The British authorities is to contemplate reforming air passenger obligation on home flights as a part of a plan to save lots of Flybe from collapse.
The regional airline earlier this week refused to touch upon hypothesis over its monetary well being, selling additional questions.
Flybe operates greater than half of UK home flights exterior London, and gives distinctive connectivity to regional airports.
The Exeter-based firm carries about eight million passengers a 12 months from airports together with Birmingham, Manchester, Southampton, Belfast Metropolis, Cardiff and Aberdeen, to the UK and Europe.
Nevertheless, regardless of a current takeover by a consortium led by Virgin Atlantic and Stobart Air, questions over its monetary viability stay.
A deferment of Flybe’s air passenger obligation invoice would enable the provider to design a brand new rescue plan, and doubtlessly safe greater than 2,000 jobs.
By making use of the transfer to the entire trade, the federal government would keep away from breaching EU state support guidelines.
It’s thought the transfer might save Flybe as much as £100 million over three years.
Air passenger obligation is charged on all departures from airports in the UK over a sure weight.