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Ryanair today revealed it would be grounding seven of its aircraft this winter as it launched a scathing attack on BAA over the “appalling” service and high charges at Stansted airport.
The airline said that the high cost of flying from Stansted meant it would make more sense to cancel routes from its biggest hub at the end of the year rather than lose money.
Stansted doubled its airport charge to £12 per customer in April.
Ryanair has yet to decide which routes will go but said they were likely to be services to more "provincial" destinations in France, Spain and Scandinavia.
While some services will be shelved between November and February, others will be less frequent. Anyone who has already booked will get either a full refund or a seat on an alternative flight.
Ryanair insisted that “softer” market conditions had not played a part in the decision and laid the blame squarely on BAA, which also operates Heathrow, Gatwick and four other regional airports across the UK.
Michael O’Leary, chief executive, said: “BAA Stansted's doubling of airport charges since April has caused traffic declines for the first time in 15 years.
“The current service provided by BAA at Stansted is nothing short of appalling.
“Many of the 17 security machines are regularly unmanned during peak morning periods, and understaffing at passport control continues to cause long queues and frequent passenger delays.”
He added: “This winter we will sit seven of our 40 Stansted-based aircraft on the ground because Stansted’s higher airport charges make it more profitable to ground these during the winter rather than fly them.”
The airline could still face a backlash from customers, given that the move means Ryanair’s net profit is likely to rise by 10 per cent over the course of its financial year, against earlier guidance of 5 per cent.
Spain’s Ferrovial bought BAA last year and the airport operator has faced a stream of criticism in recent weeks.
Giovanni Bisignani, the director-general of the International Air Transport Association (IATA), yesterday publicly shamed the company by criticising the “embarrassingly low service levels” at Heathrow.
A spokesman for BAA insisted that the airport charges at Stansted were “among the cheapest in Europe”.
He added: “They have helped Ryanair become the company it is today. Our security performance is also heading in the right direction. We are recruiting more staff and we feel it is more important to work together rather than pick apart parts of the process.”
Ryanair fears that yields – the amount of money it makes from each passenger – could fall as much as 10 per cent below the levels seen a year ago over the winter, given far weaker demand in the industry.
The group predicted a price war in April after blaming the higher air passenger duty for a lull in bookings.
Despite today's warning, shares in the company and its rivals easyJet and British Airways climbed higher after far better than expected results from Ryanair over the past three months.
Net profits in the quarter to June 30 – the first of its financial year – rose 20 per cent to €138.9 million (£94 million) as yields came in flat, against fears of a 5 per cent fall.
Passenger numbers were 18 per cent higher at 12.6 million while revenues were 22 per cent higher at €693 million.
Much of the growth in revenue came from “ancillary” income such as excess baggage charges and the sale of car hire and insurance packages. Ryanair's average fare was £28.
Shares in the airline surged 10 per cent to €5.235. EasyJet leapt 11 per cent and British Airways 2.2 per cent on hopes that their results, due over the next week, will also come in above expectations.
Andrew Fitchie, analyst at Collins Stewart, said: “Flat yields at Ryanair in the first quarter is a good result.
“Many had anticipated yields down 5 to 10 per cent. This should be read positively across to easyJet and even British Airways.”
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