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Europe's low-cost airlines could have the edge in a post-Covid world - CNBC
Sep 16, 2021 57 secs

LONDON — European low-cost airlines have clear advantages over larger flag carriers in a post-pandemic world, analysts have told CNBC, despite the massive support packages deployed from governments around the world.

"You are seeing legacy carriers unable to move so quickly compared with the lost-cost carriers out of the pandemic," Paul Charles, chief executive officer of the luxury travel consultancy firm The PC Agency, told CNBC's "Squawk Box Europe" Monday.

However, easyJet, a British low-cost carrier, said it expects to fly up to 60% of its 2019 levels in the three months between July and September.

Laura Hoy, equity analyst at Hargreaves Lansdown, said that low-cost airlines benefit from being focused on short-haul flights.

This is despite the massive injections of cash that different governments made in the wake of the pandemic to flag carriers, namely the 9 billion euros ($10.6 billion) that the German government gave to Lufthansa.

"I think you will see some loosening over time, especially in Europe, of some of these restrictions on who can own carriers, so now is the time that actually you will see more private equity starting to emerge into the sector.

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