Icelandic low cost airline goes bust

Low-cost airline Wow Air has stopped flying, leaving thousands of passengers stranded.

The Icelandic carrier, which flew between Edinburgh and Reykjavik, cancelled all its flights and advised customers to check with other airlines for alternative services.

It added that passengers may be entitled to compensation but added: “In case of a bankruptcy, claims should be filed to the administrator/liquidator.”

Wow Air had said it was in the “final stages” of completing an agreement with investors over new funds, and flights were “postponed” until the deal was completed. But yesterday the company announced it had ceased operation.