Jet fuel prices have doubled since the US and Israel carried out joint strikes on several key Iranian sites which saw Iran shut the Strait of Hormuz trade route
Major UK carrier British Airways may raise ticket prices further if elevated fuel costs persist.
The airline’s Chief Executive Sean Doyle warned that carriers continue to face mounting fuel expenses tied to the ongoing conflict in the Middle East, which has driven oil prices up more than 50% since March.
The US and Iran have been in conflict since February 28 when joint US-Israeli strikes were carried out on several key Iranian sites.
Iran retaliated by striking sites across the Middle East and closing the critical Strait of Hormuz waterway, through which 20% of global oil traded passes.
Airlines have warned of jet fuel price increases as a result of the conflict.
Jet fuel prices have doubled since the conflict involving Iran began in February, the Financial Time reported.
“There’s no getting away from if fuel goes up, fares have to go up,” Doyle told the Financial Times.
Doyle said British Airways had already increased fares to offset higher fuel costs.
He indicated further rises may be necessary if prices remain elevated.
British Airways is expected to pass through more of the cost increases on long-haul routes, particularly those serving business travellers.
The US and Iran have made several attempts to broker a long-term peace deal since the war broke out.
Israel on Monday retaliated to Iranian missile barrages by striking Iran’s Karun petrochemical plant near Bandar-e-Mahshahr.
Oil prices spiked again on Monday, May 8 as tensions in the Middle East rose and global markets wait to see the long-term effects of the hostilities on airfares.
