Blue Islands, the Channel Islands-based regional airline, has ceased trading and grounded all flights effective 14 November 2025. The carrier, which employed around 100 staff, had operated for two decades, connecting Jersey and Guernsey with destinations including Bristol, Exeter, and Southampton.
It is the second regional airline to shut down in less than three weeks, following Eastern Airways' closure on 28 October. Blue Islands operated a fleet of five ATR-72 aircraft. Passengers with advance bookings have been advised to contact their bank or payment card provider for refunds.
Jersey's Treasury and Resources minister, Elaine Millar, expressed sadness at the announcement, noting that government support is available for affected employees and that contingency plans are in place to restore air connectivity. The Jersey government had lent Blue Islands £8.5m during the Covid pandemic, of which £7m remained outstanding as of August 2025.
Loganair has stepped in to launch flights from Jersey as early as 16 November, offering rescue fares of £80 one way. The Glasgow-based airline plans to establish a permanent operating base in Jersey. Aurigny, Guernsey's airline, has added extra flights between Guernsey and Southampton, as well as additional inter-island services, from 15 to 18 November.
Aviation analyst Sean Moulton noted that Blue Islands' failure will impact smaller airports across southern England. The airline was due to start flying between London Gatwick and Newquay on behalf of Skybus from 23 November; Skybus intends to proceed with an alternative aircraft.
