to meet "potentially unlimited" expenses incurred by affected air travellers.

"Ryanair has long campaigned for these reimbursements under passenger rights legislation to be limited to the ticket price paid," he says, adding that the airline is to continue pushing for a change in the law to set a "reasonable limit" on claims.