Flybe demise shows value of island firms
DESPITE being on the radar for months, if not years, the rapid demise of Flybe yesterday still came as a shock.
Passengers had little time to react. They woke to find their flights were not leaving the ground.
Thanks goodness, the island’s airlines, Blue Islands and Aurigny, were well-informed and well-prepared.
Even before Flybe’s lurch into administration was confirmed they had announced rescue packages to ensure islanders and visitors got home or to their destinations.
Their swift actions earned people precious time and saved much heartache. It will also have won them many new friends.
The next few days will be equally critical. Blue Islands has to cope with the sudden loss of its franchise partner and reposition itself as a standalone business.
And both Aurigny and Blue Islands must decide which of Flybe’s routes they wish to take over.
Such questions are made more complicated by the advance of the coronavirus Covid-19, which is forcing businesses to tell staff to travel only when essential and persuading some leisure travellers to re-think that holiday in the winter sun.
An otherwise profitable route may be nothing of the sort at this time. If the threat level of the virus increases over the coming months it might be disastrous to launch a new route.
On the other hand, the airlines will want to get in quickly to stop their island rival or a newcomer getting a foot in the door.
There are no easy or certain answers.
Nor is there any comfort for the staff of Flybe, who have endured a rollercoaster few months as the consortium which bought the business failed to show it had a plan for reviving the ailing giant.
With luck, some will find employment with other airlines but, again, that is far from certain.
Finally, the demise of Flybe casts yet more doubt on the States decision to invest heavily in subsidising Guernsey-Heathrow. There can be little value in starting up a route and paying dearly for it only to see it fold overnight.
Once again, the fickle nature of the airline business has cost the States in every aspect.
Once again, the two airlines based here look too valuable to lose.