Cheap flights to Europe could be on the way out – so grab a bargain now

Fierce competition from no-frills airlines is keeping fares low this winter. Nick Trend wonders how long it will last

This week has seen some contrasting news for travellers. First: the bad. The pressures of the pandemic have put paid to one wellknown operator – on Wednesday, liquidators were appointed to close down Teletext Holidays. And a report from the international accounting firm Mazars, also published this week, identified a sharp jump in insolvencies among tour operators and travel agents over the past year – up 17 per cent, from 59 to 69. Rebecca Dacre, a partner at Mazars, said: “The insolvencies we have seen so far are likely to be the tip of the iceberg. In many cases, furlough support has been the only thing keeping travel businesses going. Now these firms will have to pay their whole wage bill and may find creditors knocking at the door.”

It’s interesting to compare that analysis with what seems to be happening with flights and airfares at the moment. Last month, the Anker Report and the website airserviceone. com – which analyse and monitor new aviation services – found that 67 new routes had opened out of European airports between Sept 11 and Oct 8. Of the 28 airlines involved, Wizz Air was by far the most aggressive, offering 24 new destinations including services from Luton to Rome and Naples.

But that pales into insignificance compared with Anker’s analysis of Ryanair’s latest moves, which it published this week. It revealed that the airline was planning more than 250 new European routes over the winter, of which 33 are to and from the UK, including Bristol to Madrid and Barcelona, Birmingham to Budapest, and Birmingham to Turin and Bergamo – good gateways for skiers going to Italian resorts.

What does this mean for fares? As a spot check, I did some flight searches for the last weekend in November (travelling from Thursday to Sunday) and I found some extraordinarily low prices. Returns from London to Venice (using Treviso airport) cost from £28 with Ryanair, and £64 to the more convenient Marco Polo airport with EasyJet. For the same dates, Wizz Air was offering £35 returns from Luton to Rome and the same from Manchester. For Barcelona, Ryanair was the cheapest at £28 from Stansted, while Vueling came into the mix at £78 out of Gatwick. Also that weekend, you can get returns to Vienna from £104 (from Stansted with Ryanair). Flights to Amsterdam were available from £84 from Stansted, or £74 from Manchester, both with EasyJet.

Prices always dip at this time of year – and these are bare bones fares. If you want to choose your seat, or travel with luggage, you will pay more. Even so, these are exceptionally low prices and a clear sign that no-frills airlines – especially Ryanair and Wizz Air – are planning to rely on the old model of aggressive expansion and low pricing.

But how long will these fares last and how many airlines can survive the cutthroat competition? Few flights will make a profit at these levels, and fares are sure to go up next spring (though you can still get a return to Venice over Easter for £76 with EasyJet, so early bookers can find bargains). Exactly when and by how much will depend on how many of us are travelling again by then and whether enough airlines survive to keep things competitive.

The best strategy for consumers is to grab bargains now while also protecting your holiday. Book with an Atol bonded operator (caa.co.uk/atol-protection) or – if making arrangements independently – make sure your tickets are flexible and you can cancel accommodation without penalty. Always pay with a credit card so you are covered against insolvency in case your airline goes out of business.

Flying high for now: low-cost airline Wizz Air has increased its operations on the Continent