European regional airline leaders have warned proposed EU passenger rights reforms could threaten essential regional air connectivity amid rising operational and fuel costs.

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European Regions Airline Association has coordinated an open letter signed by 35 European regional airline chief executives urging EU policymakers to pause proposed revisions to EU261 passenger rights legislation.

The airline leaders warned that the current proposals risk placing unsustainable financial pressure on regional airlines already facing rising fuel costs, geopolitical instability and increasing operating expenses.

European regional airlines warn EU261 reforms threaten connectivity

According to the letter, regional airlines support strong and fair passenger rights but believe the proposed compensation reforms fail to recognise the operational realities of smaller regional carriers.

The airline executives argued that regional airlines often operate thin routes with limited profit margins while serving islands, remote communities and smaller regional markets that larger carriers may not operate.

Many regional operators also manage smaller fleets with limited access to spare aircraft, maintenance facilities and operational redundancy during disruption events.

The signatories warned that compensation thresholds proposed under revised EU261 rules could in some cases exceed the revenue generated from individual flights.

They cautioned that additional financial pressure could result in route cuts, grounded aircraft and potential airline failures across parts of Europe’s regional aviation sector.

Montserrat Barriga said regional airlines provide essential connectivity linking communities with healthcare, education and economic opportunities.

She added that passenger rights reforms must remain balanced and workable while protecting critical regional air links.

The letter also highlighted wider concerns surrounding rising jet fuel prices linked to instability in the Middle East and broader economic uncertainty affecting the aviation sector.

ERA and its member airlines are calling for a full impact assessment examining the potential consequences of the proposed reforms within the current geopolitical and economic environment.

The group is also urging policymakers to develop a compensation regime that better reflects the operational realities of regional aviation while discouraging unnecessary flight cancellations.

Among the airline leaders signing the letter were executives from Loganair, Luxair, Croatia Airlines, Air Serbia and Widerøe.

The CEOs concluded that regional aviation remains essential for maintaining economic and social connectivity across Europe’s regions and communities.

Read the full letter here