Ryanair average fares may not grow this year, O'Leary warns

Thomson Reuters

Ryanair's ‌average fares could be flat in ‌the financial year to end March ​2027 rather than growing by 4-5 per cent, as previously forecast, chief executive Michael O'Leary ​told Reuters, adding that the ⁠outcome depended on the Middle ‌East ‌conflict.

"If ​I was guessing today, and I'm completely ⁠guessing, ​I would have ​said our original planning ‌prediction for fares ​up 4, 5%, I think we'd ⁠be moving ⁠towards ​kind of fares flat on last year at this stage," O'Leary told Reuters in an interview in Oslo on ‌Tuesday.

"We would ⁠still be very profitable if fares were ‌flat this year," he added.

Sweden warned on Tuesday of a potential shortage of jet fuel stemming from the war in the Middle East, with the country's energy minister telling travellers they needed to build some flexibility into their plans where possible.

The warning was dismissed by O'Leary.

The Swedish government said there was currently a good supply of jet fuel in the country but there could be a shortage further ahead.

"We want to issue a warning well in advance that there is a risk that there will not be enough jet fuel," Energy Minister Ebba Busch told a press conference, without saying when problems could arise.

"In Sweden and in the Nordic region we have considerable refinery capacity which uses North Sea oil. Even if competition and with it prices have risen, supply hasn't been affected noticeably yet," she added.

Asked about the comment, Ryanair's O'Leary said: "As usual, the governments are late and wrong."

"We think the risk of a supply disruption is receding," he told Reuters on the sidelines of a business conference in Oslo.