CAA approval would be meaningless to the courts. They are, allegedly, aviation law experts and not experts in contract and consumer law.
Based on history the views of the Office of Fair Trading would be much more significant. IIRC the OFT spent some time in the late 1990s / early 2000s negotiating with IATA on it's members' T&Cs. An amicable agreement was reached with clarified a number of provisions.
I've not seen this requirement mentioned before, can you possibly give me the reference for this? Many thanks. I'm always happy to improve my knowledge.