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Flybe to start Avios-earning services to Heathrow in March 2017?

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According to reports in The Scotsman, Flybe is about to announce flights to Heathrow from Edinburgh and Aberdeen.

This is not as crazy as you might think, because the cost to Flybe is limited.

We need to go back to the acquisition of bmi British Midland by British Airways in 2012.  As part of the competition remedies put in place at the time, BA had to make certain Heathrow landing and take-off slots available to allow competing services to launch to Edinburgh and Aberdeen.

Flybe 350

Virgin picked up these slots and launched its ill-fated Little Red services.  These were well-run flights (I reviewed one here) but hampered by the costs of wet-leasing aircraft and crew from Aer Lingus.  A lot of the passengers towards the end were Head for Points readers who were attracted by being able to status match their BA card to Virgin Flying Club if they took one Little Red flight ……

Little Red was closed last Autumn.  The Heathrow slots reverted to British Airways but had to be made available if a new competitor came forward who wanted to run flights from Edinburgh and/or Aberdeen.  And here comes Flybe …..

If the reports are accurate, the Flybe services will begin in March 2017.  The Little Red flights went from Terminal 2 at Heathrow and it is likely that the Flybe services will go there – which means that the excellent Plaza Premium departure lounge will be available for anyone with a Priority Pass.  Only Terminal 2 and Terminal 5 are set up to cater for domestic passengers.

Don’t forget that you will be able to earn and redeem Avios on these services as Flybe uses Avios as its loyalty programme.  Because Flybe awards Avios based on £ spent, it is likely that non-status BA passengers would earn more Avios on pricey peak time flights on Flybe than they would on BA …..  This article outlines how to earn and spend Avios on Flybe.

Can Flybe make a go of this where Virgin failed?

It is possible they don’t care.  Here’s why.

This is what the European Commission said when it ruled on the BA / bmi divestments originally:

As a general rule, the slots obtained by a prospective entrant must be operated on the city pair(s) for which they have been requested from IAG and cannot be used on another city pair unless the prospective entrant has operated them during at least six full consecutive IATA seasons (“the Utilisation Period”). The prospective entrant would be deemed to have grandfathering rights for the slots once appropriate use of the slots has been made on the city pairs at issue, for the Utilisation Period. Once the Utilisation Period has elapsed, the prospective entrant would be entitled to use the slots obtained on the basis of the Commitments exclusively to operate services on any route connecting London with any other part of Europe (including Aberdeen and Edinburgh), or on London-Moscow, London-Cairo and London-Riyadh.

Assuming that the above rules are still in place, if Flybe runs these services for three years it can close down the routes and retain the slots.  These slots could only be used for flights to Europe, Moscow, Cairo or Riyadh which is why Virgin did not bother to stick it out.

For Flybe, however, the attraction of being able to pick up some very valuable Heathrow slots  and being able to cherry pick which European cities it flies to (once the three years is up) may have been too good to resist.

Comments (58)

This article is closed to new comments. Feel free to ask your question in the HfP forums.

  • BA says:

    Very odd Virgin didn’t use the slots for 3 years and keep them themselves. Can’t imagine they were keen to give them to BA.

    • Rob says:

      They could only be used for Europe, Cairo, Riyadh or Moscow though – not exactly core VS routes under Delta ‘ownership’.

  • Will says:

    Flights will operate into terminal 2. Other than terminal 5 it is the only terminal that can handle domestic flights.

  • AH says:

    Worth noting that Flybe has for the last few months been offering a service from Cardiff to LCY

  • the real harry says:

    great news – caveat being Flybe are useless at crediting Avios plus you only get a 10 day slot in which you are able to appeal for missing Avios

  • AG says:

    Or, alternatively, keep them and the service ticking along for three years and then flog the slots to the highest bidder when thy finally become yours! Didn’t SAS sell a pair of slots for $20m last year?

    • Rob says:

      Oman Air paid $76m for the Kenya Airways slot last year – and there was some other non-cash stuff thrown in too which arguably took it towards $90-100m.

      • James67 says:

        Presumably there must be a restriction on selling them though otherwise Virgin would presumably have held out and done the same?

        • Rob says:

          No restriction.

          Selling slots is actually not allowed. What happens is that Oman Air, or whoever, applies for a take-off slot at some impractical time (a few Heathrow slots are available but not at times that suit anyone). They then ‘swap’ that slot – plus $76m plus some other favours – for the Kenyan Airways slot. Kenyan Airways fails to use its new slot and then forfeits it under the slot rules.

          Virgin has slots it doesn’t use. It is a little known Heathrow secret that BA is actually running services out of Heathrow using slots owned by Virgin but which have been loaned to BA. A lot of the moaning you see in the press about slots in just posturing. Similarly, BA sold a slot to Qatar a couple of years ago – IAG found the money too tempting.

          • Monopolies commission says:

            Interestingly Croatian Airlines have been prevented by their government from disposing of their Heathrow slots…

          • James67 says:

            So why did Virgin not hold on for the cash; were they losing even more than the slots were worth? That seems incredible to me given what slots ‘sell’ for.

          • Rob says:

            Why did no-one buy BMI? An investment fund could have bought BMI (admittedly the pension fund was a major issue) and liquidated the slots slowly over a number of years.

  • Anon says:

    I’d prefer FlyBE to resume flying to LGW from ABZ, they pulled that route a few years ago, more useful for leisure travelers

  • Anon says:

    Depending on the flight times this also opens up opportunities to link with Virgin Atlantic via the new code share. That could prove useful for linking to the regions, that said I hope other connections are smoother than mine with Virgin & FlyBE last wknd…. (War story coming)

    I was delayed 6 hours in MAN last week, inbound VS74 cargo doors froze and then further mechanical issues, so couldn’t get luggage off for over an hour, missed onward FlyBE connection.

    I had to rebook the FlyBE at personal expense as sadly my VS booking was booked before the code share was announced, ironically I did later ask VS FC if my flight could be converted to use the code share but it was a “Computer says No” moment, would meant rebooking at risking losing the redemption availability.

    Awaiting their customer feedback, which I’ve found in the past to be pragmatic and considerate, I’m hoping they show goodwill to encourage me to try the code share now that its operational, might Aviod MAN tho, T2 to T3 is a fair trek, even without bags, all the travelators were being repaired….!

    • Alan says:

      Could they book a codeshare on a redemption ticket though? I know that SQ couldn’t with Little Red, even though on a paid ticket it was possible.

    • Lady London says:

      EU261?

  • David says:

    Good luck trying to get Flybe to award you avios!

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