Stranding risk for Monarch passengers
Airline raises prices to halt further bookings as CAA lines up rival fleet to fly holidaymakers home
Up to 100,000 tourists faced the possibility of being stranded last night with the future of Monarch uncertain as the renewal of its licence hung in the balance. The airline effectively stopped taking bookings, with prices quadrupling to limit the number of people at risk of being stranded.
AS MANY as 100,000 holidaymakers faced uncertainty about their homeward travel across the EU and Turkey as the future of the Monarch airline hung in the balance last night.
The company had effectively stopped taking bookings from customers, as authorities decided whether to renew its licence.
Yesterday the airline quadrupled flight prices to discourage people from booking in a bid to limit the number of people stranded if it lost its permit.
It is also understood that a fleet of Qatar Airways planes has been lined up by the Civil Aviation Authority to help to fly Monarch customers home.
Monarch is the UK’S fifth biggest airline and flew 6.3million passengers last year to 40 destinations, from Gatwick, Luton, Birmingham, Leedsbradford and Manchester airports. Fears for its future were growing after the CAA did not routinely renew its Air Travel Organiser’s Licence, which expired at one minute to midnight on Saturday. The CAA granted it an extension for 24 hours, which expired at midnight last night. The airline’s final two outbound flights of the evening from Gatwick and Birmingham to Ibiza were both cancelled.
The Government’s Atol scheme refunds customers if a travel firm collapses and ensures they are not stranded. The agreement with the CAA on Saturday means that package holidays bought from Monarch yesterday are still Atol protected. If left without its licence, Monarch could have to call in administrators for its package holiday arm. Last night scores of worried Monarch customers took to social media in a search for clarity and advice.
One man due to fly with Monarch this week, Paul Heburn, wrote: “What is happening with Monarch airlines this morning? Will the airline survive? I fly Wednesday.”
Another, Joanne Roberts, said: “Monarch, when will you let passengers know if flights are cancelled?” And another, Lee Hammond, said: “Love Monarch, great airline but would like confirmation that our holiday will go ahead.”
Monarch replied: “Hi Lee, any changes to the forward schedule will be communicated to all customers.”
The airline reported a loss of £291 million for the year to October 2016. This compared with a profit of £27million for the previous 12 months.
Monarch, founded in 1968, is made up of a scheduled airline, a tour operator and an engineering division. In total the company employs about 2,500 people. Business: Page 1