Flybe is imposing a £3 surcharge per passenger from today for flights taken from September 1, as the carrier fights a "challenging" UK market and soaring oil prices.
In a trading statement ahead of the announcement of annual results on June 30, Flybe said: "We are taking decisive actions to optimise capacity and passenger yields in the UK, including the possible disposal of surplus aircraft. This will ensure that Flybe is strongly placed to benefit from recovery in its core market."
The regional carrier admitted that the slowdown in consumer retail spending in the UK had an impact on leisure travellers in February and March while the business sector, which accounts for 45% of passengers, had proved "very resilient".
Flybe chairman and chief executive Jim French said: "Against an extremely challenging macro-economic backdrop in our core UK market, Flybe performed strongly. This further underlines the resilience and flexibility of our business model.
"Actions being taken to optimise passenger yield and streamline capacity in the UK will ensure that Flybe is well positioned to benefit from recovery in its core market whilst progress is made to expand the group's presence across Continental Europe."
The airline is continuing talks with pilots' union BALPA over a pay deal after reaching agreement on a one-year pay package for cabin crew to next March.
"We continue to evaluate a number of opportunities which could deliver strong strategic and financial benefits to the group," the airline said.
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