Ireland in talks with Aer Lingus on further financial suppor

Ireland and Aer Lingus are engaged in discussions about the government providing further financial support for the former flag carrier, Deputy PM Leo Varadkar said Thursday. Ireland’s sovereign wealth fund said earlier this month that it had provided a E150m three-year loan to the airline that is also a recipient of the state’s wage subsidy scheme for firms hit by the COVID-19 pandemic. “To say very clearly, Aer Lingus will not be allowed to fail. It is already receiving substantial financial support from government. Discussions are underway on further support for the company so it is there when we need it again,” Varadkar told parliament. He later added that when the government said it would not allow Aer Lingus to fail, he did not want to create the impression that such a development was likely. “What I am saying is that we will provide more (financial support) to enable us to retain essential connectivity, like for example (London) Heathrow, the United States and those key hubs in Europe,” he said.<br/>