Jet fuel costs have skyrocketed amid a global shortage triggered by conflict in the Middle East, forcing airlines worldwide to cancel flights, hike fares, and introduce new surcharges. Budget carrier Spirit Airlines is reportedly on the verge of collapse after failing to secure a $500 million government bailout, with soaring fuel costs depleting its cash reserves. United Airlines' CEO has warned that ticket prices may need to rise by 15 to 20 percent, while Lufthansa has canceled 20,000 flights over the next six months to save fuel.
Impact on British Passengers
So far, the impact on UK travelers has been limited. Airlines UK, representing major carriers, stated that airlines continue to operate normally and are not experiencing jet fuel supply issues. The British government has asked UK refineries to maximize jet fuel supply and is planning for contingencies to increase flexibility. The European Commission has proposed measures under the 'AccelerateEU' package to optimize jet fuel distribution among EU countries and avoid shortages.
How Airlines Are Responding
Aegean Airlines
The Greek carrier expects suspended Middle East flights and fuel price spikes to have a notable impact on its first-quarter results.
AirAsia X
The Malaysian airline has cut 10% of flights and introduced a fuel surcharge of about 20%.
Air France-KLM
The group plans to increase long-haul ticket prices by 50 euros per round trip. KLM has canceled over 150 European flights, including 80 return flights from Amsterdam's Schiphol airport over the next month, citing rising kerosene costs.
Air Canada
Canada's largest carrier will trim four of its 38 daily flights to New York from June to October 2026 due to higher fuel prices.
Air India
The Indian carrier will revise its fuel surcharge to a distance-based grid, noting that surcharges on international routes do not compensate for the exponential rise in fuel prices.
Airline Operators of Nigeria
Nigeria's government capped jet fuel prices and allowed airlines to purchase supplies on credit to avert widespread flight disruptions. A planned nationwide shutdown was suspended after government intervention.
Air New Zealand
The airline slashed flights through May and June and hiked fares, suspending its full-year earnings forecast due to fuel market volatility.
Air Transat
The Canadian airline will reduce capacity by 6% from May to October, with cuts on routes to Europe and the Caribbean, and its Cuba service suspended until October.
Akasa Air
India's Akasa Air introduced a fuel surcharge ranging from 199 to 1,300 Indian rupees on domestic and international flights.
Alaska Air
The U.S. airline increased fees for the first checked bag by $5 and the second by $10, and hiked prices for a third checked bag from $50 to $200. It withdrew its full-year profit forecast.
American Airlines
The carrier hiked checked baggage fees by $10 for the first and second bags and $150 for the third on domestic and short-haul international flights. It expects a $400 million increase in first-quarter expenses due to fuel prices.
Asiana Airlines
The South Korean airline will slash 22 flights between April and July due to fuel cost increases.
Cathay Pacific
The Hong Kong airline will cut about 2% of scheduled passenger flights from mid-May to end of June, while its budget unit HK Express cuts around 6%. It raised fuel surcharges by 34% from April 1.
Cebu Air
The Philippines-based airline cited fuel prices as a key concern and will review pricing and network strategies.
China Eastern Airlines
The airline raised fuel surcharges for domestic flights from April 5, with 60 yuan for flights under 800km and 120 yuan for longer flights.
Delta Air Lines
Delta cut capacity by 3.5 percentage points and raised checked bag fees by $10 for first and second bags and $50 for the third. It pulled all planned capacity growth for the current quarter.
EasyJet
EasyJet Holidays assured customers no surcharges will be added. CEO Kenton Jarvis warned of higher ticket prices towards the end of summer when fuel hedges end. The airline reported a half-year pre-tax loss of up to £560 million.
Frontier Airlines
The U.S. airline is reviewing its full-year forecast due to significant fuel price increases.
Greater Bay Airlines
The Hong Kong-based carrier raised fuel surcharges on most routes from April 1, with surcharges to the Philippines more than doubling.
Hong Kong Airlines
The airline raised fuel surcharges by up to 35% from March 12, with the sharpest increase on flights to the Maldives, Bangladesh, and Nepal.
British Airways (IAG)
IAG, owner of British Airways, Aer Lingus, and Iberia, is making pricing adjustments to reflect higher fuel costs. A spokesperson said they are not seeing supply interruptions but are not immune to the impact. However, The Independent's Simon Calder reassured customers that BA will not demand extra cash.
IndiGo
India's biggest airline introduced fuel charges from March 14, including 900 rupees for Middle East flights and 2,300 rupees for Europe. It is lobbying the government to cut fuel taxes.
Jet2
Britain's biggest holiday company vowed not to surcharge summer holidaymakers. CEO Steve Heapy said customers can book without worrying about additional costs.
JetBlue Airways
The U.S. low-cost carrier increased fees for optional services like checked baggage by $4 or $9. CEO Joanna Geraghty said the carrier will not consider bankruptcy this year, and it entered a $500 million debt financing agreement.
Korean Air
The South Korean carrier will enter emergency management mode from April, implementing phased response measures to offset surging fuel costs.
Lufthansa
Lufthansa Group canceled 20,000 flights over six months to save 40,000 metric tonnes of jet fuel. It axed unprofitable short-haul flights operated by Lufthansa CityLine, reducing capacity by 1%. 27 CityLine aircraft were permanently removed.
Norse Atlantic
The low-cost Norwegian airline canceled its London Gatwick to Los Angeles route due to fuel price rises.
Pakistan International Airlines
The carrier raised domestic fares by $20 and international fares by up to $100, citing higher fuel surcharges.
Qantas Airways
Australia's Qantas delayed a planned A$150 million buyback and raised its estimated fuel bill for the second half of 2026 to A$3.1-3.3 billion from A$2.5 billion.
Ryanair
CEO Michael O'Leary warned that several European airlines could face financial difficulties if fuel prices remain high, but Ryanair is the best hedged and will not impose surcharges.
SAS
The Scandinavian airline canceled 1,000 flights in April due to high fuel prices, after canceling a couple hundred in March.
Spirit Airlines
Spirit Airlines is reportedly preparing to shut down after failing to secure a $500 million government lifeline. A bankruptcy court hearing was postponed as negotiations continue. Liquidation would result in over 17,000 job losses.
Spring Airlines
The budget Chinese airline will raise fuel surcharges on domestic flights from April 5.
Southwest Airlines
The American carrier forecast second-quarter profit below estimates and hiked checked baggage fees by $10 for the first and second bags.
TAP
The Portuguese airline said price hikes will partially mitigate the impact of fuel price changes.
Thai Airways
The carrier will raise fares by 10% to 15% to address rising fuel costs.
TUI
Europe's largest tour operator reassured customers that holiday prices are fixed with no fuel surcharges. It cut its underlying operating profit forecast and suspended revenue guidance.
SunExpress
The joint venture between Turkish Airlines and Lufthansa imposed a temporary fuel surcharge of 10 euros per passenger from May 1 on routes between Turkey and Europe.
T'Way Air
The South Korean low-cost carrier plans to furlough cabin crew without pay in May and June.
United Airlines
CEO Scott Kirby said ticket prices may need to rise by 15-20%. The carrier instated five fare increases and higher baggage fees, expecting to recover 40-50% of fuel cost increases in Q2, improving to 85-100% by Q4. It will cut unprofitable flights over two quarters.
Vietjet
The Vietnamese budget airline adjusted flight frequency on selected routes due to potential fuel shortages.
Vietnam Airlines
The carrier plans to cancel 23 flights per week on domestic routes from April and requested government assistance to remove an environmental tax on jet fuel.
Virgin Atlantic
The airline is adding fuel surcharges but will still struggle to return to profitability this year, according to CEO Corneel Koster.
Virgin Australia
The airline expects a A$30-40 million increase in jet fuel costs for the second half and a 1% reduction in capacity in Q4. It is adjusting fares to reflect cost pressures.
Volotea
The Spanish low-cost airline introduced a pricing policy linking ticket prices to fuel costs, potentially adding a post-purchase surcharge of up to 14 euros per passenger per flight.
WestJet
The Canadian airline cut seat capacity for June and will add a C$60 fuel surcharge to some bookings, as reported by the Globe and Mail.
