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Budget airline Ryanair could freeze staff pay and use AI to offset a €2bn rise in fuel costs

Ryanair hedged 80 per cent of its fuel at €67 a barrel until March 2027, but the unhedged 20 per cent contributed to a ten per cent rise in costs.
Ryanair hedged 80 per cent of its fuel at €67 a barrel until March 2027, but the unhedged 20 per cent contributed to a ten per cent rise in costs.

The Ryanair CEO warned Monday that Ryanair faces a €2bn surge in fuel costs next financial year after jet fuel prices doubled in the first half of 2026, driven by the US-Iran war. The airline posted a 16 per cent drop in pre-tax profit to €2.4bn for the six months to September, even as passenger numbers climbed six per cent to 125.8 million.

The CEO said average fares fell four per cent to €57.50, and warned higher fares next year will not fully cover the fuel bill.

Ryanair has hedged 80 per cent of its fuel at €67 a barrel until March 2027, but the unhedged 20 per cent contributed to a ten per cent cost rise.

'Unless there is a swift resolution of the Middle East conflict, we expect jet-fuel prices to remain elevated well into 2027,' the CEO said.

MoreBBC News - BusinessRyanair may freeze workers' pay as fuel prices spikeCity A.M.Ryanair resorts to AI cost-cutting to swallow higher jet fuel costsReutersRyanair says it might freeze pay, cut other costs to offset high fuel pricesmarketscreener.comRyanair says it might freeze pay to offset high fuel prices - marketscreener.comIrish TimesRyanair weighs cost cuts to counter high fuel bills
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