Claim that Ryanair makes €27m from no-show passengers

RYANAIR are pocketing up to €27 million from airport charges and government taxes paid by passengers who don’t make their flights, it was claimed yesterday.

The allegation has sparked another war of words between the low fares airline and the airport management company Aer Rianta.

Almost 900,000 people booked flights with Ryanair last year but then didn’t show up for their flights.

But Aer Rianta estimate that these passengers have already paid an average of €30 in charges on return flights and this money is not refunded. As the passengers have not travelled the money is not passed on to the respective airports and is retained by the airline.

Last night Ryanair scoffed at the accusations and hit back at Aer Rianta.

“This is just Aer Rianta trying to spread misinformation about its customers, including Ryanair and Aer Lingus, the week before the eport on the future of the 2nd terminal. The break-up of the Aer Rianta monopoly is due,” a spokesperson said.

Aer Lingus said last night that it did refund the charges to passengers who didn’t travel after booking flights.

Yesterday Aer Rianta chairman Noel Hanlon said that between airport charges, Government taxes and insurance, about €30 would be paid on a return flight to Britain.

At a Dáil Transport committee meeting, Fianna Fáil TD Eoin Ryan calculated the airline was earning up to tens of millions from no-show passengers.

“You could say Ryanair are making €27 million from people buying tickets and not travelling,” he said.

“You could say that, but we can’t,” Mr Hanlon replied.

Free seats make a lot of money, Mr Hanlon said, as many people book cheap flights when the offers are advertised but don’t bother to fly.

Last night Deputy Ryan challenged Ryanair to state exactly how much money it makes annually on no-show passengers.

Defending its position, Ryanair said that terms and conditions state that bookings are non refundable but can be changed three hours before departure.

“All consumers are made aware of this condition, and agree to it as a condition of each low fare booking they make with the airline,” he said.

Also at the committee meeting, Aer Rianta expressed concern about the limits placed on its investment plans by the Aviation Regulator.

The company is taking the regulator to court over the decision to cap aviation revenue at Dublin airport and only allow for €346 million of capital expenditure to be recovered from airport charges while the plan is to spend €1.3 billion.

“In our opinion that is the most serious operational problem the airport has,” Mr Hanlon said.