-The increase in air fares this Summer, due to the delayed delivery of the new Boeing aircraft, has been announced by Ryanair through its CEO, Micheal O’Leary.
The delay in the delivery of the new Boeing 737s ordered by the low-cost carrier will limit the supply of seats, which will cause airfares to rise, according to Mr O’Leary.
In remarks made by the Ryanair chief at the airline’s Dublin headquarters, which were widely published, he said the airline’s ticket prices could be up to 10% more expensive this summer.
Mr O’Leary said that delivery of 57 B737 Max aircraft was expected by March, but only 40-45 were expected to arrive in time for the summer season.
Ryanair’s schedule for this summer is based on taking delivery of at least 50 new aircraft from Boeing. So, in case only 40 aircraft are received by the end of March, small cuts in the schedule will have to be made, the Ryanair chief said.
Cost savings through fuel offsets mean Ryanair’s fare increase will not be as steep as the 17% increase seen in 2023.
However, he reportedly stated: “We are setting our budgets based on a 5%-10% fare increase, which to me seems somewhat reasonable. It could be higher or lower than that percentage, we don’t really know.”
As O’Leary told reporters, there will be an environment of higher fares across Europe this summer.
Reduced capacity, fewer passengers
Ryanair’s original forecast for the year to the end of March 2025 was for 205 million passenger movements, up from 183.5 million in the previous 12 months.
In a BBC report, however, Mr O’Leary said that “with fewer aircraft, we may have to reduce the 205 million passenger figure to 200 million passengers”.
“If capacity increased, I think fares would go down,” he added.
“We are letting customers know that some delivery schedules may change as we need the necessary time to ensure that every plane we deliver is of high quality and fulfils all customer and regulatory requirements,” a Boeing spokesman told the BBC.
She added that she deeply regrets the impact this has on her chosen customer Ryanair.
“We are working to address our customers’ concerns and are operating under a comprehensive plan that will improve the quality and performance of the 737,” he said.
