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NEWS YOU NEED TO KNOW 4


O’Leary: Brexit will mean end of cheap holidays


Ian Taylor A4E Summit, Brussels


Airline bosses remain split on the impact of Brexit with Ryanair chief Michael O’Leary predicting the end of cheap holidays but IAG boss Willie Walsh insisting all will be “resolved”.


O’Leary dismissed Walsh’s


view, saying “Willie has to play the game” in a debate at the Airlines for Europe (A4E) Summit in Brussels. “There will be flight disruption,” said O’Leary. “It is in the interests of the French and Germans.”


He was backed by Lufthansa


Group chief executive Carsten Spohr, who added: “Our industry is more a tool [in the Brexit process] than an issue itself. We as an industry could solve this. But this is a hard negotiation and they all have sharp weapons. Brexit is terrible. None of us want this.” But Walsh insisted Brexit


would not be an issue and that a breakdown was not in the interests of European carriers such as Air France-KLM. “There is no better industry


at dealing with disruption than us,” he said. “I’m a firm believer


Willie Walsh (left) and Michael O’Leary


that this all gets resolved.” Walsh dismissed a Financial


Times report (on March 6) which suggested UK airlines’ Atlantic routes are at risk because “the US is offering Britain a worse Open Skies deal after Brexit than it has as an EU member”. The IAG boss said: “It is utter nonsense. I’m completely relaxed. “The UK government is


determined to reach agreement with the US, and the US agrees.”


New easyJet chief executive Johan Lundgren added: “It’s inconceivable that any politicians would want flights grounded.” But O’Leary suggested a


temporary halt on flights would make people realise “things are going to change”. He said: “It is in our interests that aircraft are grounded – but not for long. “People are going to lose cheap


holidays. They were lied to.” › A4E Summit, page 71


5 STORIES HOT


5 ‘New long-haul fares will be headache’


Ben Ireland ben.ireland@travelweekly.co.uk


Agents have accused airlines of “cheapening the product” and causing “confusion” by unbund- ling long-haul economy fares.


Virgin Atlantic became the latest


airline to announce new fares last week, unveiling three economy options – ‘delight’, ‘classic’ and ‘light’ – which are expected to go on sale in the next six weeks. Delight fares will offer more legroom, priority check-in and


boarding, while light will have the same space as classic without checked luggage or seat selection. All will include entertainment,


food, hand luggage, blankets, headphones and USB chargers. Virgin’s move followed British


Airways’ announcement of Basic transatlantic fares, which exclude checked luggage or seat selection. American Airlines, Finnair and Iberia have also launched such fares. Richard Dixon, director of


Holidaysplease, said: “For two airlines with great brands, it’s not the right way. Customers want


6 travelweekly.co.uk 15 March 2018


“This will cause agents major headaches when explaining it to customers”


good value, but that doesn’t mean cheapening the product. “It will cause agents major headaches when explaining it to customers. A lot of business comes through our website; customers will see cheaper fares but not realise what isn’t included. “It’s going to cause confusion


and lead to dissatisfaction.” TravelTime World agent Ashley


Quint said: “I see the point in offering a low-cost option but three economy fares is very confusing.” He suggested airlines should go


further and instead of ‘packaging’ different economy fares should make every optional amenity – including meals – a paid-for add-on. Virgin Atlantic chief executive


Craig Kreeger said the changes “democratised the flight experience” and all economy fares


would receive “the same service”. › Talk Back, page 17


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