Blue Islands Collapse, Airline Collapse Leaves Passengers Stranded, Staff Jobless

Regional Airline Ceases Operations After Government Withdraws Support

Jersey-based regional carrier Blue Islands has abruptly ceased all operations after the Jersey government confirmed it could no longer offer financial assistance to the struggling airline. The sudden collapse announced on November 14 left more than 1,000 passengers stranded across routes and approximately 100 employees without jobs. This development highlights the ongoing challenges facing regional aviation sectors, particularly in the post-pandemic economic landscape where several airlines continue to face financial instability.

Competing Airlines Launch Rescue Operations for Stranded Travelers

In response to the crisis, rival airlines Aurigny and Loganair quickly mobilized to provide alternative travel options for affected passengers. Loganair announced it would commence new services connecting Jersey to Guernsey, Exeter, Bristol, and Southampton starting November 16. Simultaneously, Aurigny expanded its flight schedule to include additional services between Southampton, Guernsey, and Jersey. Both carriers introduced special rescue fares to accommodate displaced travelers at reasonable rates, demonstrating an industry effort to mitigate the disruption caused by Blue Islands’ collapse.

Financial Struggles and Government Support Limits Revealed

The airline’s failure underscores the precarious nature of regional air connectivity, particularly for island communities. Blue Islands had previously received an £8.5 million loan from the Government of Jersey during the COVID-19 pandemic, with £7 million reportedly still outstanding as of August. Jersey’s Treasury Minister Elaine Miller expressed regret about the situation but emphasized there were limits to how much public money could support a private enterprise. Consumer advocates like Carl Walker, chairman of the Jersey Consumer Council, described the situation as “diabolical” for both travelers and businesses reliant on these air connections.