More airlines are likely to go bust in the coming months as the current economic crisis hits the aviation industry, the European Regional Airline Association (ERA) has claimed.
Commenting recently, a spokesperson for the group claimed that while the year had started out well, there are signals that third quarter profit reports will be very poor.
Mike Ambrose, director general of the ERA, explained that the business car park at Heathrow was largely empty, which is a sign that there has been a significant downturn in the number of people flying for commercial reasons as it is usually difficult to get a space at this time of the year.
He added that whilst a similar drop in passenger numbers was seen after September 11th, the cutbacks and economic streamlining that made this drop manageable could yield no further.
"We've been through that cycle, there is nothing left to give but at the same time governments are loading additional costs on us," he explained.
Recent research from the group showed a 41 per cent increase in industry fuel costs in the second quarter of 2008 when compared with the previous year.
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