BMI will terminate its Heathrow to Jersey service as of March 28.
The decision has been made due to the ongoing credit crisis and the additional costs which have accompanied it.
BMI Mainline managing director Peter Spencer said: “It is with a heavy heart that we have had to make the decision to terminate our Jersey to Heathrow operation.
“The association of BMI with Jersey goes back decades, and it is a relationship we are very proud of.
“Despite efforts to modify its efficiency through the introduction of smaller aircraft, we see little prospect of profitability being achieved in the foreseeable future.”
BMI Baby, the airline’s low-cost subsidiary will continue to offer unchanged services to Jersey from East Midlands, Birmingham, Cardiff and Manchester airports.
Jersey Tourism director David de Carteret said: “The announcement that BMI is to suspend its Heathrow route to Jersey will cause great sadness across the island. Both BMI and ourselves worked hard to keep the route open but current market conditions have prevailed.
“However we can draw comfort from the knowledge that with the excellent services from the other London airports including London City, Luton and Stansted, plus ten flights daily from two carriers from Gatwick and seasonal services from over 25 regional airports across the UK, the market is going to be extremely competitive.”
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