A major budget airline has issued a stark warning that rising oil prices could push some carriers to the brink, as fuel costs remain near record highs. With jet fuel trading at elevated levels, the company has slashed its annual passenger forecast, acknowledging the financial strain of unhedged winter fuel expenses during the typically weaker travel season. The move underscores growing concerns about airline profitability amid volatile energy markets and suggests further pressure on ticket prices across Europe. Industry observers will be watching closely as carriers navigate the dual challenges of soaring fuel costs and weakened demand.
Budget carrier says airlines could go bust as it cuts passenger targets to reduce exposure to ‘unhedged winter oil’Business live – latest updatesRyanair has warned that air fares in Europe will jump next year if the oil price remains high and that some airlines could go bust.The Irish budget carrier has cut its passenger target for the year to 31 March, down from 216 million customers to 214 million, to help reduce its exposure to “unhedged winter oil” during the unprofitable off season, with jet fuel currently trading at $140 (£104) a barrel. Continue reading...
