Airline passengers are not receiving a fair amount of compensation for lost luggage on “too many occasions”, according to UK’s Air Transport Users Council (AUC).

The AUC claims that airlines mishandled 42 million bags worldwide in 2007, of these, an estimated 1.2 million or around one bag for every 2,000 passengers were never reunited with their owners.

Figures highlighting the 42 million bags in 2007 suggest a significant increase in the number of lost luggage compared to 34 million in 2006 and 30 million in 2005.These latest statistics emphasise the need for travel insurance on the whole for many people keen to have a holiday abroad.

AUC chairman Tina Tietjen said: “If something does go wrong airlines should be prepared to compensate their passengers fairly. Complaints to the AUC show that passengers often struggle to get reasonable redress from airlines after the event.”She added: “And with delayed baggage, passengers are often left out of pocket because airlines will not reimburse them fully for expenses they incurred buying essential items whilst they are without their bag.”

It is thought that annual air passenger numbers could double in the next ten years and experts fear that by 2019 airlines could be mishandling as many as 70 million bags a year.