Copyright dailyrecord
Eastern Airways, a UK airline, is reportedly on the verge of entering administration, according to The Sun. The company has filed a notice of intention to appoint an administrator, a legal document indicating that it's about to go into administration. This provides a temporary freeze preventing creditors from taking legal action against the business for ten days. Eastern Airways, established in 1997, operates flights to several domestic airports in the UK, including Aberdeen , Humberside, London Gatwick, Newquay, Teesside International and Wick. It has operated a weekday service between Aberdeen and Wick John O'Groats Airport, which is considered essential for residents of the UK's most northern region. It previously offered flights to international destinations such as Paris, France. The airline transports around 1.3 million passengers annually. The Mirror has reached out to Eastern Airways for comment. The airline reported a net loss of £19.7 million for the 12 months to March 2024. Its total debt increased to £25.97 million, while profit dropped to £454,000, down from £1.55 million the previous year, reports the Mirror . If the airline does collapse, it's likely all flights will be cancelled. If your booking is part of a package holiday, your holiday provider will arrange an alternative flight or offer you a full refund. If your flight isn't part of a package holiday , you'll probably have to pay for a new flight if your trip ends up being cancelled. You may be able to make a claim on your travel insurance if you have scheduled airline failure as part of your policy. Alternatively, you might be able to make a claim through your debit or credit card provider. This follows budget Icelandic carrier Fly PLAY going bust last month, with all services axed immediately. The airline posted the following message on its website: "Dear passenger, Fly PLAY hf. has ceased operations, and all flights have been cancelled. "We kindly advise you to check flights with other airlines. Some carriers may offer special 'rescue fares' considering the circumstances." Meanwhile, independent travel agent Usher Travel Worldchoice stopped trading earlier this month. Director Gavin Morton, who had been with the firm for 35 of its 60 years in business, called the decision to shut down "quite literally one of the most heartbreaking moments" of his life. He said: " Covid took much away from us. And while we came through the other side, three years of heavy travel restrictions and in many cases a loss of client confidence in travel left a financial burden that was becoming more and more difficult to manage. "The loyal clients, many of whom have become friends and helped create the relaxing and fun atmosphere in the office, will be something the team will miss in our day-to-day lives." Balkan Holidays Ltd, Jetline Travel and Great Little Escapes LLP have also all closed down this year.
