Article 7(2) of EC261 allows airlines to reduce compensation by 50% in specific, narrowly defined circumstances. This provision is frequently misunderstood, by passengers who fear they will receive less and by airlines who apply it more broadly than the law permits.
When the reduction applies
The 50% reduction can only be applied when all of the following conditions are met simultaneously. If any one is missing, the full amount is owed.
First, your flight must have been cancelled. The reduction never applies to delays. Second, the airline must have offered you rebooking on an alternative flight. Third, you must have accepted that alternative. Fourth, the alternative flight must have arrived within a specific time window of your original schedule.
Those time windows are:
| Arrival window → 50% reduction | Beyond window → full amount |
|---|---|
Short-haul: arrives less than 2 hours late |
Short-haul: arrives 2+ hours late |
Medium-haul: arrives less than 3 hours late |
Medium-haul: arrives 3+ hours late |
Long-haul: arrives less than 4 hours late |
Long-haul: arrives 4+ hours late |
The reduced amounts
When the reduction legitimately applies, compensation is halved: €125 instead of €250 for short-haul, €200 instead of €400 for medium-haul, and €300 instead of €600 for long-haul flights.
How airlines misapply this rule
Airlines sometimes apply the 50% reduction in situations where it does not belong. They may offer reduced compensation for a delayed flight (the reduction only applies to cancellations). They may apply it when no rebooking was offered, or when you chose a refund instead of rebooking. They may apply it to medium-haul flights where you arrived more than three hours late, or to long-haul flights where you arrived more than four hours late.
If an airline offers you a reduced amount, verify that every condition for the reduction is genuinely met. If any element is missing, you are entitled to the full amount and should say so clearly.
The reduction never applies to delays
This is the most common misapplication. For delays (not cancellations), there is no 50% reduction at all. You either qualify for full compensation (3+ hours late) or you do not qualify at all (under 3 hours). Airlines that offer €200 for a 3.5-hour delay on a medium-haul flight are underpaying you by €200.