Air surcharges soar (by more than 100%) - Valerie Elliot and Christine Buckley
Virgin Atlantic is imposing new charges today and, from Tuesday, British Airways long-haul passengers will have to pay euro 275.00 (US$ 428.00) on top of the ticket price simply to cover the cost of fuel. Other airlines, struggling to cope with fuel bills but wary of raising ticket prices for fear of losing customers, are introducing new fees for services, such as baggage handling, more leg room and even a window seat. The BA increase, the second in a month, means that a family of four booking a trip to the West Coast of America on Tuesday will have to pay euro 303 ( US$ 401) more than they would have done yesterday. Shorter flights will also cost more, but those who have booked and paid for their trips before will escape the extra charges.
Note EU-Digest: As of May 23, 2008, jet fuel prices were up nearly 98 percent from May 2007, according to the International Air Transport Association. To put this into perspective, fuel now makes up roughly 40 percent of the ticket price of most airlines, up from 25 percent last year, according to the Air Transport Association.
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