Loganair, the UK’s largest regional airline, has been operating in the Highlands and Islands for an impressive 60 years. Recently, I had the opportunity to speak with CEO Luke Farajallah about the challenges and opportunities the airline currently faces.
Mr. Farajallah expressed concern about the sustainability of one of the key air routes for NHS patients, specifically the flights between Inverness and Stornoway, which have been struggling with low passenger numbers. He emphasized that discussions with the Scottish government are crucial to secure funding for these routes. “We need to ensure that we can continue to provide these essential services,” he stated.
On a more positive note, he mentioned that patients relying on Loganair for access to medical appointments in Scotland’s cities are in a better situation now, thanks to the elimination of certain underperforming routes for enhanced reliability. Additionally, services catering to the oil and gas industry in Aberdeen and Shetland continue to perform well amidst discussions of a potential economic downturn.
Farajallah, who took the helm at Loganair six months ago, highlighted the airline’s commitment to growth and service expansion. Following the acquisitions of routes previously operated by defunct airlines like BMI Regional and FlyBe, Loganair has added new, larger aircraft to its 38-strong fleet. He plans to enhance the fleet incrementally by adding two aircraft each year, with a focus on increasing both routes and flight frequencies.
When asked about potential new routes, he pointed to strong opportunities for expanding services between England’s northeast and southwest, as well as in Wales, particularly in boosting passenger traffic to and from Cardiff.
However, he noted an urgent need for the aviation industry to address its carbon emissions and brace for possible increases in passenger taxes in the upcoming budget. “We need the government to view aviation as a vital driver of economic growth rather than merely a polluter,” he urged, adding, “Airlines are enablers of growth, greatly facilitating the movement of people across the country.”
On a more tactical note, Mr. Farajallah described the rationale behind scaling back on certain routes, such as Glasgow-Southampton and Aberdeen-Teesside, to improve reliability, especially for patients traveling to NHS appointments. Loganair relies on financial support from the Scottish government for some of its island services, having recently celebrated 50 years since taking over the service for Barra and Tiree.
Despite discontinuing the Stornoway-Benbecula service due to low passenger numbers, he stressed the importance of maintaining affordable travel options for island communities. “We must keep subsidized half-price fares for island residents,” he asserted, noting their critical importance for rural populations.
Mr. Farajallah has also observed a steady increase in international passengers arriving in Edinburgh, which positively impacts Loganair’s operations as they connect to other flights across the UK. The discussion concluded with a hopeful outlook for the future of Loganair as they navigate the complexities of the aviation industry.