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Virgin Atlantic to quit Australia, says Sydney flights ‘unprofitable’

Virgin Atlantic will cease flying to Sydney from May 5, blaming “increasing costs and a challenging economic environment” for its withdrawal from Australia.

The carrier will maintain services between Heathrow and Hong Kong, from where it currently flies on to Sydney.

Virgin Atlantic said: “The [Sydney] route is no longer considered profitable.” The airline is consulting affected staff in Sydney and Hong Kong.

Chief executive Craig Kreeger said: “These are still difficult times for the airline industry and we need to deploy our aircraft on routes with the right level of demand to be financially viable. Increasing costs and a weakening Australian dollar have affected our profitability.”

Virgin’s last flight to Sydney will operate on May 4 and the return to Hong Kong on May 5.

It advises passengers booked to fly after May 5 to contact the airline or their agent. Virgin said: “We’ll discuss all options and will consider a full refund or rebooking passengers on another carrier.”

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