BMI boss: leaving the EU will boost business flights

AIR travel is likely to be given a boost by Brexit as business passengers make more trips to the Continent to make new trade partners and develop ways to continue existing operations.

Jochen Schnadt, chief commercial officer of airline BMI Regional, said he was confident Britain’s exit from the European Union would lead to British companies wanting better connections with Europe.

BMI Regional offers a full commercial service, with 300 flights a week to 31 destinations in ten European countries, and specialises in business travel, which accounts for about two-thirds of its passengers.

‘From the point of view of business traffic, we see a strengthening of the market because of Brexit,’ said Schnadt.

‘Business people will be looking for new partners, new ways of carrying on their business. Globalisation is not going to stop just because of Brexit. In the longer term, I do not think it will change either, certainly for business traffic. Unless the UK drifts away into the Atlantic it will still be connected to Europe and business links will be vital.’

The airline is part of the privatelyowned AIL Group, which also includes Loganair. BMI Regional last week launched a new six-timesweekly service between Birmingham and Nuremberg. It has a ‘code-sharing’ agreement with Lufthansa, so passengers might be flown on aircraft from either airline after booking some destinations, and also flies within continental Europe.

However, it has a British Air Operator Certificate and under existing EU rules it would have to apply for an AOC from an EU country in order to continue to operate intra-continental European flights and satisfy regulators its parent company is majority owned and controlled by EU nationals.

Rival low-cost airline easyJet has already said it is looking to acquire an EU-based AOC, which will entail it creating a new legal headquarters in the EU, though the company has no plans to relocate its 1,000 staff at its operational headquarters at Luton Airport.

‘About half of our activities are outside the UK, so if the UK lost access to continental Europe we’ve got a problem,’ said Schnadt.

‘But our business is Europe, and Brexit or not, that is not going to change. Therefore we could set up a European sister company, majority owned and controlled by European nationals, or we would look at merger or acquisition as an opportunity for us.

‘But we believe that the UK and EU have very strong incentives to make sure a sensible agreement is reached over air travel after Brexit.’

The airline operates 50-seat Embraer jets and also specialises in flying Premier League football clubs around Europe, as well as other sports teams.