European airlines are facing a dual crisis as the Iran war disrupts jet fuel supplies and pushes ticket prices to record highs, with long-haul fares from Europe rising by an estimated $105 (90 euros) per flight since the conflict began.
The surge in fuel costs stems from the near-closure of the Strait of Hormuz, through which approximately 75% of Europe’s jet fuel supply flows, according to The Independent. This has driven jet fuel prices from $85–90 per barrel to $150–200 per barrel in recent weeks, a cost increase that airlines say constitutes up to a quarter of their operating expenses.
Transport & Environment (T&E) warned that Europe could be weeks away from actual jet fuel shortages, citing accelerated refinery closures over the past decade and declining local output as structural vulnerabilities exposed by the war. Fatih Birol of the International Energy Agency stated last week that Europe has “maybe six weeks or so” of remaining jet fuel supply, with Northwest Europe particularly exposed as U.S. Cargoes increasingly divert to Asia.
UK airlines, represented by Airlines UK, have urged the government to classify fuel-related cancellations as “extraordinary circumstances” to avoid compensation payments, suspend Air Passenger Duty, and temporarily pause major emissions trading schemes. They similarly requested relaxed night flight rules and flexible slot allocations at busy airports to prevent losing valuable takeoff and landing permissions if operations are curtailed.
For more on this story, see IEA Warns Europe Faces Jet Fuel Shortages Within Six Weeks.
The Department of Transport countered that UK airlines are not currently seeing a jet fuel shortage, emphasizing ongoing contingency planning with suppliers and international partners to maintain passenger and business flows while prioritizing de-escalation of the conflict and reopening the Strait.
Meanwhile, airlines across Europe are already acting: Air France-KLM plans to raise long-haul ticket prices by 50 euros ($58) per round trip, while KLM will cancel 160 European flights next month due to rising fuel costs. AirAsia X has cut 10% of its flights and added a 20% fuel surcharge, and Air Canada is trimming four daily Fresh York flights from June to October 2026.
The crisis has reignited debate over Europe’s energy independence, with T&E arguing that fossil fuel dependency—not climate regulations—is the sector’s greatest vulnerability. The group contends that weakening legislation like the ETS and ReFuelEU would deepen exposure to oil shocks, advocating instead for strengthened measures to build resilience.
This follows our earlier report, UK Holiday Demand Surges Amid Flight Costs and Uncertainty, Industry Data Shows.
How much have long-haul flight prices increased due to the Iran war?
Long-haul flight fares from Europe have risen by an estimated $105 (90 euros) per flight since the outbreak of the war, according to Transport & Environment.
What specific actions are UK airlines requesting from the government to cope with fuel disruption?
UK airlines are asking for fuel-related cancellations to be classified as “extraordinary circumstances,” for Air Passenger Duty to be cut or suspended, for a major emissions trading scheme to be temporarily paused, and for relaxed night flight rules and flexible airport slot allocations.
Are European airlines currently experiencing a jet fuel shortage?
The Department of Transport states that UK airlines are not currently seeing a jet fuel shortage, though industry groups warn that Europe could be weeks away from actual supply depletion amid declining imports and structural refining constraints.