Ryanair Announces Capacity Cuts and Airport Closures in France Over Tax Hike
ByAinvest
Wednesday, Jul 30, 2025 9:39 am ET1min read
RYAAY--
The tax increase, which came into effect in March 2025, has raised the Solidarity Tax on Airline Tickets to €7.40 per passenger for domestic and European flights, up from €2.63 previously. Ryanair has expressed concern that this tax makes France less competitive compared to other EU countries such as Ireland, Spain, and Poland, which do not impose any air taxes.
Ryanair's Chief Commercial Officer, Jason McGuinness, stated that the airline has no choice but to reduce its capacity for the winter season of 2025 by 13% due to the French government's failure to cancel the excessive increase in air tax. The airline has redirected its capacity and investment to more competitive European markets such as Sweden, Hungary, and Italy.
If the French government decides to drop the tax, Ryanair has offered to invest $2.5 billion, introduce 25 new aircraft, double its traffic to over 30 million passengers per year, and create 750 additional jobs in French regions.
The decision to drop operations at the airports in Brive, Bergerac, and Strasbourg follows a series of warnings from airlines and French airports that the tax hike would make many routes to France unprofitable, particularly at regional airports and during the winter season.
Ryanair's move highlights the growing frustration among European airlines operating in France, with thousands of flights canceled this summer due to industrial action by French air traffic controllers. The strikes, coupled with higher taxes, have led to a significant reduction in air travel capacity.
[1] https://finance.yahoo.com/news/ryanair-says-dropping-three-french-095129919.html
[2] https://www.bloomberg.com/news/articles/2025-07-30/ryanair-cuts-flights-drops-airports-in-france-over-tax-hike
Ryanair to cut flights by 13% and drop operations at three French airports due to a tax hike imposed by the French government. The airline will lose 750,000 seats and 25 routes to France. The CEO blames the tax for making France less competitive compared to other countries. Ryanair has reallocated capacity to countries that have abolished environmental taxes.
Irish no-frills airline Ryanair has announced a significant reduction in its operations in France, citing a recent tax hike on air tickets. The airline has decided to cut flights by 13% and will cease operations at three airports in the country. This decision will result in the loss of 750,000 seats and 25 routes to France.The tax increase, which came into effect in March 2025, has raised the Solidarity Tax on Airline Tickets to €7.40 per passenger for domestic and European flights, up from €2.63 previously. Ryanair has expressed concern that this tax makes France less competitive compared to other EU countries such as Ireland, Spain, and Poland, which do not impose any air taxes.
Ryanair's Chief Commercial Officer, Jason McGuinness, stated that the airline has no choice but to reduce its capacity for the winter season of 2025 by 13% due to the French government's failure to cancel the excessive increase in air tax. The airline has redirected its capacity and investment to more competitive European markets such as Sweden, Hungary, and Italy.
If the French government decides to drop the tax, Ryanair has offered to invest $2.5 billion, introduce 25 new aircraft, double its traffic to over 30 million passengers per year, and create 750 additional jobs in French regions.
The decision to drop operations at the airports in Brive, Bergerac, and Strasbourg follows a series of warnings from airlines and French airports that the tax hike would make many routes to France unprofitable, particularly at regional airports and during the winter season.
Ryanair's move highlights the growing frustration among European airlines operating in France, with thousands of flights canceled this summer due to industrial action by French air traffic controllers. The strikes, coupled with higher taxes, have led to a significant reduction in air travel capacity.
[1] https://finance.yahoo.com/news/ryanair-says-dropping-three-french-095129919.html
[2] https://www.bloomberg.com/news/articles/2025-07-30/ryanair-cuts-flights-drops-airports-in-france-over-tax-hike

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