I would like to provide a further update on the collapse of Flybe into administration. I am in close contact with the Secretaries of State at the Department for Transport and Department for Work & Pensions, as well as ongoing briefings from the Aviation Minister Kelly Tolhurst.
First, my thoughts are with the hard-working Flybe staff at Exeter Airport at this difficult time.
Many of Flybe’s employees live in East Devon and Exeter, and I want to make sure they have the support they need. Qualified engineers, finance managers, aviation analysts, cabin crew, safety officers, and many more worked at Flybe’s headquarters. They were dedicated to a much-loved airline that has collapsed through no fault of staff.
The Government Insolvency Service has published information for Flybe employees to apply for redundancy and other payments online here: https://www.gov.uk/government/news/flybe-information-for-employees-passengers-and-suppliers . You may be entitled to redundancy pay, pro-rata holiday pay, outstanding wages, and statutory notice pay. If you require further information or assistance, then please contact the Administrators on 0161 333 2596 or by email at flybeemployees@uk.ey.com .
I have spoken to the Secretary of State for Work and Pensions, Therese Coffey, and she has assured me that support will be bolstered, particularly through Job Centre Plus, to cope with increased demand given the level of job losses. Together with West Dorset MP Chris Loder, I have written to the Managing Directors of both Great Western Railway and South Western Railway to urge them to help crew and ground staff affected at Exeter, Southampton and Bristol airports to signpost them to suitable vacancies. I am also speaking to Exeter Airport to understand the impact on their own employees. I will do everything I can to help constituents and support Exeter Airport as they find new operators for former Flybe routes.
Second, the Government offered to help secure the future of Flybe and I am deeply disappointed by the decision taken by Flybe’s shareholders.
In January, Flybe’s shareholders refused to commit to fully turning the company around and the Government stepped up and to discuss support. This included a short delay in paying Air Passenger Duty, a review into the tax which Flybe paid twice on domestic routes – unnecessarily affecting their profit – and the potential option of a £100 million commercial loan.
I have been kept updated by Flybe and Government ministers in recent months.
I understand talks broke down in the last week because of the impact of Coronavirus which is hitting one of the shareholders, Virgin Atlantic, particularly hard. It is worth bearing in mind that it is incredibly tough for all airlines at the moment – and in the end, sadly, Flybe’s shareholders could not cope with the extra impact of the Coronavirus which is having an impact on every airline.
However, regardless of Flybe being Europe’s largest regional airline we all know Flybe has been in trouble for a while due to historic mismanagement and poor investment decisions going back over a number of years.
Third, every effort should be made to find new operators for routes run by Flybe – some of which make a decent profit. From Exeter, Newquay and Bristol – Flybe provided people in the South West with the opportunity to travel from where they live, instead of having to travel to London.
It is essential other operators now come forward to take over routes from Exeter Airport to secure jobs and lifeline transport links for our region. Already other airlines are taking on routes from Exeter Airport. Scottish firm Loganair has today announced they will operate the routes to Newcastle, Glasgow and Edinburgh seven days a week.
Finally, I will be watching the upcoming Budget closely. Now is the time to invest in regional transport across the South West to keep us connected.
If you have any concerns, please do not hesitate to get in touch with me at simon.jupp.mp@parliament.uk and I will help as much as I can.