2500 job losses expected
Ryanair has today (July 21) announced a capacity cut at London Stansted of 40% this winter, a move expected to result in around 2,500 job losses.
Stansted, one of the airline's two largest UK bases along with Dublin, will see the number of aircraft drop from 40 in the summer to 24 this winter.
Ryanair will also cut its weekly flights out of the London airport by 30% from October.
Michael O'Leary, Ryanair's ceo, said calls urging Stansted to reduce its airport charges had fallen on deaf ears.
Mr O'Leary said a letter had been sent to the airport's operator BAA asking it to cut its £15 per passenger charge or risk losing Ryanair flights.
Stansted Airport's managing director Stewart Wingate said it would be "business as usual" come the winter despite Ryanair's announcement.
He added: "It is common practice for them to reduce frequency to various destinations during the winter season as they have done in previous years. We have factored this potential outcome into our latest passenger forecasts."
Mr Wingate pointed out a recent announcement made by Ryanair of a new service from Stansted to Oslo to start this October.
Ryanair is expected to move its aircraft to other bases in Spain and Italy where airport charges are lower and there is no government imposed air passenger tax.
The Irish low cost carrier is also in discussions with other regional UK airports keen to become new Ryanair bases, Mr O'Leary said.
But Mr O'Leary admitted the 40% figure was not like-for-like as it compared the 2009 summer and winter timetables.
Ryanair operated 28 aircraft out of Stansted during the last winter season in 2008. Year-on-year the reduction in capacity stands at 14%.
Mr O'Leary said Stansted stands to lose 2.5 million passengers over the next six months.
Job losses at Stansted are expected to reach 2,500 based on a figure of 1,000 jobs per million, Mr O'Leary said.
Around 2,000 Ryanair staff are currently based at Stansted some of whom will also lose their jobs as a result of the cuts.
Mr O'Leary said: "Sadly UK traffic and tourism continues to collapse while Ryanair continues to grow traffic rapidly in those countries which welcome tourists instead of taxing them.
"Ryanair's 40% capacity cutback at London Stansted shows just how much Gordon Brown's £10 tourist tax and the BAA monopoly's high airport charges are damaging London and UK tourism and the British economy."
Mr O'Leary once again called on the UK government to follow the Dutch and Spanish example and abolish its "suicidal" £10 air passenger duty (APD).
Ryanair's plans to introduce standing room on its aircraft are progressing well with discussions with aviation safety regulators continuing, Mr O'Leary said.
Mr O'Leary estimated an extra 100 passengers could be fitted into each aircraft.
He said his passengers would statistically be in no more danger than if standing on a bus or the London underground.
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