Ryanair has said that a Government “subsidy” for Flybe “cannot comply with competition and state aid laws”.

Flybe, Europe's largest regional airline, is at risk of collapse, according to a report.

The operator of the Aer Lingus Regional route network has said it intends to play a leading part in further consolidation among Europe's smaller airlines despite losses mounting in its latest financial year.

Passengers travelling to and from Aberdeen, Belfast, Cardiff, London Southend and Southampton were among those affected.

Shares in struggling British regional airline Flybe soared as much as 115% after it said it had received an alternative financing offer aimed at keeping it in business.