Low cost airlines hit Iberia business

The Spanish airline Iberia is planning to cut a range of routes from its schedule because of fierce competition from Ryanair.

The airline's chief executive, Angel Mullor, said recently routes that did not pass through Madrid, the airline's hub, would have to be reviewed in the light of competition from Ryanair and Easyjet.

Iberia said routes that did not pass through Barajas airport were increasingly hard to justify because of three airlines: Ryanair, Easyjet and Monarch air, which all have a large presence in the country.

According to Iberia's own estimates, 50 per cent of short and medium flights in Spain are now controlled by the low cost carriers. Because of this development, Iberia is shifting its emphasis to long haul operations. A similar trend is noticeable at British Airways too.