RYANAIR is threatening to pull some of its existing services from Shannon, unless the Government scraps its €10 travel tax.
The airline claims it has lost money on each of its last five years at Shannon, and have entered into discussions about the terms for an extension to its current agreement.
Ryanair have three aircraft based at the airport, and have warned this might now be reduced to one, to service their London route.
They have confirmed that they are willing to continue to base aircraft and deliver substantial passenger numbers and jobs at Shannon if the €10 tourist tax is removed on or before February 1, 2010, and if Shannon Airport extends Ryanair’s cost base on a competitive basis for a further 5 year period.
However, if the Shannon cost base is not extended, or if the Government’s €10 tourist tax is not removed, then Ryanair say it will reduce its Shannon base by 75% to one based aircraft, which will largely operate the London and some UK provincial routes, guaranteeing just 50 jobs, and 300,000 passengers per annum.
