Ryanair agrees deal with Stansted
The airline, which attracted 13.2m customers at Stansted in 2012, is counting on the airport north of London for 25% of its expansion by 2019, chief executive Michael O’Leary said at a briefing yesterday.
Ryanair is expanding at its biggest base after MAG agreed to trim a 6% increase in landing charges inherited with the £1.5bn (€1.8bn) takeover from BAA Ltd in February.
Ryanair accounts for more than two-thirds of the airport’s passengers and had said when the MAG deal was completed that it would cut traffic 9%.
“This sort of growth can only be delivered on lower costs,” Mr O’Leary said, calling the deal his airline’s “most transformational” for years.
“It’s indicative of the new regime at Stansted and MAG that within a period of six months of taking over, they are signing an aggressiveand dramatic growth deal.”
Ryanair will support MAG’s efforts to draw long-haul airlines to Stansted, Mr O’Leary said. “If MAG want us to meet with prospective clients we will help encourage them.
“The most obvious thing would be where long-haul passengers can connect in some way into our flights.”
Stansted could be redesigned, with one of its satellites potentially dedicated to long-haul flights offering for which services discount carriers are not willing to pay, said Stansted managing director Andrew Harrison.
Ryanair may also start working with travel agents after eschewing such arrangements to avoid complexity and costs, Mr O’Leary said.
The foray would be limited and avoid expensive booking systems used by other carriers.
The policy changes, along with a plan to update the airline’s website, come after Ryanair said earlier this month that it may miss its annual profit target after competition depressed ticket prices and a heatwave in Europe hit bookings.
