British Airways has warned that ticket prices may rise further if elevated fuel costs persist, as the ongoing conflict in the Middle East continues to drive up oil prices. The airline's chief executive, Sean Doyle, told the Financial Times that fuel costs have doubled since the conflict involving Iran began in February.
“There's no getting away from if fuel goes up, fares have to go up,” Doyle said. He noted that the carrier had already increased fares to offset higher fuel costs, but further rises may be necessary if prices remain elevated.
The conflict began on 28 February when joint US-Israeli strikes targeted several key Iranian sites. Iran retaliated by striking sites across the Middle East and closing the critical Strait of Hormuz waterway, through which 20% of global oil passes. Oil prices spiked again on 8 May after Israel struck Iran's Karun petrochemical plant.
British Airways is expected to pass through more of the cost increases on long-haul routes, particularly those serving business travellers. The airline's warning comes as global markets wait to see the long-term effects of the hostilities on airfares.
