The budget airline’s boss has said Ryanair’s trademark fare of one euro and 10 euros will not be seen for “many years” due to rising fuel prices.
In an interview with BBC Radio 4’s Today programme, Michael O’Leary said he expects Ryanair’s average fare to rise to around 10 euros over the next five years, up from around 40 euros (£33.75) last year. By 2027 it will be around 50 euros.
He told the broadcaster: “There is no doubt that at the low end of the market, our really cheap promotional fares – a fare of one euro, a fare of 0.99 euros, even a fare of 9.99 euros – I think you Won’t look at those rents for the next number of years.”
Ryanair boss Michael O’Leary (Jonathan Brady / PA)
(PA Wire)
Although rising fuel prices, which are affecting airline fares, are also wreaking havoc on people’s disposable incomes, Mr. O’Leary is confident that customer numbers will remain stable.
Instead, he believes that travelers should be able to choose from lower-cost options such as Ryanair and EasyJet.
“We think people will continue to fly over and over again,” he said.
“But I think people are going to become a lot more price sensitive and so my view of life is that people will trade in their many millions.”