It should be good news for sun seekers. Ryanair, Europe’s biggest airline, says fares are not rising as fast as expected earlier this year. Chief executive Michael O’Leary said on Monday morning that the carrier was “cautiously optimistic that peak summer 2024 fares will be flat to modestly ahead of last summer”.
While it did not believe fare increases would match the last two summers, Ryanair did expect better than this. O’Leary told analysts that peak prices are more likely to rise by “zero to 5 per cent” rather than the “5 to 10 per cent” that the company expected in January. He mostly blames consumer caution or resistance for this. If that continues “so be it”, O’Leary said, the carrier will launch more seat sales, accepting lower yields in exchange for traffic.
That will force rivals to follow suit, opening the possibility that holidaymakers will get better deals this year than over the previous two summers, when prices rose by 20 per cent plus amid the “Covid revenge” travel boom, which now looks like it is running out of steam.
But there will be exceptions, not least Dublin Airport, this country’s biggest gateway, which planners have limited to 32 million passengers per-year. Its operator, State company DAA, reports that demand is already running at more than 34 million while regulators have noted more airlines seeking take off and landing slots there.
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When demand outstrips supply, prices tend to go up. Anyone traveling from Dublin later in the year will feel this even more keenly, as regulators have limited airlines to 14.4 million passengers for the winter. Whatever about summer, if you’re planning a mid-term getaway, best book it now.
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