Flybe forecasts tough times due to fuel costs, staffing and Brexit

Flybe expects rising fuel prices, staffing crunches and Britain’s exit from the European Union to mean a challenging period ahead for carriers, the regional airline’s CE said. “We have fuel challenges arriving, foreign exchange, we need to be prepared for pilot shortages. It’s a tough environment,” Christine Ourmieres-Widener said. The price of crude oil has climbed to above $80 a barrel for the first time since November 2014, spurred by concerns that Iranian exports could fall due to renewed US sanctions and reduce supply in an already tightening market. Ourmieres-Widener said along with a general tightness in the market for pilots, Flybe was also concerned by a lack of engineering resources in Britain. On Brexit, Flybe would like to see more urgency from the British government in agreeing a deal as it is already selling tickets for the period beyond March 2019, the planned departure date of Britain from the EU, but has inserted a clause saying the flights are dependent on post Brexit flying rights. “We have a list of questions,” Ourmieres-Widener, said, citing aircraft leasing and maintenance certification as among issues. “Uncertainty is never good for business,” she added, saying she had held talks with MPs to impress that on them. Ourmieres-Widener said while partnerships could help the airline amidst a tough backdrop, it would only enter partnerships if they offered value to Flybe.<br/>