May 15, 2026

Air fares set to rise as fuel costs squeeze airlines

air fares set to rise as fuel costs squeeze airlines
Photo source: BBC

Air travellers across Europe are likely to face higher fares in the months ahead as sustained pressure from rising jet fuel costs continues to weigh on the aviation sector, according to senior industry figures.

Willie Walsh, director general of the International Air Transport Association, said airlines are increasingly unable to absorb elevated fuel expenses, even as some carriers temporarily lower prices in parts of Europe to stimulate demand. He warned that such discounts are unlikely to last if oil prices remain high.

Speaking to the BBC, Walsh also pointed to potential fuel supply challenges in the United Kingdom during the peak summer travel season, although he stressed there is no immediate cause for concern.

“I think the major problem facing the UK is timing,” he explained. “You normally expect to see a 25% increase in flights and fuel requirements in the months of July and August versus, let’s say March. “I think the concern will be that if sufficient alternative supply isn’t sourced, there may be some shortages when we get into the peak summer period.”

He added that even if disruption linked to key Middle Eastern shipping routes were resolved in the near term, the effects on global fuel markets would likely continue for months and could extend into next year due to ongoing supply chain adjustments and refinery constraints.

france blagnac airport aircraft refueling
Photo source: NPR

Recent volatility in energy markets has been linked in part to tensions affecting the Strait of Hormuz, a critical route for global oil and fuel shipments. The disruption has contributed to higher jet fuel prices and increased concern about supply stability for airlines operating in Europe.

The region, particularly the United Kingdom, remains heavily dependent on imported fuel from the Gulf, prompting efforts to diversify supply sources. European regulators have recently indicated that U.S.-grade jet fuel could be used by airlines under certain conditions, provided any transition is carefully managed to avoid operational risks.

A UK government spokesperson said airlines are not currently experiencing fuel shortages and highlighted that suppliers maintain reserve stocks to support resilience during periods of disruption. Officials also said they are working closely with the aviation industry to ensure stable operations throughout the busy summer period.

European Union energy officials have similarly suggested that a severe short-term shortage is unlikely, although they have acknowledged that longer-term uncertainty remains if geopolitical instability continues.

While some airlines have recently reduced fares on short-haul European routes to encourage bookings, Walsh said the broader trend points in the opposite direction as higher costs filter through the industry.

“There’s just no way airlines can absorb the additional costs they’re experiencing,” he said. “There may be some instances where airlines will discount to stimulate some traffic flow, but over time it’s inevitable that the high price of oil will be reflected in higher ticket prices.”

Industry observers say long-haul fares have already begun to reflect increased fuel costs, even as promotional pricing continues in certain markets.

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