February 22, 2018

Will Monarch airlines lose its ATOL licence?

05 October 2017, 12:54 | Kara Nash

100000 travellers risk being stranded by stalling Monarch

Regulator the Civil Aviation Authority can deny an airline permission to do business if it believes it does not have enough cash to keep going

Britain's Monarch Airlines has gone into administration and all flights have been cancelled with 110,000 passengers now overseas, the Civil Aviation Authority said Monday.

People who booked flights and holidays with Monarch Airlines have had their trips cancelled after the collapse of the company.

Britain's Civil Aviation Authority (CAA) said it was chartering 30 aircraft to bring back stranded holidaymakers "at no cost to them".

All future Monarch Airlines bookings, including flights and holidays, have now been cancelled following a decision by the company's board to cease trading.

The move leaves roughly 110,000 Monarch customers - whom the airline was meant to fly back to the United Kingdom in the next two weeks - stuck overseas, the CAA said.

However, Mr Haines said that the Monarch board only made a resolution to go into administration around midnight on Saturday night, with the CAA, along with passengers and staff, only provided with confirmation at 4am yesterday morning.

Customers due to depart from a United Kingdom airport with Monarch Airlines in the future have been advised not to travel to the United Kingdom airport as the flight will not be operating.

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The low-priced airline and holiday company previously had a deadline of 30 September before its Air Travel Organiser's Licence (Atol) expired.

Monarch is the largest British airline to go into administration, something the Civil Aviation Authority (CAA) has described as an "unprecedented situation".

All Monarch Airlines flights from the United Kingdom have been cancelled and will not be rescheduled after the firm was placed into administration, accountants KPMG said on Sunday night (1st October).

The company employs about 2,750 predominantly UK-based staff and reported a 291 million pounds loss a year ago, a BBC report said.

All future flights have been immediately cancelled, affecting an estimated 300,000 bookings.

"The scale and challenge of this operation means that some disruption is inevitable".

Monarch, one of the UK's oldest airlines, announced it was ceasing trading on Sunday.

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