Airlines Press UK for Rule Breaks and Tax Cuts Amid Fuel Fears

British airlines are asking the government for emergency rule changes and tax relief, warning that a potential jet fuel shortage could force flight cancellations and higher ticket prices. The request comes as the conflict in the Middle East threatens to disrupt supplies.

In a private briefing to ministers, the industry group Airlines UK laid out a series of demands on behalf of major carriers like British Airways, easyJet, and Virgin. The document, first seen by ITV News, calls for suspending the UK's participation in the emissions trading scheme and easing restrictions on night flights at major airports.

Perhaps most notably, airlines want to change passenger compensation rules. They propose classifying fuel-related cancellations as 'extraordinary circumstances,' which would limit passenger payouts to refunds only, removing the right to additional compensation for delays or cancellations.

The industry insists there is no current shortage and that people should book with confidence. However, the International Energy Agency recently stated Europe has roughly six weeks of jet fuel left, with cancellations expected if Middle Eastern supplies aren't restored. Some airline executives share this concern, particularly if oil shipments through the Strait of Hormuz are blocked.

The list of requests includes technical measures like allowing imports of US-grade jet fuel and directing UK refineries to prioritise aviation fuel over petrol and diesel. It also revives long-standing industry goals, such as scrapping Air Passenger Duty.

An Airlines UK spokesperson said the group is in close contact with the Department for Transport, arguing that 'additional flexibility' would help airlines operate efficiently and minimise disruption. The global airline body IATA predicts European flight cancellations could begin by the end of next month if the situation does not improve.