Booking.com confronts European Commission probe over fake hotel: A practical reader guide

Booking.com confronts European Commission probe over fake hotel: A practical reader guide

The European Commission has launched an investigation into Booking.com over concerns that the online hotel reservation platform has not done enough to protect users from fake accommodation listings and phishing scams.

What has Booking.com said?

“We remain committed to working with relevant governments, regulators, law enforcement and industry partners to combat cybercrime and online fraud, and protect travellers and partners. Agustín Reyna, director general of the pan-European consumer group BEUC, welcomed the investigation. “It is positive to see the European Commission investigating Booking.com for failing to meet EU digital rules.

In an Instagram post, EU said that in Europe, 66% of online hotel reservations go through Booking·com. The platform had recorded a 500% increase in scams between 2022 and 2024. Booking.com, which is headquartered in Amsterdam and says it has 28 million accommodation listings, said it was engaging with the European Commission. This is a systemic problem,” he said. (Also read: Booking.com leases 1.1 lakh sq ft office space in East Bengaluru for ₹ 84 crore total rent over five years )

“Security, trust and the protection of personal information are top priorities at Booking.com,” a company spokesperson said, according to Reuters.

What will the investigation examine?

The investigation follows concerns raised by UK consumer group Which?, whose researchers exposed security lapses by creating a fake listing offering a stay at 10 Downing Street and accepting payments through the platform. The investigation will assess whether the company has complied with the European Union ’s Digital Services Act (DSA), which requires major online platforms to identify and address risks linked to illegal and harmful content. The investigation will focus on fake accommodation listings, including properties that do not exist, and cases in which scammers impersonate legitimate accommodation providers. Regulators will also examine whether Booking.com has properly assessed and addressed the risks associated with these listings. The Commission will look into phishing scams in which criminals misuse reservation details and guest data shared with accommodation providers to trick customers into making payments. (Also read: Even the CEO of Booking.com is fed up with travel these days ) Another area of concern is the platform’s advertising transparency. Regulators will examine whether Booking.com clearly identifies listings that have been promoted through payments from accommodation providers to appear higher in search results. “Although they take measures, they could go much further and they could have much more solid systems to prevent fraud. One type of scam involves fraudulent property listings. Customers may believe they have booked legitimate accommodation through Booking.com, only to discover on arrival that the property was falsely advertised.

An EU Commission official said Booking.com needed to do more to assess risks and prevent fraud under the DSA. “We feel that what they have done is absolutely substandard,” the official said. The Commission said opening the investigation does not prejudge its outcome.