Aurigny will stop flights on its London City route from October, due to a lack of demand and high operational costs.
The States owned airline say it'll be able to refocus its efforts on maintaining and improving its other existing routes, including London Gatwick.
It says more than 50 per cent of seats were empty, despite 'a sustained promotion of the route' over the last two years.
Aurigny describe the Gatwick route as 'a key lifeline service for the island' and say 'the quality of Aurigny’s service at Gatwick is crucial to both the image and prosperity of Guernsey'.
So, from the start of December it will begin handling it's own ground operations from Gatwick.
In a statement, the company said it already handles its own operations in Guernsey, Alderney and Southampton and by becoming its own handler it will 'enhance the overall customer experience by improving disruption handling and passenger communication'.
The States’ Trading Supervisory Board, which oversees the States' owned bodies said in a statement it supports the decision to stop the loss-making London City route.
Any London City passengers who have already booked flights for beyond 27 October 2017, will be contacted by the airline or their travel agents and offered a full refund or alternative flights on the network.