It is the eternal controversy over rising air fares and who is responsible for them. For IATA, the International Air Transport Associationthe picture is somewhat Manichean. The nice airlines which limit their rate increases to well below inflation. Visit airports are the bad guys who allow themselves shameless fee increases.
IATA: air fares up 16%
IATA has published data showing that travellers in Europe benefit from air fares that are lower than inflation.as the market continues its post-Covid recovery. Traffic in Europe is now only 3.6% lower than it was in 2019 before the pandemic. So Europeans are travelling despite inflation.
According to IATA, the increase in ticket prices remains below the European average. In June, average air fares in Europe were around 16 % higher than before the pandemic.. This compares with 20% for the average consumer price index for the EU, which stood at 20 % in June compared with the pre-pandemic period.
We could have left it at that. Except that Willie Walsh, Director General of IATAIn view of the extreme volatility of paraffin prices and the increase in labour wages, this is a significant result, which contrasts with the constant increase in charges imposed by our infrastructure providers" analysed Willie Walsh.
And IATA cites as an example the 56% increase in charges at London Heathrow by the British Civil Aviation Authority. Not to mention an increase of 26 % for NATS, the British air navigation service provider. IATA also singles out the Netherlands, which has just granted Amsterdam's Schiphol airport the possibility of increasing its charges by 37 %.
ACI Europe: air fares up 38%
What theACI Europe demonstrates the opposite. According to the airport association, independent and credible data from the consultant RDC point to the opposite trend. They show that the increase in fares was in fact +38% over the summer.This is almost twice the increase in the average consumer price index (+20.8 1Q3). October confirmed this trend, air fares even increase by +47 % when booked 3 months in advance.
According to Director of ACI Europe, Olivier JankovecIATA's assertion that airport charges have continually risen above inflation is based on erroneous data, as it is based on just two airports. " In fact, airport charges in Europe rose this year by +13.6 %, which is well below inflation." .
"In the face of inaccurate and misleading data, it is essential to re-establish the truth about the real trend in air fares and airport charges. Not only are airlines have been able to pass on inflationary pressures to the prices they charge consumers, but they have also been able to exercise significant pricing power through supply restrictions and capacity restrictions. Good for them! On the other hand, many airports have not yet managed to fully reflect inflationary pressures in their charges", says Olivier Jakovec.
He continues: "It is also surprising to hear IATA claim that the recovery of the European aviation market is leading to even more competitive conditions, with a greater number of airlines and routes to choose from. In reality, air connections are recovering more slowly than the increase in passenger numbers. In June, thea air connectivity from European airports remained 17 % below pre-pandemic levels. While passenger traffic was -5.9 % compared to 2019″.
Who to believe?
