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Business

Airlines Raise Prices Due to High Fuel Costs

Several European air carriers have increased ticket prices to pass the record high costs of oil onto their passengers.

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Travelers may have to bear the burden of high oil prices

The biggest European airline, British Airways (BA), announced Monday it would make passengers pick up the bill for the high price of kerosene and more than double its fuel levy from 2.50 pounds (€3.75/$4.60) to 6 pounds (€9/$11) on long-haul flights starting Wednesday.

"Fuel prices have risen by 45 percent in the last 12 months and our fuel costs are expected to be 225 million pounds higher than last year," said John Rishton, BA's chief financial officer. "We anticipate that the combined fuel surcharges will contribute 70 million pounds toward these costs."

Germany's second largest airlines, Air Berlin, also said that it would charge tour operators €6 to €9 more per seat come winter. Direct customers would still be able to book flights for €29, but the remaining seats could become more expensive, officials for the discount airline said. Thomas Cook group air carrier Condor also announced "slightly higher prices" for tour operators during the winter season.

Ein Lufthansa Flugzeug startet vom Frankfurter Flughafen

Lufthansa has said it doesn't plan to raise ticket prices

But Lufthansa, discount carriers Ryanair and Easyjet, dba, germanwings, Hapag-Lloyd, Austrian Airlines, Iberia and Alitalia said their prices would not change, news agency DPA reported.

"At the moment we see no reason for an oil surcharge," a Lufthansa spokeswoman said.

Most airlines have already gotten guarantees of lower kerosene prices or plan to cut costs in other areas. It's normal for large air carriers to negotiate prices long before fuel is delivered. The agreements remain binding regardless of fluctuations in world oil prices.A barrel of Brent North Sea crude oil cost $41.41 in early trading in London Tuesday. On Monday it had hit a record high at $41.70, settling at $41.56 at day's end.

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