UK hotels and holiday parks report a significant rise in summer bookings compared to last year. Fears of flight cancellations, long EU border delays, and concerns over the Middle East conflict are driving holidaymakers to stay closer to home.
International Air Transport Association head Willie Walsh warns of inevitable air fare increases in Europe due to high jet fuel costs amid the US-Israeli war's impact on Iran and the Strait of Hormuz, despite some airlines recently reducing European fares.
Prospect of flight cancellations and petrol shortages prompt people to switch from air and road to rail and busThe Middle East crisis, now in its 11th week, has resulted in higher fuel prices for drivers and prompted fears of jet fuel shortages, rising air fares and cancelled flights.Given the uncertain outlook, prospect of higher travel costs and potential disruption, we asked whether people had changed their holiday plans. Continue reading...
UK inflation rose to 3.3% in March from 3% in February, driven by the biggest fuel price jump in over three years following the Iran war. Petrol prices rose 8.6p to 140.2p a litre and diesel jumped 17.6p to 158.7p, while food inflation climbed to 3.7%. The IMF warns Britain faces the sharpest growth slowdown in the G7, with inflation potentially peaking between 3.5-5% depending on Middle East developments.
President Trump announces extension of ceasefire with Iran until negotiations advance, maintaining port blockade until Tehran presents a unified proposal. Meanwhile, 2025 recorded Iran's highest executions in over 35 years, and Middle East conflict drives air fare increases with economy tickets now 24% higher than last year.
Air fares have surged 24% on average due to the Middle East conflict, with routes between Europe and East Asia most affected—London to Melbourne up 76% and Hong Kong to London up 72%. Jet fuel prices have doubled to $150-$200 per barrel, forcing airlines to reroute flights and reduce capacity. UK carriers have submitted a confidential briefing to ministers requesting emergency measures including classifying fuel shortages as extraordinary circumstances, cutting Air Passenger Duty, and easing night flight restrictions.
Air fares have surged 24% on average as the Middle East conflict forces airlines to reroute flights and absorb dramatically higher fuel costs, according to consultancy Teneo. Jet fuel prices have jumped from $85-$90 to $150-$200 per barrel, with the biggest impact on Europe-East Asia routes where London-Melbourne fares have risen 76%. Airlines UK has sent a confidential briefing to ministers demanding emergency measures including reclassifying fuel-related disruptions as extraordinary circumstances and cutting Air Passenger Duty.
