In the past, airfares have been high, and international travel was the privilege of the few. However, over time, as incomes increased and expectations grew, air travel became more commonplace. Minus a blip during the COVID years, air travel has been increasing in recent years. According to the International Air Transport Association, passenger growth in air travel in 2024 increased by 10.6% with a further 5.8% growth in 2025.
Recent Increases in Air Fares
More recently, in the United Kingdom, inflation for the past year to July 2025 has increased by 3.8%. This rise has largely been put down to hikes in airfares over the school summer holiday period. The increase in airfares has soared by a very significant 30.2%. Food prices, the usual driver of inflation, also rose, but this time by 4.9%. This was still high, but not nearly as high as air ticket price increases.
The reason for the surge in airfares this year, according to the Office for National Statistics (ONS) Chief Economist Grant Fitzner, was due to the fact that the timing of school summer holidays was different this year when compared to last. Airfares in 2024, according to Fitzner, also increased, but by a lesser 13.3%. According to a report from the ONS, the summer holiday this year fell earlier in July, which meant that it coincided with returning European flights, which in 2024 fell in term time. Based on ONS data as a result of increased demand, prices soared in 2025.
Long-Term Increase in Air Fares
In addition to more recent issues, there have also been long-term stresses on the industry, which may have contributed to airfare increases. Due to the Russian invasion of Ukraine and subsequent sanctions on Russian oil and gas, fuel prices increased and have remained stubbornly high. According to the IATA, fuel costs as a percentage of expenses rose to 31.8% in 2023 when compared to 23.9% before the pandemic. It has since come down to 25.8% in 2025, which means that there is scope for a reduction in ticket prices later on, presumably as other sources of fuel are found.
There are, however, other aspects of the Russian invasion that are not so easy to mitigate. The war there means that planes have had to take longer routes and detours to avoid Russian and Ukrainian airspace. To make matters worse, there are also conflicts in the Middle East which have forced even more diversions and detours. All of this adds cost in itself due to longer flight times and therefore fuel costs, as well as staff time and wear and tear of planes and other equipment.
As one can see, therefore, tough times for the aviation industry itself have meant that airfares have gone up. The popularity of air travel means that this has had an impact even on inflation in the United Kingdom. We hope that airfares come down so that more people can enjoy the benefits of air travel. We have to wait to see how this progresses.
