As the carrier’s financial condition worsens, Europe’s biggest regional airline, Flybe, is looking to secure further funding, Sky News reports.
Virgin Atlantic, the Stobart Group and Cyrus Capital Partners formed a consortium last year which took over Flybe’s assets. The consortium pledged to invest £100 million into the airline but insiders have called the plans a bit far fetched, according to Sky News.
Many Flybe customers have no other means of air travel as the carrier operates to some of the more smaller airports in the UK. As a result, while the airline has a large fleet and may seem strong, its operating model most likely does not bring in a lot of revenue.
Flybe says that it does not “comment on rumour or speculation” and added that it “continues to provide great service and connectivity for our customers while ensuring they can continue to travel as planned”.
The airline is reportedly in talks with the government about a possible cash injection, according to Sky News. Flybe often relies of Public Service Obligation's (PSO) to operate many of its routes. This allows passengers at smaller airports to gain air services. More than 2000 jobs are at risk.
2019 was a difficult year for most airlines, some of which weren’t able to cope with the rising fuel prices, heavy competition and overcapacity. Following the bankruptcy of Thomas Cook just months ago and Flybe still struggling, it seems things have not been good for the aviation industry.