A major airline based in Britain has fallen into administration, which could impact the holiday and travel plans of around 800,000 customers.
Eastern Airways has filed a notice of intention to appoint an administrator in another blow the economy.
The news was confirmed in a statement published the UK Civil Aviation Authority earlier this evening, which stated: "Eastern Airways, which operated regional services from airports across the United Kingdom, has suspended operations.
"All Eastern Airways operated flights are now cancelled. Therefore, please do not go to the airport as flights will not be operating. Eastern Airways customers are therefore urged to make their own alternative travel arrangements via other airlines, rail or coach operators."
A British airline is days away from falling into administration
|PA / GETTY
Under this latest business move, the company has 10 days to address its fiscal problems before it goes under. Launched in 1997, Eastern Airways has served destinations in England and Scotland for around 800,000 passengers annually.
After filing for administration, Eastern Airways customers are being told to find alternative travel routes as all flights have been cancelled.
Selina Chadha, the consumer and markets director at the UK Civil Aviation Authority, said: "We urge passengers planning to fly with this airline not to go to the airport as all Eastern Airways flights are cancelled.
"Eastern Airways customers should visit the Civil Aviation Authority’s website for the latest information."
Airlines have struggled in the post-Covid economy
| PA IMAGESWhat alternative travel support is available for impacted customers?
According to the UK, Civil Aviation Authority website, extra assistance with travel arrangements is available to customers who have seen their flights suspensed.
London and North Eastern Railway (LNER), ScotRail, TransPennine Express (TPE), and Northern Railway will offer free Standard Class travel to Eastern Airways staff and customers on October 28-29.
It should be noted that this is reserved for customers making journeys on "suitable routes" operated by each train company.
To access this support, affected individuals should present either an Eastern Airways employee ID, boarding pass, or flight confirmation to station staff.
Can customers claim a refund after a flight cancellation?
Customers who booked directly with Eastern Airways and paid by credit card could be protected under Section 75 of the Consumer Credit Act 1974 and are urged to contact your card issuer for further information.
As well as this, anyone who paid by debit or charge card must contact their card issuer for advice as they may be able to make a claim under their charge back rules.
Anyone who purchased travel insurance that includes cover for scheduled airline failure, known as SAFI, are told to contact their insurer.
Those who not book directly with Eastern Airways and purchased their tickets through a third party are recommended to contact their booking or travel agent.
Notably, Eastern Airways serviced regional air travel needs across the UK, with current destinations including Wick and Aberdeen in Scotland, as well as Humberside and Teeside International in England
As well as this, the airline previously operated other routes, including between Birmingham and Gibraltar. Flights to Gibraltar were launched by the company in 2021, but were cut only a year later. Furthermore, Eastern Airways axed its route between Cardiff to Paris Orly, Franc in March 2024.
Earlier this year, the company confirmed it would be launching new flights from Newquay, Cornwall to London Southend Airport, Essex but this route no longer appears on its website.
It should be noted that Eastern Airways is the number one provider of charter flights for sports teams in Europe.
Rachel Reeves has sought to bolster economic growth | GETTY Teams in both Premier League and Championship football teams use the operator, as well as Rugby Union teams and Super League teams.
In the airline's financial results for the 12 months to March 2024, Eastern Airways posted a net loss of £19.7million, which is £4.8million higher than the year before
As well as this, the company's total debt jumped by £4.8million to £25.97million, while profit slipped to £454,000 from £1.55million the year prior.
Airlines across Britain have struggled in recent years with Play Airlines confirming it would cease operating last month.
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Play Airlines serviced flights between UK airports and European destinations, including Amsterdam, Paris and Faro.
Other airlines that have closed in recent years include Monarch Airlines in 2017, which at the time was the largest ever in Britain to go under.
In 2024, US-based airline Spirit Airlines for bankruptcy in a blow to American travelers.
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