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The UK regional airline Eastern Airways has officially entered administration.
Last week, the airline made 330 employees redundant after filing a notice of intention to appoint an administrator on October 27.
Eastern Airways has entered administration after 28 yearsCredit: Getty
Established in 1997, Eastern Airways was one of the UK's few remaining regional airlines, providing services across the country and, in the past, even offering flights to international destinations.
Jamie Miller, a partner at RSM UK and joint administrator, stated: “It is incredibly sad that such a long-established and historically successful airline, one of the few left in the UK, has had to enter administration.”
“The unexpected and sudden termination of Eastern’s contract, along with various economic factors, unfortunately left the directors with no option but to appoint administrators.”
RSM indicated that Eastern Airways was operating four aircraft for KLM Cityhopper in the past.
However, the termination of the contract resulted in Eastern facing “high fixed overheads and a staff base that ultimately proved unsustainable.”
Miller noted: “At its peak, Eastern was providing 200 flights per day.”
“Its passengers included Queen Elizabeth and other members of the royal family, along with Prime Ministers, Premier League Football Clubs, and Formula 1 Teams and management.”
“They also provided vital services on public service obligation (PSO) routes and supported energy critical services to the oil and gas sector.”
Regional routes across the UK included Wick and Aberdeen in Scotland, as well as Humberside, Teesside International, and Newquay.
Additionally, the airline previously operated flights to and Paris Orly in France.
Miller expressed: “We welcome any interest from potential alternative operators or those who may be interested in the underlying assets.”
For the 12 months ending March 2024, the airline reported a net loss of £19.7 million, which was £4.8 million more than in 2023.
This resulted in the company’s total debt rising to £25.97 million.
At the time of the announcement, Selina Chadha, consumer & markets director at the Civil Aviation Authority, stated: “We advise passengers planning to fly with this airline not to go to the airport as all Eastern Airways flights are canceled.”
“Customers of Eastern Airways should visit the Civil Aviation Authority’s website for the latest updates.”
Eastern Airways is not the only airline to face difficulties this year.
In September, another airline announced it would cease operations, canceling all flights.
This airline served various European destinations, including Stansted, and Faro.
Last year, a US low-cost carrier also filed for bankruptcy.
What to Do If You Were Scheduled to Fly with Eastern Airways
Head of Travel at The Sun shares her advice...
Passengers stranded due to the collapse of Eastern Airways have several options based on their circumstances.
If you still need to travel, you will need to find and pay for an alternative flight with another airline.
Many airlines offer rescue fares when competitors go out of business, providing lower rates for those who can prove they were booked on the failed airline.
If you can take the train, London and North Eastern Railway (LNER), ScotRail, TransPennine Express (TPE), and Northern Railway are providing free Standard Class travel to Eastern Airways staff and customers on Tuesday, October 28, and Wednesday, October 29, on eligible routes operated by each train company.
For those without scheduled airline failure insurance, unfortunately, you will be left with financial losses.
If you have a flight scheduled with Eastern Airways in the coming days, weeks, or months, you should file a claim immediately with your debit or credit card provider.
They should process your refund without hassle.
If your flight with Eastern Airways is part of a package holiday purchased from a travel agent or tour operator, your package provider is required to find an alternative way for you to reach your destination or provide a full refund.
The UK’s Civil Aviation Authority has the latest information available on its website, caa.co.uk.
In other air travel news, a major airline with bunk beds onboard has revealed plans to resume services for the first time in five years.
Additionally, there are updates regarding items allowed in checked luggage.
This follows the airline accumulating millions in debtCredit: Getty
