EASYJET has warned holidaymakers to book their summer break as soon as possible amid fears of huge price hikes.
The airline chief has said the cost of holidays during peak months is expected to surge due to the ongoing Iran conflict.
Kenton Jarvis, the chief executive of easyJet, has advised anyone wanting to go on a summer holiday to book one now before they get too expensive.
He told The Telegraph: “I think the message would be to book as soon as possible, because that will start feeding in at some stage.
“My expectation is that prices go up. The industry has no choice. We make about £7 a seat and if fuel goes up by £10 then you do something about that.
“You’re not going to take an extra £10 of costs and just sit there and do nothing.”
At the moment, most UK airlines won’t be affected because of hedging – essentially a fixed price for oil – which is keeping prices stable.
Depending on the length of time that the Iran conflict continues and if the Strait of Hormuz remains closed, there could be price hikes in the coming months.
This in turn will see airlines having to put up their fares for passengers.
Mr Jarvis said that he expects easyJet to be “good for three weeks.”
Meanwhile, Ryanair boss Michael O’Leary said that he doesn’t expect disruption as long as the ongoing conflict ends “in the next month or two.”
Unlike these airlines, US carriers aren’t hedged which has resulted in the rise in fare prices already.
Willie Walsh, director general of the International Air Transport Association (IAG) who owns British Airways, explained that fares across the North Atlantic are set to jump up.
Talking more on the issue, he said that due to the price increase of US airlines, “competitors at the other end will match the price increase. It’s the nature of the industry.”
Some airlines have already put the price of their fares up, or are preparing to.
AirAsia said it would temporarily raise ticket prices but said it would be revising fares at a later date.
Thai Airways said it expects tickets to go up by 10 – 15 per cent, while Qantas also said it would increase prices depending on the route.
And Scandinavian airline SAS has introduced a “temporary price adjustment”.
Air New Zealand has increased prices of its flights in response to rising fuel costs as well.
Domestic flights were going up by $10 (£4.37) one way, short haul by $20 (£8.74), and long haul $90 (£39.35).
For more on booking a summer holiday, here’s why you should head to Spain and Greece.
And here are six of the best holiday destinations to book for some quick Vitamin D including 28C Spanish islands.