What to expect from aviation law and regulation in 2026

2026 promises significant developments in the aviation industry across consumer rights, sustainability, airspace modernisation and technology. In this note, we outline the key themes and anticipated developments from a UK focus that we expect will shape the sector in the year ahead.

Consumer protection and passenger rights

EU261: Reform of EU261 remains a priority. In October 2025, the European Parliament’s Transport Committee adopted its negotiating guidelines on EU261 reform, including:

• Maintaining the right to compensation after a three-hour delay (per Sturgeon). 

• Guaranteeing free cabin luggage, consisting of a personal item and a small trolley bag.

• Banning fees for check-in, child seating and booking corrections.

• Requiring airlines to send a standard compensation form or activate alternative automatic communication channels within 48 hours of disruption (passengers would have one year to claim the compensation).

• Creating a defined list of “extraordinary circumstances” based on existing CJEU EU261 case law (e.g. natural disasters, war, weather conditions or unforeseen labour disputes – but excluding airline staff strikes).

These guidelines conflict with the European Council’s June 2025 agreement to raise the delay threshold to four or six hours, whilst also contradicting existing EU law on cabin baggage. 

Despite intensive trilogue talks between the Council, European Parliament, and Commission, no final agreement was reached by the end of the Danish Presidency term. The file has now rolled over into Cyprus’s Presidency term, which started on 1 January, with further negotiations scheduled for February. Whether such negotiations will be productive is doubtful given that, to the disappointment of important industry groups including IATA, the European Regional Airlines Association and Airlines for Europe (A4E), the Transport Committee doubled down on its guidelines during a vote on 12 January. All airlines operating into the EU should watch closely for developments in 2026.

UK261: Airlines based in or operating into the UK will be interested in EU261 reform as this may influence how the UK's own passenger protection regime – UK261 – might develop in the future. 

In October 2025, the UK CAA opened a compliance programme to assess industry compliance with its obligations to passengers under UK261. The programme is expected to run for at least 18 months, with the CAA indicating that it will publish progress updates during that period.

Greenwashing, green claims and consumer protection: The implementation of the Digital Markets, Competition and Consumers Act (DMCCA) and associated guidance will continue to shape enforcement of unfair commercial practices, with the Competition and Markets Authority (CMA) alongside the Advertising Standards Authority (ASA) expected to scrutinise claims in airline and travel company marketing relating to aircraft emissions and sustainability pledges. The CMA has also been involved in a recent clampdown on online pricing practices at a number of travel companies concerning price transparency and the use of drip pricing. This scrutiny is likely to increase following the implementation of the DMCCA's new rules on subscription services, which is anticipated to take place in Autumn 2026.

Accessibility and inclusion: We expect any regulatory updates on accessibility in 2026 to be informed by the Aviation Accessibility Implementation Group following the publication of the Aviation Accessibility Task and Finish Group’s independent report in July 2025. We also await the CAA’s publication of a summary of responses and decision document following the consultation on the requirement to publish information on mishandled mobility aids (CAP 3088) that took place in Autumn 2025. The Aviation (Accessibility) Bill is due to have its second reading in the House of Commons on 23 January 2026.

Sustainability

Sustainable Aviation Fuel (SAF): The UK Sustainable Aviation Fuel Bill continues to work its way through the parliamentary process, with the Bill currently at the Report stage in the House of Lords. With a third reading in the House of Lords to take place before consideration of the amendments can occur, we consider that it is likely the SAF Bill will receive Royal Assent in 2026 as previously envisaged by the Government.

We also expect the Government’s response to the recent consultation seeking views on the design of the proposed levy on fossil aviation fuel suppliers that will be used to fund the SAF revenue certainty mechanism (RCM) – see our blog post for further detail – along with further consultations relating to the design of the RCM.

Airspace and infrastructure

Airspace modernisation: Following the publication in August 2025 by the CAA of a revised deployment plan for its Airspace Modernisation Strategy (AMS), we expect there will be progress in 2026 in UK airspace modernisation. This may include guidance and requirements further to consultations launched in late 2025 on:

• UK Airspace Design Service (UKADS) – draft guidance to streamline complex airspace changes. 

• UK Airspace Coordination Service (UKACS) – the final proposals to modify NATS (En‑Route) plc’s air traffic services licence to give formal effect to UKADS – including governance, transparency, engagement, and provision of information duties – plus the creation and operation of an Airspace Design Support Fund, with cost recovery via user charges (the details of which are set out in CAP 3164).

• Updates to the air navigation directions (AND) and air navigation guidance (ANG) to provide clear priorities for the design of airspace, including the altitude at which noise and carbon are prioritised.

We also expect further integration measures for drones and eVTOLs under AMS, linked to the Law Commission’s review of the law around autonomous flight (as to which, see the ‘Technology and autonomy’ section below).

Airport rules: In late 2025, the European Commission opened an EU-wide public consultation on various rules affecting airports, namely the Slot Regulation, the Groundhandling Directive and the Airport Charges Directive. This consultation is part of a fitness check launched by the European Commission of the legislation concerning airports and airport capacity and may lead to reform in these areas. Such reform may include revising the Slot Regulation.

The UK will be watching such developments closely. Despite the DfT’s consultation on slot reform in 2023/24 proposing time-limiting historic rights, tightening or revisiting the 80/20 usage rule, restricting long‑term slot leasing, strengthening the transparency and powers of the UK coordinator and, in certain circumstances, introducing auctions for newly created capacity, amendments at a UK level have been minimal and limited to the Airports Slot Allocation (Alleviation of Usage Requirements etc.) Regulations 2025. The 2025 Regulations introduced changes expanding the definition of a “new entrant” (from five to seven daily slots), streamlining elements of the allocation process and introducing a permanent statutory mechanism for justified non‑utilisation during public health emergencies.

Airport development: 2026 is set to be a pivotal year for UK airport development as government policy, planning decisions and economic regulation begin to converge. The UK Government’s October 2025 announcement of a review of the Airports National Policy Statement (ANPS) has placed Heathrow expansion back on the political agenda. A revised draft ANPS is expected for consultation in summer 2026, updating the framework in light of the UK’s strengthened climate, noise and air quality commitments. Gatwick enters 2026 with a Development Consent Order (DCO) already secured to bring its Northern Runway into routine use. Following the Transport Secretary’s approval of Luton’s DCO in April 2025, 2026 will see the early stages of delivery of the £2.5bn expansion, including a new terminal complex and associated taxiways, stands and access improvements.

Technology and autonomy

Aviation autonomy: The Law Commission and CAA are advancing work on legal frameworks for highly automated and autonomous systems in aviation and aviation infrastructure. A final report on liability models for drones, VTOL aircraft and air traffic management for uncrewed aircraft is expected in early 2026.

We also anticipate the CAA will continue its work on VTOL policy and regulatory frameworks, following the publication of its Advanced Air Mobility: eVTOL Delivery Model last year.

New drone rules: New rules in the UK now apply for recreational and commercial operators. Effective from 1 January 2026:

• A Flyer ID is required for flying drones weighing 100g or more outdoors in the UK. This requires successful completion of the CAA’s basic competence test.

• An Operator ID must be labelled on drones weighing 100g or more with a camera, or weighing 250g or more regardless of camera.

• A classification system for drones has been introduced, from UK0 to UK6. These classes define operational limits, safety features, and compliance requirements and are similar to EU classes but tailored for UK regulation.

• All UK1, UK2 and UK3 class-marked drones must broadcast a Remote ID signal during flight, which includes the drone’s unique ID, location, and operator details, enabling authorities to identify and track drones in real time. Legacy drones have until 1 January 2028 to comply with this requirement.

• Drone operators must follow updated airspace restrictions, including geofencing and altitude limits.

• There are enhanced requirements for risk assessments and insurance for commercial drone operations.

These rules are summarised in The Drone and Model Aircraft Code and align with the CAA’s AMS, supporting safe integration of drones with manned aircraft and future urban air mobility.

As is evident from the topics outlined above, 2026 is likely to bring significant developments in aviation law and regulation in the UK and wider afield. If you have any questions or would like further information on how these developments may impact your business, please contact Chloe Challinor or Patrick Bettle in the Burges Salmon Aviation team.