As a leading analyst warned of potential jet fuel shortages hitting the UK through the summer, Europe’s biggest budget airlines have told The Independent they are confident they can fly as normal during the peak holiday spell.
Analyst Warning on UK Exposure
Ano Kuhanathan, head of corporate research for the insurer Allianz, told The Telegraph that the closure of the Strait of Hormuz leaves Britain far more exposed than other European countries to shortcomings in supply. He said: “The UK is Europe’s most structurally exposed market to jet fuel shortages, relying heavily on imports to meet aviation demand and running persistent refining kerosene deficit, leaving it particularly vulnerable to supply shocks.”
Airlines Reassure Passengers
But leaders of Britain’s top budget airlines say they are confident they will be able to operate a full programme of flights through the summer.
Yvonne Moynihan, managing director of Wizz Air UK, told The Independent’s daily travel podcast: “We have just launched our biggest-ever network from the UK and in particular from Luton. Despite the challenging geopolitical crisis, business goes on as usual. In airlines, we are well used to crises, so we are resilient and we're well adapted. For low-cost airlines like Wizz in the UK, we don't see any shortage of fuel.”
The airline CEO said that in the hypothetical event of a shortage in the UK, Wizz Air could source fuel in other countries – a practice known as “tankering”. “We can take more fuel than is required in those destinations,” she said. “We can even fly to other countries and pit-stop, if you will, if we need additional fuel. But we're not seeing an Armageddon situation. We have fuel supply. We have other mechanisms for uplifting fuel.”
Wizz Air is the third-biggest budget airline in Europe, after Ryanair and easyJet.
Ryanair’s chief executive, Michael O’Leary, told Reuters that “the risk of a supply disruption is receding”, with no disruption risk before the end of June. But he said the UK is more exposed than other major nations.
EasyJet said it intends to run “a full schedule across its network”. The chief executive of easyJet Holidays, Garry Wilson, said: “Our operations remain unaffected, so customers can be confident that not only will their holiday go ahead as planned, but there will be no surprise extra payments.”
A spokesperson for Jet2 said: “We remain in continual dialogue with our fuel suppliers, as is standard practice. Based on the conversations we have been having, we see no reason not to look forward to operating our scheduled programme of flights and holidays as normal.”
Travel Demand Shifts
Laura Lindsay, spokesperson for the price-comparison platform Skyscanner, said demand for travel is being displaced rather than depleted. She told The Independent’s daily travel podcast: “We know that people do still want to get away. It may be reduced internationally and increased domestically, for example.”
Read more: All the airlines cancelling flights and adding extra charges amid jet fuel crisis
