EasyJet's chief executive has issued a positive update for passengers planning summer holidays, urging travelers to 'book with confidence' as the airline reports no disruption to fuel supply.
Fuel Supply Stable Despite Iran Crisis
Kenton Jarvis made the remarks amid concerns that British holidaymakers could face flight cancellations due to fuel shortages linked to the Iran oil crisis. Several carriers have reduced timetables following a surge in jet fuel costs, driven by Iran's control over vessels navigating the Strait of Hormuz.
However, the impact on UK flights has remained minimal so far. EasyJet confirmed it plans to 'operate the full summer schedule on sale' and maintains 'normal supply visibility' for the next four weeks.
Mr Jarvis said: 'EasyJet is not seeing any disruption to fuel supply. We continue to operate normally and our customers should book with confidence, taking advantage of our great value fares.'
Diversification of Fuel Sources
During an interview on BBC Radio 4's Today programme, he explained: 'We stay in very close contact with our fuel suppliers, airports, governments, and they are equally raising no issues looking forward. What is true is obviously there's a lot less oil coming from the Gulf region, but fuel suppliers have successfully diversified, with production increased in Norway, in West Africa, in the Americas, and refining capacity for jet fuel has also increased substantially outside of the Gulf region.'
He continued: 'I would absolutely say don't panic about it. At easyJet, we fully intend to fly the summer schedule that we have on sale, and we also have a 'book with confidence' promise that we will not put fuel surcharges on, so once you've booked, that will be the price you pay.'
Summer Bookings Slightly Down, Last-Minute Bookings Up
EasyJet revealed that summer flight reservations are trailing behind last year's figures at this stage due to uncertainty stemming from the Middle East conflict. The carrier stated it has filled 58 per cent of its seats for the six-month period ending in September, representing a two percentage point decline compared to twelve months ago.
However, last-minute bookings within the departure month have increased year-on-year. Mr Jarvis disclosed the airline has increased minimum fares for winter 2026/27 flights by 'two to three pounds' due to elevated fuel expenses, though this summer's prices remain 'incredibly attractive'.
He added: 'What we're seeing this summer is that fares are broadly in line with where they were this time last year, which obviously is incredibly good value.'
Hedging and Financial Position
He explained the carrier secured 72 per cent of its fuel requirements for the six months ending in September at rates available prior to the Iran oil crisis. This proportion drops to 53 per cent for winter 2026/27.
Mr Jarvis warned that carriers 'with weaker balance sheets may find themselves running into problems' due to rising fuel expenses. He said: 'The demand situation will mean that prices remain competitive throughout the summer. If you haven't hedged, you won't be able to pass on the incremental price of fuel very easily.'
He added: 'I'm not going to speculate as to which airlines that might be, but airlines with considerable debt would be one to look at. We're in a net cash position, but a number of airlines have quite sizable debt on their balance sheet.'
Financial Results
EasyJet announced a half-year pre-tax loss of £552 million, matching the guidance provided in its April trading update. This compares with a £401 million loss during the same period last year.
The carrier warned that its financial performance through to the end of September would be affected by the conflict, which is driving elevated fuel costs and creating 'near-term uncertainty around customer demand'.
The company revealed last month that the situation had cost approximately £25 million in increased jet fuel prices during March alone. Mr Jarvis said: 'Despite conflict in the Middle East creating near-term uncertainty, easyJet is well placed to manage the current environment, supported by one of the strongest investment-grade balance sheets in European aviation.'
