Ryanair chief sees European fares rising as much as 20% in 2027

European airline passengers could face fare increases of up to 20% in 2027, Ryanair CEO Michael O’Leary said at an October 20 press conference in Brussels. He attributed the expected increases to more expensive fuel and airlines’ reduced protection against price rises.

O’Leary said hedging had shielded Ryanair and many European competitors during 2026, but that protection would weaken substantially from April 2027. He put Ryanair’s unhedged exposure for next year at 85% and said most rival European carriers faced a similar situation.

The airline had secured fuel for 2026 at approximately $67 per barrel, O’Leary said. He expects Ryanair’s oil price to double in 2027 and predicted that bankruptcies and takeovers would also reduce available airline seats.

The International Air Transport Association’s monitor recorded an average jet fuel price of $207.61 per barrel for Europe and the CIS during the week ending October 16, almost 128% higher than a year earlier. Crude and refined fuel prices rose rapidly after the Iran war began and the Strait of Hormuz was effectively closed.

Ryanair also announced reductions to its Belgian operations, blaming an aviation tax increase scheduled for January 2027. The tax will reach €7, compared with €2. The airline is removing 20 routes and 1.1 million seats from its winter schedule in Belgium and said six aircraft were being relocated to cheaper European markets.