Ryanair Considers Temporary Pay Freeze and Fare Increases Amid Soaring Fuel Costs

Ryanair is weighing a temporary pay freeze for its staff to offset a sharp rise in fuel costs, which have risen after the US‑Israel conflict with Iran.

The airline warned that fuel prices are likely to stay elevated through at least 2027, unless the conflict is resolved quickly.

Ryanair projects its fuel expenditure to be about €2 billion (£1.6 billion) higher in the near term and anticipates raising European airfare prices to offset the added expense.

However, the airline noted that additional measures will be required and is exploring options such as temporary pay freezes. The BBC has reached out to Unite, the union representing Ryanair staff, for comment.

The carrier reported a 16% decline in pre‑tax profit, falling to €2.4 billion for the six months ended September, primarily driven by higher fuel costs.

Ryanair noted that while 80% of its fuel bill was hedged—meaning it was secured at fixed prices in advance—the remaining 20% has doubled in cost.

This year, aviation fuel prices have surged due to the Middle East war, which has sharply cut Gulf‑region refined product supply and heightened competition for fuel produced elsewhere.

Ryanair chief executive Michael O’Leary said last month that he expects the airline and its peers to raise fares by 15%–20% in the coming year.

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