O’Leary blames the soaring cost of fuel
The BBC reports that Ryanair won’t be offering flights at rock bottom prices any more thanks to the soaring cost of fuel, the budget airline’s boss has admitted.
The airline’s average fare would rise from around €40 (£33.75) last year to roughly €50 over the next five years, Chief executive Michael O’Leary told the BBC.
But he says he believes people will continue to fly frequently, despite the rising cost of living.
“There’s no doubt that at the lower end of the marketplace, our really cheap promotional fares – the one euro fares, the €0.99 fares, even the €9.99 fares – I think you will not see those fares for the next number of years,” the Ryanair boss told BBC Radio 4’s Today programme.
The rising cost of living is eating into people’s disposable incomes, but the airline boss expects customers to seek out lower-cost options rather than cut back on flights.
“We think people will continue to fly frequently. But I think people are going to become much more price sensitive and therefore my view of life is that people will trade down in their many millions.”
Thanks to PeterA for the link
COVID-19 in Madeira: updates can be found in an earlier post
Solidarity with Ukraine
A “Stand With Ukraine” page is being automatically shown to all traffic coming to this website originating in Russia