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Airline Blue Islands on brink of collapse, ITV News understands

  • Watch as ITV Channel broke the news on its 6pm programme

The airline Blue Islands is on the brink of collapse, ITV News understands.

There has been no official comment from the company, but a very senior government source has told ITV News that "things are not looking good".

Blue Islands provides some of the key air links between the Channel Islands and the UK, as well as a number of other domestic routes and some international flights.

Its operations, including some seasonal services, cover seven UK airports: Bristol, East Midlands, Exeter, Leeds Bradford, Southampton, Newcastle, Norwich.

It also runs inter-island flights between Jersey and Guernsey.

Blue Islands operated flights across England and the Channel Islands, with seasonal services to Dublin and Paris. Credit: Blue Islands

The Government of Jersey loaned the airline £8.5 million during the Covid pandemic and has only been paid back a fraction to date.

ITV News understands that Government of Jersey Ministers have been in conversations about the operator's future all week.

An emergency meeting is believed to have been held for all staff at the Ports of Jersey on Friday afternoon.

No official comment has been made and flights are currently operating as normal, but ITV News understands that an announcement could be imminent.

"This is an incredibly serious situation if true. Blue Islands is an established airline in the Channel Islands and people do depend on them for many situations, including inter-island links and travel to Southampton for medical appointments.

"Sources are claiming that the airline is facing an extremely precarious financial situation and they may be on the brink of administration - I am told to expect an announcement within the next 72 hours.

"If they were to go bust tonight, it's estimated there would be in the region of 1,000 people displaced.

"My understanding is that Government of Jersey Ministers have been speaking at a very high level about getting contingencies in place."

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