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Flybe Secures Deal With British Government To Keep Afloat

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Flybe Secures Deal With British Government To Keep Afloat

Flybe Secures Deal With British Government To Keep Afloat
January 14
13:46 2020

LONDON – Over the course of the past 24 hours, British based airline, Flybe, has been in many headlines as the airline is at the brink of collapsing, which if the airline does go under, would risk up to 2,000 jobs.

Airways released an article yesterday outlining that if the airline does go under, as it covers over half of the United Kingdom’s domestic services, it would have a detrimental blow to the economy.

Flybe will turn from Purple and Orange into red with the Virgin Connect move.

This has emerged through talks that the airline has had over the past few days, the British Government has been informed through the Department for Transport (DfT) body.

Following the news going viral through the media, Flybe quickly put up a twitter post stating, “Flybe continues to provide great service and connectivity for our customers while ensuring they can continue to travel as planned. We don’t comment on rumour or speculation.”

However, in the past hour, the British Government has confirmed that Flybe will continue to operate with shareholders putting in more money to the airline and, as BBC’s business editor, Simon Jack has tweeted; the “Government also pledges to review air passenger duty in run up to budget but will make changes in line with their zero carbon emissions ambitions.”

Business Secretary, MP Andrea Leadsom has said, “Delighted that we have reached an agreement with Flybe’s shareholders to keep the company operating, ensuring that UK regions remain connected. This will be welcome to Flybe’s staff, customers and creditors and we will continue to hard work to ensure a sustainable future”.

What would have happened if Flybe went under?


If the administration occurred, then up to 2,000 jobs would be at risk. The British Government has been briefed through its Department for Transport (DfT) body, and could be on standby to offer assistance.

Significant bases in the UK for the carrier include Manchester, Birmingham and Southampton alike which could have been cut if it had to go into administration.

Flybe Bombardier Dash 8 Q400 G-JEDP seen departing runway 15 at Birmingham (EGBB, BHX). Picture: Thomas Saunders.

Many new MPs that were elected into the House of Commons in December 2019 are in constituencies where the public rely on Flybe for the business links to the likes of London and other areas in the country.

Job losses in those constituencies could have political consequences, especially if they are not saved.

For now, Flybe remains safe. However long it lasts, will be a question we will discover the answer for over the next few months towards the end of the year.

If it survives, then it is game on for Virgin Connect and beyond.

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Jamie Clarke

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