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Cloud with some sunny spells

July 8, 2008

As much as you’d be forgiven for thinking reading this blog, it’s not all doom and gloom in the travel industry lately, with airlines in specific. There have been some sunny spells in the news.

EasyJet, for example, are one of the smaller airlines adding routes rather than canceling them. The airline is looking to tap into the juicy ski market in winter by launching services from Manchester airport to Geneva and Sofia in December. The services will bring the airline up to 7 from Manchester and will provide access to resorts in the French and Swiss Alps.

Having not long announced the commencement of flights from Vigo to Gatwick, Clickair have finalised talk to merge with another Spanish carrier, Vueling. With further competition and the ever-upwards spiral of fuel costs it only makes sense. While it’s still subject to approval from competition commission, the merger will see Clickair absorbed by Vueling while Clickairs owner, Iberia, will emerge as a majority shareholder.

I’ve lumped this announcement after that of Easyjet as the two are, believe it or not, related. The new company will have 50 aircraft in and better able to take on companies like Easyjet who have been building up a pretty beefy presence in the Spanish airline market. Hugely important if my prediction continues to be born out and more people head to Spain on holiday as they stick to closer destinations.

That being said, news reaches me today that Turkey has proved more popular a destination than Spain. Well, according to The Cooperative Travel. A report by the group has sales to Turkey up by 30% on last year with Majorca bookings down to 13%. The report does blame the high cost of the Euro which lead me to find out that Turkey still uses its own currency – the New Turkish Lira – and good on ‘em I say.

Well, there’s your sunny spots. Time for a little cloud – in keeping with the erratic weather around the company offices today. The Telegraph (highbrow eh?) has reported that the average family “faces the threat of nearly £45 being added to the cost of a holiday if the European parliament rubber stamps a plan for green curbs on airlines this week.”

What? Green curbs? Unfortunately this isn’t a new traffic management scheme with more lines on the road. No, it’s a scheme that means airlines will be charged for greenhouse gases they emit thanks to an oh so complex licensing scheme with each airline allocated a ceiling. The article in The Telegraph (credit where it’s due) suggests that it’ll cost the aviation industry £2.8 billion a year – that’s about £11.10 per return flight.

The scheme is likely to go before the European Parliament this week (I’ll let you know) and be ratified with the costs passed on to the lucky passengers. Just wallop that on to the ever growing increasing fares caused by fuel prices.

Speaking of which… it’s spreading. To the cruise market now. Fred. Olsen (love the punctuation in that name) have had to increase their fuel surcharges on all new cruise bookings until April 16 2009. When, judging by the economic picture, it’ll go up again. Well, that and the fact that it’s the fifth time it’s gone up since December.

Well, there’s the gloom out of the way for today. Let’s hope these “difficult times” (Gordon Brown, politicians can’t use the R word) show a glimmer of sunshine soon and holidays become less of a fear expense wise.

Though maybe we won’t go to Beijing – the seat of the next Olympics is still failing to meet International air quality standards.

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