JET2 boss Steve Heapy has warned the price of flights will become so expensive, your average person won’t be able to afford it.
The holiday company CEO has blamed the price hikes on so called ‘green taxes’ placed on air travel by governments across the globe.
Speaking at the company’s annual conference, he said: “It will put holiday prices up and tax people out of the ability to fly, meaning flying will become something for the rich and privileged only.
“This is my big worry and keeps me up at night as, for the foreseeable future, the cost of flying will continue to increase.”
At the company’s annual conference, Heapy said government taxation is one of the biggest risks for airlines putting up prices in the future.
The cost of carbon permits, which are used by airlines to offset carbon emissions, have risen between £5 to £90 per passenger in recent years.
That green tax is then offloaded onto the traveller, through ticket prices.
As reported by Travel Weekly, he said: “As politicians get closer to their sustainability target dates and see they’re nowhere near reaching them, they will get more desperate and they will use the one tool they have in their arsenal to reduce greenhouse gases: taxation.”
The global aviation industry is responsible for around 2 per cent of all global carbon emissions with many travellers turning to more eco-friendly holidays.
Jet2 aren’t the only airline to warn about rising air fares – Ryanair has also cautioned that Brits’ holidays are only going to get more expensive.
The company’s CEO Michael O’Leary claims that plane tickets are too cheap and will rise over the next five years, to match soaring fuel prices and environment charges.
Fares rose by 18 per cent in April, a US study found, which was the biggest increase in 59 years.
Mr O’Leary, who took credit for low-cost flying with Ryanair, told the Financial Times: “It’s too cheap for what it is.
“I find it absurd every time that I fly to Stansted, the train journey into central London is more expensive than the air fare.
“It has been my doing [taking prices so low]. I made a lot of money doing it.
“But ultimately, I don’t believe air travel is sustainable over the medium term at an average fare of €40 (£34).
“It’s too cheap at that. But I think, you know, it will still be very cheap and affordable at €50 and €60.”
O’Leary believes a widening gap on airfares makes rivals easyJet and Wizz takeover targets for bigger companies, meaning there could be fewer budget airlines to choose from.
“Europe is inexorably moving towards having three very large, somewhat higher cost, high-fare connecting carriers, and one very large low cost carrier” in Ryanair, O’Leary said.
If you’re planning future holidays, Jet2 has over 15 million seats on sale for summer 2024 & beach hols from £62pp a night.
