finance

Coronavirus: Virgin Atlantic to seek bailout in coming days


Tail of Virgin aeroplane displaying the Virgin logoImage copyright
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Virgin Airlines has seen passengers numbers slump as countries close boarders and enact travel bans

Virgin Atlantic is expected to ask for a government bailout worth hundreds of millions of pounds in the coming days, the BBC understands.

Requests for state aid are also expected from other airlines.

The Government has said it will only step in to help struggling airlines “as a last resort” and on a case-by-case basis.

UK-based airlines have already announced measures to save money such as temporarily laying-off staff.

Virgin Atlantic had previously suggested the Government offer UK carriers £7.5 billion in credit facilities.

The airline’s founder Sir Richard Branson this week offered to inject £250 million into the Virgin Group, with most of that amount going to the airline.

The vast bulk of flights to and from the UK have been grounded amid the coronavirus pandemic.

Some airlines like British Airways are still operating a number of rescue flights to bring stranded Brits home.

The US Senate on Wednesday passed a $58 billion (£46.6 billion) aid package for its airline industry, which included cash for paying pilot, crew and staff salaries.



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