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Newquay to Gatwick to end

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Wilko82

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Isn't it a breach of the PSO contract not to provide the advertised service, and therefore compensation is due?

EasyJet
You would think so, yes, as Skybus had signed a contract to operate the route until the end of May. It's not as if they were operating the route commercially so could just pull it when they wanted without repercussion.
 

TravelDream

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It appears that their leased aircraft from Malta is returning their today, as their expired today (end of March) and that they haven't been able to source another suitable aircraft to operate the service day-in, day-out. Pretty shambolic really that they have left it until now to inform passengers and to pass it off as "circumstances beyond our control". They are the operator of the service so it should be up to them to operate it.

March 29th was the start of the IATA summer season for airlines so demand for aircraft increases as schedules/ routes pick up. It coincides this year with the Easter holidays so demand for aircraft is even higher than normal.

I would take it Skybus is not willing to pay enough to get someone to operate an aircraft on the route for them. Especially given the recent rise in fuel prices. Definitely within their control - though it's not abnormal for airlines to blame other factors publicly.

Newquay is still linked to London as Ryanair fly to Stansted year-round and easyjet have announced a summer seasonal service.
 

Cloud Strife

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Isn't it a breach of the PSO contract not to provide the advertised service, and therefore compensation is due?

Most likely, they will have agreed with the council that they can terminate the route without penalty, as the council themselves cancelled the PSO and caused economic harm (fewer bookings) to the airline. They also had an emergency contract, so it's likely that there was a no penalty break clause attached. It's also possible that the council are quite happy to avoid paying the airline for the PSO, especially with low booking numbers.
 

Wilko82

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Most likely, they will have agreed with the council that they can terminate the route without penalty, as the council themselves cancelled the PSO and caused economic harm (fewer bookings) to the airline. They also had an emergency contract, so it's likely that there was a no penalty break clause attached. It's also possible that the council are quite happy to avoid paying the airline for the PSO, especially with low booking numbers.
Although it might have been classified as an emergency contract it was still a 6 month contract. Also the first Cornwall Council knew about the termination was when Skybus informed them that they would be ending it, there was no mutual agreement or negotiation, although the Council did have some inkling as to what was going on. Just because the Skybus have pulled the plug early doesn't equate to Cornwall Council being financially better off, as they weren't paying Skybus daily or weekly etc, and if they want to recoup any money then it won't be easy as Hinkles will hqve already spent it on his mismanagement of the project.

The whole Skybus operation has been a conplete shambles and clearly Hinkles took on far more than what they can chew, especially when Skybus face other issues behind the scenes.
 

pug1

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Although it might have been classified as an emergency contract it was still a 6 month contract. Also the first Cornwall Council knew about the termination was when Skybus informed them that they would be ending it, there was no mutual agreement or negotiation, although the Council did have some inkling as to what was going on. Just because the Skybus have pulled the plug early doesn't equate to Cornwall Council being financially better off, as they weren't paying Skybus daily or weekly etc, and if they want to recoup any money then it won't be easy as Hinkles will hqve already spent it on his mismanagement of the project.

The whole Skybus operation has been a conplete shambles and clearly Hinkles took on far more than what they can chew, especially when Skybus face other issues behind the scenes.
It’s funny isn’t it, there were numerous people on another forum well own for its pilots (and not so pilots!) who were overjoyed when Eastern dropped the service. They said ‘thank god that shower have left it so someone who knows what they’re doing can take over’. Eastern had their faults (and there were many) but they had direction and a leader who was capable of going out and getting contracts seemingly out of thin air. Sadly, as Skybus have found, the U.K. regional airline market has shrunk almost to non existence, even on Government supported routes like NQY-LGW. It’s sad that people rejoiced the failure of Eastern, perhaps now they realise that it’s important to be careful what you wish for.
 

daodao

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Sadly, as Skybus have found, the U.K. regional airline market has shrunk almost to non existence, even on Government supported routes like NQY-LGW.
Loganair appear to have come to a similar conclusion regarding their PSO-supported London to Dundee route, which is planned to be withdrawn from 18th September 2026.
 

Tetchytyke

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Sadly, as Skybus have found, the U.K. regional airline market has shrunk almost to non existence, even on Government supported routes like NQY-LGW.
It’s more complicated than that.

Regional air travel in the UK is still very popular. But what has happened is that regional airlines have been squeezed out of the market by EasyJet and, to a lesser extent, Ryanair.

For regional airlines, the yield from summer and weekend services support the quieter services during the week and during the winter. But what has happened- repeatedly- is that easyJet will muscle in on this market and trash the yields for the smaller airline. A Friday and Monday rotation with an A320 blows anything the regional airline can offer out of the water. But easyJet have no intention of running at the quieter times.

We see that with Newquay. Ryanair come in on summer weekends and massively undercut the regional operator, which trashes the yield for the regional airline. That means the quieter stuff needs more support. At the same time, the council don’t have the same level of funding to support a PSO. Ultimately, the PSO now requires more money at the same time as the council have less money for it.
Loganair appear to have come to a similar conclusion regarding their PSO-supported London to Dundee route, which is planned to be withdrawn from 18th September 2026.
I’m surprised it lasted as long as it did tbh, I never understood why the Scottish Government thought that PSO gave any sort of value to the taxpayer.
 

pug1

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It’s more complicated than that.

Regional air travel in the UK is still very popular. But what has happened is that regional airlines have been squeezed out of the market by EasyJet and, to a lesser extent, Ryanair.

For regional airlines, the yield from summer and weekend services support the quieter services during the week and during the winter. But what has happened- repeatedly- is that easyJet will muscle in on this market and trash the yields for the smaller airline. A Friday and Monday rotation with an A320 blows anything the regional airline can offer out of the water. But easyJet have no intention of running at the quieter times.

We see that with Newquay. Ryanair come in on summer weekends and massively undercut the regional operator, which trashes the yield for the regional airline. That means the quieter stuff needs more support. At the same time, the council don’t have the same level of funding to support a PSO. Ultimately, the PSO now requires more money at the same time as the council have less money for it.

I’m surprised it lasted as long as it did tbh, I never understood why the Scottish Government thought that PSO gave any sort of value to the taxpayer.
I would agree to a point but I’d counter it to say that business travel within the U.K. by air has reduced quite significantly over the last ten years and hastened further by Covid and the WFH revolution. It’s no longer necessarily ti fork out hundreds to get between say Leeds and Southampton frequently. Thats why the regional airlines operating higher frequency on small aircraft has all but ceased. The low cost airlines can appeal to the leisure and price sensitive market that does still exist but where flexibility isn’t a priority - I-e those who want to get to Newquay relatively cheaply will arrange the times around the flights available.
 

TravelDream

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Regional air travel in the UK is still very popular. But what has happened is that regional airlines have been squeezed out of the market by EasyJet and, to a lesser extent, Ryanair.

Undoubtedly, what you've said is true, but there other factors involved.

For one, for many, this is a very price sensitive market.
Ryanair at £50 return not only takes passengers from the regionals, it also stimulates demand a lot. Market stimulation as been a huge part of Europe's aviation growth over the last few years.
If only little regional airline if flying at £300 return, a lot of passengers simply won't go. More importantly for domestic travel, may will choose other means like road or rail which aren't as viable to Spain or Italy or wherever abroad.

Business travel tends to be less price sensitive which regional airlines rely on, but that has changed a lot over the years. A lot more can be done through Teams/ Zoom etc. and with working from home, these sorts of meetings have become far more normalised. Business are also more cost sensitive than ever and will cut travel/ go by cheaper means where possible.

The other thing is regional traffic really has collapsed in Britain over the last two decades. I did a quick Google and there were around 40 million passenger seats available in 2005 compared to 25.5 million in 2025 with that number in decline. The regional not via London market has been hit hardest.
Take Cardiff to Scotland. I still remember bmibaby flying two 737s per day between Cardiff and Edinburgh. Loganair flew a daily E145 until last year, but pulled out around Christmas leaving the market unserved - that's 300 seats a day each way to none in that sort of period.
 

anthony263

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Undoubtedly, what you've said is true, but there other factors involved.

For one, for many, this is a very price sensitive market.
Ryanair at £50 return not only takes passengers from the regionals, it also stimulates demand a lot. Market stimulation as been a huge part of Europe's aviation growth over the last few years.
If only little regional airline if flying at £300 return, a lot of passengers simply won't go. More importantly for domestic travel, may will choose other means like road or rail which aren't as viable to Spain or Italy or wherever abroad.

Business travel tends to be less price sensitive which regional airlines rely on, but that has changed a lot over the years. A lot more can be done through Teams/ Zoom etc. and with working from home, these sorts of meetings have become far more normalised. Business are also more cost sensitive than ever and will cut travel/ go by cheaper means where possible.

The other thing is regional traffic really has collapsed in Britain over the last two decades. I did a quick Google and there were around 40 million passenger seats available in 2005 compared to 25.5 million in 2025 with that number in decline. The regional not via London market has been hit hardest.
Take Cardiff to Scotland. I still remember bmibaby flying two 737s per day between Cardiff and Edinburgh. Loganair flew a daily E145 until last year, but pulled out around Christmas leaving the market unserved - that's 300 seats a day each way to none in that sort of period.
Loganair ruined the Cardiff to Edinburgh route. The route needs at least twice daily at decent times and again not charge such high fares
 

AlterEgo

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Loganair ruined the Cardiff to Edinburgh route. The route needs at least twice daily at decent times and again not charge such high fares
Ask your MP or MS to consider subsidising the route under PSO if it is so important.
 

TravelDream

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Loganair ruined the Cardiff to Edinburgh route. The route needs at least twice daily at decent times and again not charge such high fares

I am sorry, but this is just nonsense. They did no such thing and it's an incredibly unfair thing to say.

Logainair stepped in when flybe went bust to operate the route.

Logainair, as a private business, is right to allocate resources where it can make the most profit (or perhaps smallest loss if I am being unkind).

If the route had been highly successful for them, they would have gone 2/3 daily and expanded capacity. But it wasn't.


Also, passengers from Wales have shown that they are very happy to fly from Bristol. That's not my opinion, but fact based on passenger numbers.
 

anthony263

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I am sorry, but this is just nonsense. They did no such thing and it's an incredibly unfair thing to say.

Logainair stepped in when flybe went bust to operate the route.

Logainair, as a private business, is right to allocate resources where it can make the most profit (or perhaps smallest loss if I am being unkind).

If the route had been highly successful for them, they would have gone 2/3 daily and expanded capacity. But it wasn't.


Also, passengers from Wales have shown that they are very happy to fly from Bristol. That's not my opinion, but fact based on passenger numbers.
Loganair reduced prices and had an earlier flight from Cardiff and guess what passenger numbers increased even their boss said there was opportunity for expansion at Cardiff but of course they decided to go for Southampton instead
 

Tetchytyke

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Loganair reduced prices and had an earlier flight from Cardiff and guess what passenger numbers increased
Filling an aeroplane is the easiest thing in the world. Doing it and making a profit, not so much.

If Loganair were making loads of money flying between Cardiff and Edinburgh then they'd still be flying between Cardiff and Edinburgh. If they decided to re-allocate their aircraft to other routes then that rather suggests that they weren't making loads of money flying between Cardiff and Edinburgh.

For one, for many, this is a very price sensitive market.
It is, but only to an extent.

I think it's probably more accurate to say the perception of price is important in the market. I think this is where Loganair's quite frankly poor marketing and advertising has an effect, and not in a good way. Loganair fares include a 15kg hold bag, a hot drink, and a snack. But Loganair aren't actually very good at promoting this; the number of people on my flights to London who ask how much it is for the coffee when they come around continues to surprise me.

My experience in a market served by both EasyJet and Loganair is that, actually, there's not that much difference in price once you've added in that 15kg hold bag (or a large cabin bag- which now seems to be more expensive than a hold bag on EasyJet).

But Loganair has the perception of being expensive because they don't do the whole drip-pricing thing. For a small subset of people who can live out of a small rucksack for a weekend then yeah, Loganair genuinely are more expensive. But most people can't, as the line of people being charged £50 at the gate by EasyJet for an oversize cabin bag starts to show.
 

sor

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I never understood the point of this PSO route. It was originally offered as a sop in response to complaints about the state of the railway network west of Exeter, particularly after the Dawlish collapse.

I've started flying down as the rail fare is just becoming too ridiculous and I am close enough to Stansted to make it work. Not saving any time, but certainly saving money (even after paying for an extra cabin bag). I'd prefer to fly in a Boeing or Airbus over a Dash 8 or other similar tinpot machine and if the Ryanair/Easyjet duopoly can make it work year round without taxpayer subsidy then I'm glad to see it. Last time I went down, a couple of months ago, it was certainly busy enough.

Skybus would be better off concentrating on IoS travel.
 
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