Brits flying home from Spain this winter could end up paying for airlines’ fuel bill

Fuel costs are driving up winter flight prices from Spain, with airlines like British Airways and Iberia reporting a significant impact on their expenses. These carriers have managed to claw back around 60% of the additional cost through increased revenue and other savings, but the remaining 40% is expected to be passed onto passengers.

Airlines such as Ryanair, easyJet, Vueling, and Iberia have launched autumn and winter sales on UK and Spanish routes, with one-way fares starting from £14.99 or €16 on selected dates. However, these deals are merely attempts to fill seats during the quieter months, and airlines are facing a harsh reality when it comes to fuel costs.

International Airlines Group (IAG), which owns British Airways, Iberia, Vueling, and Aer Lingus, revealed in July that they are only 40% hedged for 2027, leaving them exposed to the current fuel price fluctuations. IAG's fuel and emissions bill rose by €433 million (12.3%) to €3.96 billion in the first half of the year, and they anticipate a full-year fuel bill between €8.3 billion and €8.6 billion.

The main reason behind the fuel price rise is the lack of protection against higher oil prices as airlines usually buy fuel in advance at a fixed price. Short-haul flights within Europe, which most Brits use to travel to Spain, are particularly affected due to fierce competition and the addition of new seats by rivals, limiting airlines' ability to raise prices.

Despite the current sales, fewer seats on the same routes may result in less availability for the cheapest tickets, especially on busy dates. To secure the best value, it is suggested that travelers book their flight during midweek on flexible dates, particularly in November and December.