Air fare rises ‘inevitable’ as airlines face extra $100bn jet fuel bill this year

The Guardian7 jun 2026Macro
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Iata projects collective industry profits will halve to $23bn in 2026 as jet fuel prices rise 70% year-on-year following the closure of the Strait of Hormuz in March. Director general Willie Walsh told the Rio de Janeiro summit that higher ticket prices are inevitable and the increased fuel bill is “potentially existential” for some carriers, though traffic is forecast to grow 2%. British Airways chief executive Sean Doyle said long‑haul and premium fares would bear the brunt, while short‑haul leisure would be the last to increase. Iata polling indicates about half of passengers are prepared to spend more.