Italy’s competition watchdog has fined Ryanair more than €255 million for abusing its dominant position in the market and making it harder for travel agencies to sell its flights, a move the airline says it will fight in court.
AGCM Claims Against Ryanair
The italian Autorità Garante della Concorrenza e del Mercato (AGCM) said in its December ruling that Ryanair put in place a series of technical and contractual measures from April 2023 through at least April 2025 that made it difficult, or sometimes impossible, for online and traditional travel agencies to book its flights on Ryanair official website, especially when combined with other airlines or holiday services.
Officials said the practices included blocking agency bookings, limiting accepted payment methods for third-party sales and imposing restrictive partnership terms. The regulator said these actions reduced competition and consumer choice in the Italian travel market, weakening travel agents’ role and the wider holiday booking ecosystem.
Impact on Ryanair’s Finances
The fine has had a noticeable effect on Ryanair’s latest quarterly results. The airline reported that its profit after tax plunged by around 80% for the three months ending Dec. 31, largely because of an €85 million charge related to the Italian penalty. Net profit stood at about €30 million, down sharply from €149 million a year earlier.
Despite these numbers, Ryanair’s revenue and passenger traffic both increased over the same period, highlighting continued demand for budget travel across its network.
Ryanair has described the ruling as “baseless” and says it will appeal the decision in Italian courts. The airline argues its direct-selling model where passengers book directly on its own website helps keep fares low and offers transparency, and that previous Milan court rulings have supported this approach.
The case has drawn attention across Europe because it could shape how airlines, travel agents and online platforms work together in the future. Regulators say they are stepping up scrutiny of dominant companies’ distribution strategies to protect competition and consumer choice.
More details are expected as Ryanair challenges the ruling in court.
