Airlines are starting to hike up their flight prices as jet fuel supplies dry up amid the ongoing conflict in the Middle East.
Donald Trump dramatically washed his hands of the crisis and told the UK to ‘go get your own oil’ today as the strategic Strait of Hormuz remains blocked.
The US President insisted via a scathing social media post that he had already done ‘the hard part’ in launching the war against Iran on February 28.
Trump has maintained the US has ‘plenty’ jet fuel, but airline bosses say firms are facing an ‘existential challenge’ with depleting supply pushing up the cost of flying.
Meanwhile, a higher demand for journeys avoiding the war-torn region means more layovers and, as such, high prices.
And experts also anticipate more expensive tickets will continue for months, even if the conflict dwindles.
Rigas Doganis, the ex-boss of Olympic Airways in Greece, said air firms were facing an ‘existential challenge’ amid the ongoing crisis in the Middle East.
‘They will need to cut fares to stimulate weakening demand while higher fuel costs will be pushing them to increase fares. A perfect storm,’ he added.
Budget US airline has already increased its baggage fees by around £6,80 from its previous minimum charge of $35 (£26.50) for a single piece of luggage.
Baggage now costs $39 (£29.50) for off-peak flights, including $10 (£7.60) in savings, on the carrier’s website.
During peak times, the price starts at $49 (£37.10), up from the previous $40 (£30.30) – a $9 (£6.82) increase.
Meanwhile, JetBlue has boiled down the change in prices to ‘rising operating costs’.
A JetBlue spokesperson saidl: ‘As we experience rising operating costs, we regularly evaluate how to manage those costs while keeping base fares competitive and continuing to invest in the experience our customers value.
‘Adjusting fees for optional services used by select customers, such as checked baggage, allows us to continue offering more competitive fares while delivering the onboard experience our customers love, including complimentary snacks and drinks, unlimited, high-speed Wi-Fi and seatback entertainment screens.
‘While we recognize that fee increases are never ideal, we take careful consideration to ensure these changes are implemented only when necessary.’
It comes as Iran war has continued to wreak havoc on the aviation industry, and the UK could soon be experiencing a jet fuel shortage.
The last known shipment of jet fuel to Britain from the Middle East is expected to arrive within 48 hours amid alarm over shortages within a week.
Data providers Kpler and Vortexa say the consignment on the Libyan-flagged Maetiga vessel is expected to reach the UK from Saudi Arabia on Thursday.
The blockage of the Strait of Hormuz due to the ongoing conflict means no other cargoes heading to the UK from the region can be seen on the water, they added.
The UK is currently sourcing at least half its jet fuel from the Middle East amid a fall in domestic refining and a halt on Russian imports since the Ukraine invasion in 2022.
About 40 per cent of Europe’s jet fuel comes via the Strait of Hormuz, which is nearly completely closed.
The UK receives supplies direct from the Middle East while additional supplies come in indirectly, especially via Belgium and the Netherlands.
Industry experts now fear the supply issues could have a major impact on airlines from the end of next month if the Iran war continues, the Financial Times reported.
Jet fuel was $4.24 (£3.21) a gallon last Thursday, compared with $2.50 (£1.89) just before the first US-Israeli strikes on Iran, according to the Airlines for America group.
Aviation analyst Alex Macheras said the US Jet Fuel Index was up 72 per cent in one month since the war began, which was ‘massively outpacing even brent crude’s rise’.
Meanwhile, the UK received a jet fuel cargo from Nigeria at Milford Haven in Pembrokeshire yesterday, as the Government maintained Brits should book their holidays as normal and not fret about supply issues.
However, Prime Minister Sir Keir Starmer is set to hold another emergency Cobra meeting today following Trump’s most recent social media statement, as Brits starting begin to feel the impact of the turmoil in their pockets.
Diesel and petrol prices are running at the highest levels since 2022, and projections this morning suggest typical energy bills will increase by £288 in July when the cap next changes.
Food costs could also surge as fertiliser supplies are choked off, and the region is a huge source of aluminium.
Countries such as Australia, Spain and Poland have responded by temporarily cutting fuel duty at the pumps.
However, there is no sign that significant Government support for motorists or households is imminent, despite the Treasury getting a windfall from higher taxes on energy.
Some cruise lines are also feeling the impact, and two Asia-based lines have implemented new fuel surcharges to cope with the mounting financial pressure.
StarCruises and Dream Cruises, both under the Resorts World Cruises brand, launched the new surcharge earlier this month.
For bookings from 20 March 2026 onwards, the new fees will apply.
The cruise lines said: ‘Due to recent geopolitical developments in the Middle East, oil prices have increased significantly, leading to higher fuel and related costs for Star Navigator, Star Voyager and the Genting Dream.
‘As a result, a fuel surcharge will be introduced for new bookings made on or after 20 March 2026.
‘This surcharge is determined based on the operating requirements of each ship and itinerary; and may therefore vary across our fleet.’
They added: ‘This surcharge will be reviewed in line with fuel price movements and may be adjusted downward if prices ease or revised for new bookings should prices continue to rise.
‘We appreciate your understanding as this measure allows us to continue operating our sailings while maintaining the quality of service and experience our guests expect.’
The exact cost will vary depending on the vessel and departure point.
Meanwhile, earlier this month, one major European carrier made the first move in cutting back its flights because of the situation in the Middle East.
Scandinavian Airlines System (SAS), based in Stockholm, announced it would be cancelling some routes due to the ‘sharp and sudden increase’ in the cost of jet fuel.
Hundreds of flights operated by the flag carrier for Sweden, Denmark and Norway are said to be scrapped.
A spokesperson told the Daily Mail: ‘Given the ongoing situation in the Middle East, including the sharp and sudden increase in global fuel prices, we, just like many other airlines, have taken measures to strengthen our resilience.
‘This includes a limited number of short‑term adjustments to our traffic program during March and April.
‘We are consolidating capacity on departures where there are good same‑day alternative connections, in order to maintain reliable travel options for our customers.’
The cutbacks are reported to mostly impact shorter routes within Scandinavia, where alternative travel options can replace the journeys, according to The Telegraph.
SAS added that affected customers are being informed and are being offered ‘rebooking to other departures’.
‘Our aim is always to provide clear information as early as possible and to offer practical same‑day alternatives wherever feasible,’ the airline continued.
The carrier explained it did not know the ‘exact number of cancellations, as this depends on the evolving situation, nor specific routes’ but were ‘keeping the adjustments as limited as possible and focused on routes where customers can be rebooked the same day’.
‘The decision to make these short‑term adjustments is about acting early in response to a global cost shock that is affecting the entire industry,’ the spokesperson added.
‘Aviation plays a central role in connecting people and enabling global trade. In such a volatile environment, it is responsible to act early, adjust capacity to the circumstances, and at the same time safeguard reliable connections for our passengers.’
