Flybe-9
Join Date: Oct 2019
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Says that a deal hasn’t been done and that there’s a possibility it could still fold, but they need assurance from Connect Airways tomorrow over finances.
Hopefully positive news
Hopefully positive news
Sky News has learnt that Andrea Leadsom and Grant Shapps will meet Mr Javid to discuss the proposed terms of a bailout of one of Britain's largest regional airlines. Insiders said that the government had informed Flybe's three shareholders that they would be required to inject "tens of millions of pounds" in fresh equity into the company as a condition of any deal. Under the proposals, Flybe, which carries eight million passengers annually, would be allowed to defer this year's estimated air passenger duty (APD) bill of £106m for three years.
However, people close to the process warned on Monday night that there was considerable urgency surrounding the talks between the owners of Connect Airways, Flybe's parent, and the government. "There is no guarantee that the company will be saved," said one. "The survival prospects have improved but Its not out of the danger zone." A decision is expected to be taken about deferring Flybe's APD liability during the course of Tuesday. Whitehall sources say they are confident that such a move would not breach EU state aid rules or UK tax law, and that the primary consideration is an assessment of whether the company will ultimately repay the APD it owes.
Virgin Atlantic, Stobart Group and Cyrus Capital Partners, which collectively took control of Flybe's assets last March, are understood to have resolved in principle to commit the capital being sought by the government as a condition of a rescue deal.
Virgin Atlantic, Stobart Group and Cyrus Capital Partners, which collectively took control of Flybe's assets last March, are understood to have resolved in principle to commit the capital being sought by the government as a condition of a rescue deal.
Sky - Cabinet trio to thrash out £100m Flybe rescue package
Join Date: Apr 2005
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G-JECX (DUS Based) is operating as normal with a 35 minute departure delay being on the ground for 2HRS - would they have sent this aircraft out of UK to DUS if they were to cease?
G-PRPC (EMA Based) was diverted to BHX and has since re-positioned back to EMA to be in position for tomorrow's AMS.
I am aware of delays mainly to BHD aircraft due to weather which has affected other airlines.
G-PRPC (EMA Based) was diverted to BHX and has since re-positioned back to EMA to be in position for tomorrow's AMS.
I am aware of delays mainly to BHD aircraft due to weather which has affected other airlines.
Join Date: Jan 2020
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This is not positive news if you are a taxpayer or have to compete on an uneven playing field in a competitor airline.
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Join Date: Mar 2013
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if TCX didn't pay it would they have survived? Yet government help was declined. Seems odd they'd intervene with another private airline regardless of 'regional connectivity' arguments
Join Date: Jun 2010
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The 'regional connectivity' arguments are precisely what this is all about. To take just one example: England southwest of Bristol would be virtually an air-transport-free zone without flybe.
Join Date: Jul 2006
Location: Ballymena
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why was this money not paid over? I know of lots of coffee shops etc that collected VAT from customers, didn't pay it over and when they were found out, they were bankrupted by HMRC. How do you describe money collected from passengers, but not paid as expected to HMRC? I hope this outfit don't survive and I realise the implications of what I am saying for all the staff involved. That does not make me proud. But the top management here knew what they were doing and I don't believe this money will ever be paid. But no doubt the top management have continued to collect their top salaries.
Disgusted.
Disgusted.
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How much are the CEOs of said owners being paid including bonuses for this expert governance ?
Surely Virgin can put a decent amount of it's own money in or that of it's parent Delta.
What next ?
Will the likes of Debenhams or Beales no longer have to pay business rates ?
Will other UK domestic carriers also be exempt from paying APD for 3 years ?
Surely Virgin can put a decent amount of it's own money in or that of it's parent Delta.
What next ?
Will the likes of Debenhams or Beales no longer have to pay business rates ?
Will other UK domestic carriers also be exempt from paying APD for 3 years ?
Join Date: Jul 2006
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what about all the other business that have gone bankrupt, of all types, that would still be here if they had been able to hold on to our vat? Can you imagine the requests that could follow from this if they decide to do this.
Join Date: Jun 2008
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Another way of looking at this (without the risk of turning this into a political discussion). With the Conservatives being the party of business they probably won't to see a British (predominantly business) airline go to the wall. I'm fairly sure that lots of MPs will use BE when travelling to & from Parliament therefore the Government will do what they can to salvage this. How many MPs would have used TCX though?
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Another way of looking at this (without the risk of turning this into a political discussion). With the Conservatives being the party of business they probably won't to see a British (predominantly business) airline go to the wall. I'm fairly sure that lots of MPs will use BE when travelling to & from Parliament therefore the Government will do what they can to salvage this. How many MPs would have used TCX though?
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While the Conservatives are a pro-business party, most are free market thinkers and don’t support Government intervening. However, Grant Shapps, the transport minister is a pilot himself and I imagine he’d be more supportive of airlines. MPs won’t vote on the basis if they use Flybe over Thomas Cook. They were different operations. Flybe supports many rural communities (as their only connection) such as Cornwall, Belfast and Isle of Man. Thomas Cook took people to Malaga.
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What? Flybe provides the only connection to Belfast. I think some of you should have a look at the Easyjet route map out of Belfast. How many routes flown by Flybe are also covered by Easyjet? All the main ones!
Join Date: Aug 2009
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As as far as Parliamentary staff, basically only the MPs travel and where possible lots of them won’t fly because it looks bad and those who do often prefer BA because they can earn some points and get booze in the lounge. I know of the Cornwall MPs most use the train.
Well, that's up to a government to decide. I'm sure we've all seen countless government schemes and concessions announced that we personally seem not to qualify for, by income, where we live, wrong sort of car, whatever.
Last edited by WHBM; 14th Jan 2020 at 00:02.
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Lots of arguments forming here around apparent political motivation to save Flybe, when so many other private companies have been exclusively left to fail under basic market principles. Even in the air transport sector Monarch and particularly Thomas Cook provided salaries for a vast number of citizens, but were allowed to sink beyond trace without public intervention.
Rank poor, fat cat ineptitude should never be bailed out by the public purse irrespective of cosmetic arguments. The market will always facilitate the void to be filled by a sustainable business.
Certainly if Government use some form of emergency argument to bankroll Flybe short term they would need to be very transparent around the fairness and equitability of the vehicle used. For example a holiday on or total removal of domestic air tax in the UK expressly to keep Flybe in the air would need to be applied fully and equally to all other UK domestic air services - easyJet, BA, Ryanair etc. Or the scheme will be rightfully - and very likely successfully - challenged in court!
Rank poor, fat cat ineptitude should never be bailed out by the public purse irrespective of cosmetic arguments. The market will always facilitate the void to be filled by a sustainable business.
Certainly if Government use some form of emergency argument to bankroll Flybe short term they would need to be very transparent around the fairness and equitability of the vehicle used. For example a holiday on or total removal of domestic air tax in the UK expressly to keep Flybe in the air would need to be applied fully and equally to all other UK domestic air services - easyJet, BA, Ryanair etc. Or the scheme will be rightfully - and very likely successfully - challenged in court!
Join Date: Feb 2001
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They can't abolish for domestic routes without abolishing for all of Europe.
The Irish government was fined over this exact thing. Johnson has decided to follow EU rules for another 12 months.
Bailing out a VC who hasn't paid their taxes... Stinks of cronyism. Flybe is Britain's Air India
Expect a nice legal challenge from Ryanair, Loganair and easyJet over market distortion.
The Irish government was fined over this exact thing. Johnson has decided to follow EU rules for another 12 months.
Bailing out a VC who hasn't paid their taxes... Stinks of cronyism. Flybe is Britain's Air India
Expect a nice legal challenge from Ryanair, Loganair and easyJet over market distortion.