Ryanair to raise fares after Boeing delivery delays

RYANAIR has warned it will be forced to put up ticket prices this summer as it grapples with delays to deliveries of new aircraft.

The low-cost airline said Boeing now expects to deliver just 40 of the 57 B737Max8200 aircraft that had been expected to arrive by the end of June.

As a result, the Irish carrier said it would have to remove the equivalent of 10 aircraft’s worth of flights from its summer schedules, which will “reduce frequencies on existing routes rather than cutting new routes”.

Michael O’Leary, the Ryanair chief executive, warned that the changes would lead to “slightly higher air fares” over summer. He urged holidaymakers to book early to get the best possible price.

Delays to deliveries come as Boeing struggles with production and safety problems with its 737 Max planes. The door of a Boeing 737 Max blew out during an Alaska Airlines flight in January, prompting a safety crackdown.

The aviation giant has been blocked from speeding up production by US regulators who are scrutinising its quality controls.

Mr O’Leary said: “We are very disappointed at these latest Boeing delivery delays, but we continue to work with Boeing to maximise the number of new B737 aircraft we receive by the end of June, which we can confidently release

‘We will work with Boeing to take delayed aircraft deliveries during August and September’

for sale to customers during the summer 2024 peak. We will work with Boeing to take delayed aircraft deliveries during August and September to help Boeing reduce their delivery backlog.”

Mr O’Leary said Boeing “continues to have Ryanair’s wholehearted support as they work through these temporary challenges”. He added that the planemaker’s bosses would “resolve these production delays and quality control issues in both Wichita and Seattle”.

Ryanair shares fell 0.7pc in early trading as it said overall passenger traffic for the year was now expected to drop below 200m, compared with an original target of 205m.

The warning about higher ticket prices comes days after Ryanair struck a peace deal with the online travel agent On The Beach. Mr O’Leary had branded the website a “pirate” for ripping off customers by marking up prices but On The Beach said on Tuesday it had agreed a deal with the low-cost airline to sell its flights with “full cost transparency”, bringing a close to hostilities between the two that had even spilled into the courts.

Mr O’Leary said this week that he expected summer capacity to be affected across the market this year.

He said airlines such as Wizz, Lufthansa and Air France “will be grounding upwards of 20pc of their A320 fleets”, made by Boeing’s rival manufacturer Airbus because of engine problems.