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BA working on low-frills fare structure

BRITISH Airways is believed to be working on a new
fare scheme based on models used by low-cost carriers.

BA consulted business and leisure agents at Waterside
last week on fare proposals that could see prices rising or falling nearer the
date of departure depending on the amount of seats sold.

Low-cost carriers work on the basis that the earlier
the passenger books, the cheaper the seat is. Prices rise nearer the flight
date and vary according to the number of seats available.

An industry source said: “It’s going to be pretty
revolutionary for BA, positioning the carrier somewhere between where it is at
the moment and the low-cost carriers.”

A BA spokeswoman declined to reveal details of the
structure – to be introduced on June 1 – but said it would be “simpler and more
flexible”.

BA chief executive Rod Eddington has already admitted
that he wants to “adopt what the no-frills airlines do well” and simplify
fares.

* ABTA has confirmed it will take its case against BA
to the Office of Fair Trading later this month.

 

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