Blue Islands has had an aircraft impounded in Guernsey, having entered liquidation with a €10.3m debt to the Jersey government on 14 November 2025.
Guernsey impounded ATR72-500 G-ISLM and ATR72-600 G-ISLP to recover funds owed by the airline.
The Jersey government extended a €1.36m loan in September and €0.57m in October on top of €8.4m from a COVID-era loan.
Jersey has subsidised Loganair operations with €1.7m for services launched less than 48 hours after Blue Islands ceased operations.
Guernsey has designated the Guernsey-Jersey route as an essential air service from 15 January 2026.
Elaine Millar shared “Those discussions, and their outcomes, were not made public because doing so would have risked compromising confidence in the airline, exacerbating an already difficult situation” Mark Helyar shared “Naturally, I want to do everything possible to ensure Guernsey taxpayers receive the money owed to them”
Sasha Kazantseva-Miller shared “The collapse [of Blue Islands]also caused significant uncertainty to Bailiwick and wider Channel Islands air services”.
