European airline stocks have tumbled after Britain reimposed coronavirus quarantine on people arriving from France, in a new blow to already dented recovery hopes for the sector.

EasyJet fell 7% in early trading, with British Airways parent IAG and Air France-KLM almost 6% lower and budget carrier Ryanair down 4.7%.

It comes as the United Kingdom said it was adding countries including France, the Netherlands and Malta to its quarantine list.

Tour operator TUI was down 5.5%, with French hotel group Accor and Channel Tunnel operator Getlink also lower.

The move, which affects some 160,000 British holidaymakers currently in France according to official estimates, will take effect on Saturday.

It comes a day after airlines lowered their European traffic outlook, with the International Air Transport Association predicting a 60% decline in passenger numbers for 2020 after a summer that has fallen short of recovery hopes.