British Airways ups fuel surcharges
Tuesday, 22 March 2005British Airways today raised its fuel surcharges to £16 sterling from £10 on long flights and to £6 from £4 on short trips.
'British Airways is to increase its fuel surcharge on all flights from Monday, March 28 as a result of continuing record oil prices,' the airline said in a statement.
'Our fuel bill next year is expected to be an extra £300m. With prices continuing to rise, a surcharge increase is regrettably unavoidable,' Martin George, British Airways' commercial director, added.
This is the third time that British Airways has increased the 'fuel tax', first introduced in May 13, 2004 to offset the
effects of rising oil prices. It has since increased twice in August and October.
World oil prices have now more than doubled since early 2002 and reached historic high points last week as the markets worried about whether crude oil supplies would be adequate to meet surging global demand.
New York's main contract, light sweet crude for delivery in April, jumped to a fresh historic record of $57.60 a barrel last Thursday. And in London the same day, the price of Brent North Sea crude oil for delivery in April peaked at $56.15 a barrel - the first time it has ever broken the $56 barrier.
The former Aer Lingus boss, Willie Walsh, will start as Chief Executive Designate of British Airways in May. He replaces Rod Eddington, 55, who is due to retire at the end of September.
