VA boosts reward costs

VIRGIN Australia is increasing the “carrier charge” additional payments for reward seat bookings, under an adjustment to its Velocity rewards scheme unveiled overnight.

Effective for bookings made on or after 08 Jan 2020, the current $3.50 fee for redemptions on domestic and trans-Tasman Economy class sectors will increase to $10.

For international short haul flights the Economy class carrier charge increases from $25 to $35, while on Hong Kong services from Sydney and Melbourne the Economy class redemptions will increase from $35 to $45.

There is no change to the $60 carrier charge currently levied on redemptions of Velocity points for flights between Australia and Los Angeles, where VA operates alongside Delta Air Lines.

Business class redemption carrier charges increase from $5.50 to $10 for domestic and trans-Tasman flights; from $50 to now $70 on international short- haul services; and from $50 to $98 on Hong Kong flights.

Again, Los Angeles is unaffected by the changes for Premium Economy and Business class, where the carrier charges remain at $145 and $230 respectively.

The airline said the higher fees would help “cover increased operating costs,” with the carrier charges able to be paid with Velocity Points or a combination of points and cash.

“We are committed to continually providing a competitive and compelling offering for our members,” Virgin Australia said.