From EC261, to be eligible for any of the following.
- Paragraph 1 shall apply on the condition that passengers:
(a) have a confirmed reservation on the flight concerned and, except in the case of cancellation referred to in Article 5, present themselves for check-in... [on time]
Unless you checked in Majorca, or have good evidence you that you discussed matters with check in staff who agreed to you invoking your 8.1(a) rights, you might have trouble claiming this. For the rest of this answer, I will assume you checked in and didn't invoke your 8.1(a) rights until the five hours had elapsed.
Original Flight Refund
I'm going to tackle your second question first: Can you get a refund on your cancelled flight? Yes. From EC261:
- When an operating air carrier reasonably expects a flight to be delayed beyond its scheduled time of departure:
passengers shall be offered by the operating air carrier:
(iii) when the delay is at least five hours, the assistance specified in Article 8(1)(a).
Right to reimbursement or re-routing
- Where reference is made to this Article, passengers shall be offered the choice between:
(a) - reimbursement within seven days, by the means provided for in Article 7(3), of the full cost of the ticket at the price at which it was bought, for the part or parts of the journey not made, and for the part or parts already made if the flight is no longer serving any purpose in relation to the passenger's original travel plan, together with, when relevant,
- a return flight to the first point of departure, at the earliest opportunity;
As for whether you're also entitled to compensation, I'm not so clear. Other sources are contradictory on this. But let's look at it. From the interpretive guidelines for EC261:
3.3.2. ‘Long delay’ at arrival
The Court has ruled that a delay at arrival of at least three hours gives the same rights in terms of compensation as a cancellation (30) (for more details see Section 4.4.5 on compensation).
This is where the right to compensation for a delay comes from - you won't find it in the regulations themselves!
Given the following:
- You had a 5+ hour delay on departure
- From Article 6.1(iii) and 8.1(a), you're entitled to cancel for a full refund
- Neither 6.1(iii) or 8.1(a) entitle you to compensation
- The interpretive note finds that a "delay at arrival" is equivalent to a cancellation
- However, you (not the airline) cancelled the booking, so you never arrived, so you never faced a delay; you also don't fall under the category of having had your flight cancelled involuntarily
- (Also note that 6.1(iii) doesn't invoke 8.1(b), so you had no right to rebooking, so you probably can't try and invoke your arrival time on your personally re-booked flights as evidence of a delay).
So it doesn't look promising for compensation, I'm afraid. But I'm not a layer and YMMV.
New Flight Refund
Continuing from above:
- 6.1(iii) only invokes 8.1(a) - the right to a refund on your original flight
- The right to rebooking is contained in 8.1(b), which is not invoked in your case
- So EasyJet had no obligation to rebook you
- So you don't have any basis to claim a refund of your rebooking from them, under EC261. You could try on the grounds that "it would be good customer service", but this is EasyJet.
So a refund of your new flight also looks unlikely.