Ryanair to Close Berlin Base, Blaming German Aviation Tax Hike
Ryanair to Close Berlin Base Over Tax Rise

Ryanair is set to close its Berlin operating base and reduce its winter schedule to the German capital by half, attributing the decision to rising aviation taxes in Germany. The Irish budget carrier announced that seven aircraft will be relocated to other hubs, cutting annual passenger numbers from 4.5 million to 2.2 million. Starting in October, flights to and from Berlin will be operated by planes based at other airports.

Staff at the Berlin facility are being offered transfers to other European bases. Eddie Wilson, chief executive of Ryanair DAC, stated at a press conference in Berlin: "German aviation is broken. The government admits that it is uncompetitive, yet there is no strategy to cut aviation taxes or high airport fees – despite Ryanair warning that Germany would lose traffic, connectivity, jobs and trade."

Wilson highlighted that since 2019, Ryanair has closed bases in Frankfurt, Düsseldorf, and Stuttgart, and halted flights to Dresden, Leipzig, and Dortmund, resulting in the loss of 13 aircraft from those locations. The German trade union Verdi criticized the plan as a "purely profit-oriented corporate strategy." Dennis Dacke, head of Verdi’s federal aviation division, accused the airline of treating employees like "disposable commodities" and basing location decisions on short-term profit interests.

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The announcement comes amid turmoil in the airline industry, grappling with surging costs due to the Gulf conflict. Jet fuel prices have more than doubled since late February. Meanwhile, penalties for airlines canceling UK flights due to fuel shortages have been eased, and Ryanair CEO Michael O’Leary has warned of potential cancellations of up to 10% of late summer flights if shipping disruptions persist.

While many European airlines have hedged fuel costs, American Airlines recently warned that rising jet fuel prices would cost it an additional $4 billion this year, eroding forecast profits. Environmentalists and rail advocates see an opportunity for the rail industry to capture passengers. Jon Worth, a European railway policy analyst, noted: "The demise of Ryanair at Berlin airport should mean an opportunity for more passengers to take trains to Berlin instead."

Berlin offers direct train connections to Amsterdam, Warsaw, Prague, Vienna, Berne, Stockholm, and Paris, with a new daytime service to Copenhagen starting this summer. With one transfer, cities like Brussels, Bratislava, Budapest, Ljubljana, and Zagreb are accessible. Worth acknowledged that railway reliability needs improvement and trains are often more expensive than flights, but emphasized the potential for the rail industry if it seizes the moment. Berlin airport has been approached for comment.

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