Brexit vote: Travel industry warns of higher fares and delays if UK leaves EU with no deal

The travel industry has reacted with dismay to the political turmoil over Brexit.

Within minutes of the Commons vote on Theresa May’s deal, the International Air Transport Association (IATA) warned of potentially higher air fares, and reiterated that some flights from the UK could be cancelled if the country crashes out of the European Union.

A no-deal Brexit would lead to a cap on flights at 2018 levels. IATA estimates that five million extra seats from the UK to the European Union are scheduled for this year compared with last. It warned that a no-deal Brexit “will stunt important economic opportunities and may lead to higher prices for consumers”.

Alexandre de Juniac, IATA’s director-general, said: “With two months left until Britain leaves the EU, airlines still do not know exactly what kind of Brexit they should be planning for. And there is legal and commercial uncertainty over how the Commission’s plan to cap flight numbers will work.

“In the small window remaining before Brexit it is imperative that the EU and UK prioritise finding a solution that brings certainty to airlines planning growth to meet demand and to travellers planning business trips and family holidays.”

Eurotunnel, which runs the car, coach and truck shuttles through the Channel Tunnel between Folkestone and Calais, has demanded that political leaders “clarify the nature of the border relationship and controls that will exist between the United Kingdom and the European Union”.

A quarter of trade between the UK and the EU passes through the Channel Tunnel.

The firm said: “Only the establishment of clear rules will allow businesses to continue to invest, to create jobs and to preserve the vital human, social and cultural exchanges that benefit both the UK and the EU.

But Eurotunnel insists it facilities could cope with the UK leaving the European Union in disarray, saying: “We have adapted our infrastructure so that, with or without a deal, traffic flow through the tunnel will be maintained.”