Ryanair chief O'Leary forecasts record rise in European air fares in 2027
In short
Ryanair CEO Michael O'Leary said at a press conference in Brussels that air fares in Europe could rise by 20% next year, which he called the biggest increase on record. He linked this to high oil prices driven by the war in the Middle East, and said the rise may still not cover airlines' fuel costs.
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Ryanair chief executive Michael O'Leary forecast a record rise in air fares in Europe in 2027, Interfax, TASS, Meduza and RBC reported on 20 October. [ 1 , 2 , 3 , 4 ]
Speaking at a press conference in Brussels, O'Leary said fares could rise by 20% next year, according to Interfax. Even so, he said, airline profitability would still fall, because a higher fuel surcharge could not fully offset the increase in costs. [ 1 ]
"Over the next 12 months we will probably see the biggest rise in air fares in Europe in history," O'Leary said, as quoted by Interfax. "The question is whether that will be enough to cover sharply higher fuel costs. I don't think so." Meduza quoted similar words and also gave the 20% figure. [ 1 , 3 ]
Interfax and Meduza linked the rise to the continuing war in the Middle East, which is keeping oil prices high and forcing airlines to pass additional fuel costs on to passengers. Interfax said the conflict began in late February. According to O'Leary, most European carriers, Ryanair included, are insufficiently protected by hedging against oil price rises. [ 1 , 3 ]
O'Leary also said companies in some countries face extra difficulties, including higher taxes, according to Interfax; TASS's summary likewise said airlines face great difficulties and high taxes worsen the situation. Interfax reported that he criticised aviation regulation in countries such as France and Belgium, where Ryanair intends to reduce its presence in response to tax increases. He repeated that consolidation of European aviation will continue as weaker carriers find it harder to survive amid high costs. [ 1 , 2 ]
RBC reported in a summary that O'Leary called European Commission President Ursula von der Leyen "useless" and urged that environmental fees be extended to American and Asian carriers. [ 4 ]
Interfax said Ryanair lowered its annual passenger forecast for the current financial year in September and announced plans to cut the number of seats offered in the winter season. It added that the company's market capitalisation has fallen 24.6% since the start of 2026. Meduza said Ryanair announced in spring 2026 that it would close its Berlin base from autumn and halve the number of flights to Germany, citing higher airport charges and aviation taxes. [ 1 , 3 ]
Why it matters
The outlets report that airlines are passing higher fuel costs on to passengers, so travellers in Europe could face higher fares. O'Leary also said consolidation of the European aviation industry will continue as weaker carriers find it harder to survive.
Key facts
- Ryanair CEO Michael O'Leary forecast a record rise in air fares in Europe in 2027. [ 1 , 2 , 3 , 4 ]
- O'Leary said fares could rise by 20% next year, speaking at a press conference in Brussels. [ 1 , 3 ]
- Interfax and Meduza said the continuing war in the Middle East is keeping oil prices high and airlines are passing rising fuel costs on to passengers. [ 1 , 3 ]
- O'Leary said most European airlines, including Ryanair, are not sufficiently protected by hedging against rising oil prices. [ 1 ]
- RBC reported that O'Leary called European Commission President Ursula von der Leyen "useless" and urged that environmental fees be extended to American and Asian carriers. [ 4 ]
- Interfax reported that Ryanair's market capitalisation has fallen 24.6% since the start of 2026. [ 1 ]
Confirmed by several sources
Still unclear
- Whether the fare increases will be enough to cover airlines' fuel costs. O'Leary said he did not think so, but this is his own assessment and no other source tests it.
- The details of O'Leary's remarks about von der Leyen and environmental fees. Only RBC's short summary reports them; the article text was not available.