The Gulf Time Newspaper One of the finest business newspapers in the UAE brought to you by our professional writers and editors.
Bloomberg
Wizz Air Holdings Plc dropped plans to increase capacity to 80% next quarter after a resurgence of travel restrictions dented demand.
The Hungarian carrier will maintain its current 60% level for the period ending in December if stricter measure continue including in its home country, it said on Tuesday in a statement. Further reductions are possible and the carrier could park some of its fleet over winter to save cash, it said.
The setback comes just weeks after Wizz Air said it would ramp up flying as it seeks to leverage the European airline industry’s lowest cost base and grab market share
in London. Where other carriers have trimmed their fleets, Wizz has signalled its intention to keep growing.
From Tuesday, UK nationals are not allowed to enter Hungary unless they have a residence permit or visa, or are traveling with a family member who is a resident of the country, according to the UK
government’s website. The country decided to close its borders to all foreign travellers in a bid to keep Covid-19 infection rates under control.
Other European discount carriers are pausing their restart as well, after a resurgence of Covid-19 cases led to the reimposition of travel restrictions. Last month, Ryanair Holdings Plc, Europe’s biggest discount carrier, slashed capacity by 20% for September and October after demand weakened.