Ryanair says airfares could increase in 2027. Here’s why

• Ryanair has warned that European short-haul airfares are likely to rise “materially” if high oil prices persist into 2027, which may see some airlines “struggle to maintain capacity or even survive”.
• The airline reduced its 2027 passenger target from 216 million to 214 million to limit exposure to expensive unhedged fuel over the winter schedule.
• Jet fuel costs have increased by 8.2 per cent month-on-month to approximately 156 US dollars per barrel, driven by escalating conflict in the Middle East.
• Ryanair remains well-positioned for profitability after hedging roughly 80 per cent of its 2027 fuel needs at 67 US dollars per barrel.
• Rising fuel expenses and Middle Eastern geopolitical tensions have squeezed profits across the aviation sector, affecting rivals such as easyJet, IAG, and Wizz Air.

IN FULL

Ryanair warns rival airlines will ‘struggle to survive’ if soaring oil prices persist