- Aurigny forecasts losses exceeding £15m across 2026 and 2027.
- Aviation fuel prices average $152 a barrel, a 70pc increase compared to 2025.
- The airline took over Blue Islands routes after its collapse.
- Aurigny retired Dornier 228 aircraft and transitioned to Skybus Twin Otters.
- The airline will hold one aircraft in reserve for summer 2027.
Aurigny, the state-owned airline of Guernsey, is forecasting total losses exceeding £15m across 2026 and 2027 as it navigates soaring aviation fuel prices and heavy regional competition. The carrier is stabilising its operations by implementing cost-cutting measures and fleet overhauls. The airline faces severe financial headwinds stemming from geopolitical factors and changing competitive landscapes.
Global aviation fuel prices have spiked to average $152 a barrel, a 70pc increase compared to 2025. This resulted in a 50pc surge in Aurigny’s internal fuel bill. When competitor Blue Islands collapsed, Aurigny took over its Guernsey-Jersey route and boosted Southampton rotations. A new British Airways route connecting Guernsey to London Heathrow has disrupted Aurigny’s revenues.
Aurigny retired its remaining Dornier 228 aircraft and transitioned the Alderney route to lower-cost Skybus Twin Otters. The airline scaled back reliance on wet-lease contracts through an engine overhaul investment cycle. It temporarily slashed capacity between April and June and introduced a £2 per sector temporary fuel adjustment. For summer 2027, Aurigny will hold one of its five aircraft in reserve.
