It may not be the first casualty but the news about flyBMI is disconcerting. Continuing uncertainty is going to cause businesses living on the margins to fail. In that way it’s undoubtably Brexit that is the root causes of the failure.
The East Midlands-based airline that employed over 350 people, said in a statement: “The airline has faced several difficulties, including recent spikes in fuel and carbon costs, the latter arising from the EU’s recent decision to exclude UK airlines from full participation in the Emissions Trading Scheme.”
Given the condition of several smaller regional airlines it’s likely that more could fail.
The ERA (European Regions Airline Association) is a trade association representing the aviation industry. ERA calls for a wide-reaching reciprocal aviation agreement between the EU and the UK to prevent serious harm to European connectivity[1].
UK Government’s is planning for an alternative in the event of a No-Deal scenario. There’s no doubt that such an outcome would be devastating to this sector.
Not so long ago, British charter carrier Monarch Airlines left tens of thousands of passengers stranded. It will be a turbulent year ahead for European airlines.
39 days remain and the path ahead is as misted in fog as it has been for the last two years. Those who promote a No Deal outcome are inviting more bankruptcy filings.
[1] https://cloud.3dissue.net/9237/9242/9271/11995/?page=10
John Vincent 