Hertz Corp. Contradicts U.K. No-Show Fee Policy

Hertz Corp. denies that it is introducing no-show charges for its U.K. customers or any others, despite the fact that Hertz UK has written to travel management companies, telling them it will impose a fee for no-shows starting April 1.

"Hertz will not start imposing no-show fees on April 1 and has no plans to do so anywhere in the world," said vice president of corporate affairs Richard Broome. Broome, who said corporate headquarters had no knowledge of the U.K. letter, noted imposing such fees would contradict long-standing Hertz policy.

"We have received a letter from Hertz in the U.K.," confirmed Jacqui Cahill, EMEA car product manager for Carlson Wagonlit Travel. "We have been asking questions about how they will implement it but have had no response yet." A second U.K.-based travel management company also confirmed to BTN that it had received the letter.

The letter said the fee will be $50 for rentals in the United States, £25 in the United Kingdom, 55 Swiss francs in Switzerland and €35 in countries that use the euro. Renters can avoid the fee if they cancel as late as the day the rental starts, even if it is after the designated pickup time.

Cahill said she could understand why Hertz would wish to impose a no-show charge. "Car rental companies have been trying to manage their yields better and recover lost costs," she said.

Neil Abrams, president of corporate car rental specialist Abrams Consulting Group, said charging for no-shows would be a welcome development. "No car rental company has attempted this, except in exceptional circumstances, in my 30 years in the industry," he said. "I would love to see it, and if Hertz did it, others would follow. The average car rental no-show rate in the U.S. is 14 percent. It is a great burden from a fleet planning and strategic standpoint."