BA shorthaul is threatened by the downturn
FLAG carrier British Airways (BA) may be forced to slash some of its short-haul flights to restore earnings, an industry expert has said.
“This is an airline that really has to bite the bullet on short-haul, looking long and hard at what it’s costing and whether they can ever get a decent margin out of it,” BGC Partners’ Howard Wheeldon said yesterday. “Some UK and European routes have a very limited future,” he added.
But the airline, which today launches its executive-only flight from London City airport to New York, said it had “no fundamental changes to its business strategy at the moment.”
“We need short haul flights, as we operate many of our long-haul operations via Heathrow as a hub,” a BA spokesman said.
But critics have warned that BA will struggle to operate as a short haul carrier, as the likes of Ryanair and easyJet gain popularity in the slump.
BA reaps most of its revenues from first and business class tickets.