Ryanair chief: fares in Europe will rise by 10, 15 or maybe even 20 percent in 2027

Ryanair chief executive Michael O'Leary said at a press conference in Brussels, as quoted by Reuters, that air fares in Europe will rise by “10, 15, maybe even 20 percent” in 2027, and that over the next 12 months the industry faces the biggest price increase in the history of European aviation.

The reasons are expensive jet fuel after the war with Iran, a smaller supply of seats due to expected airline bankruptcies and takeovers, and the expiry of fuel hedges: at the end of February, when the conflict began, Ryanair had 80% of its needs hedged until March 2027 at $67 a barrel, but from April 2027 only 15% at $85, with current market prices roughly twice as high.

In Belgium, where the aviation levy is planned to rise from €2 to €7 from January 2027, Ryanair is closing 20 routes and cutting its winter schedule by more than a million seats. O'Leary also expects the Boeing 737 MAX 10, whose certification the FAA completed the day before, to start arriving in early 2027, with the first 16 aircraft.