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United Airlines to stop Belfast to New York flights | United Airlines to stop Belfast to New York flights |
(35 minutes later) | |
US airline United is to stop flights between Belfast and New York, months after a £9m rescue deal. | US airline United is to stop flights between Belfast and New York, months after a £9m rescue deal. |
The financial assistance was revealed by BBC News NI in August. | The financial assistance was revealed by BBC News NI in August. |
Two thirds of the money, which was to be given to United over three years, was to come from the Northern Ireland Executive. | Two thirds of the money, which was to be given to United over three years, was to come from the Northern Ireland Executive. |
The flight is the only regular direct air link between Northern Ireland and the US. The last departure from Belfast will be on 9 January. | |
The last departure from Newark/New York will be the day before. | The last departure from Newark/New York will be the day before. |
It is understood only part of the £9m aid was ever paid to United and it has now been refunded. | It is understood only part of the £9m aid was ever paid to United and it has now been refunded. |
United said it had taken the decision because of the route's poor financial performance. | United said it had taken the decision because of the route's poor financial performance. |
"We will contact customers with bookings for flights beyond those dates to provide refunds and re-accommodate where possible. We apologise for any inconvenience caused," they added. | "We will contact customers with bookings for flights beyond those dates to provide refunds and re-accommodate where possible. We apologise for any inconvenience caused," they added. |
United's decision to axe its service between Belfast and New York is a setback for the airport and the Northern Ireland Executive. | United's decision to axe its service between Belfast and New York is a setback for the airport and the Northern Ireland Executive. |
But before now each had been mindful Europe could scupper a hastily arranged £9m rescue deal. | But before now each had been mindful Europe could scupper a hastily arranged £9m rescue deal. |
However, the gamble was considered worth taking, as without it United would have pulled out earlier. | However, the gamble was considered worth taking, as without it United would have pulled out earlier. |
Only part of the aid money has been paid and it has now been refunded. | Only part of the aid money has been paid and it has now been refunded. |
Northern Ireland has long struggled to attract airlines on long-haul routes, while Dublin Airport rapidly expands its destination choices. | Northern Ireland has long struggled to attract airlines on long-haul routes, while Dublin Airport rapidly expands its destination choices. |
United's decision will not make the job any easier and at the very least is an undoubted knock to the prestige of Northern Ireland Plc. | United's decision will not make the job any easier and at the very least is an undoubted knock to the prestige of Northern Ireland Plc. |
However, Belfast International Airport said the flight is going because the European Commission blocked the funding package on state aid grounds. | However, Belfast International Airport said the flight is going because the European Commission blocked the funding package on state aid grounds. |
The airport's managing director Graham Keddie tweeted that he was "absolutely spitting" about the decision which he blamed on "useless, faceless EU bureaucrats". | The airport's managing director Graham Keddie tweeted that he was "absolutely spitting" about the decision which he blamed on "useless, faceless EU bureaucrats". |
In a statement he added that the decision would be a "body blow" to Northern Ireland Executive ministers "who use it to promote Northern Ireland to would-be investors from the United States". | In a statement he added that the decision would be a "body blow" to Northern Ireland Executive ministers "who use it to promote Northern Ireland to would-be investors from the United States". |
"To block a support package for an airline that delivers direct access to the United States is almost beyond comprehension," Mr Keddie said. | "To block a support package for an airline that delivers direct access to the United States is almost beyond comprehension," Mr Keddie said. |
'Emergency procedure' | 'Emergency procedure' |
"This is a bad day for the executive and a bad day for Northern Ireland, which is still finding its feet after a generation lost to conflict. The United service was well supported and only recently carried its millionth passenger. | "This is a bad day for the executive and a bad day for Northern Ireland, which is still finding its feet after a generation lost to conflict. The United service was well supported and only recently carried its millionth passenger. |
"We have worked tirelessly to safeguard the service, but Brussels took a different view, believing the support package gave United an unfair advantage over services from elsewhere. | "We have worked tirelessly to safeguard the service, but Brussels took a different view, believing the support package gave United an unfair advantage over services from elsewhere. |
"The EU decision-making process is abysmal, biased and unfair and has resulted in the loss of this service." | "The EU decision-making process is abysmal, biased and unfair and has resulted in the loss of this service." |
Economy Minister Simon Hamilton said the executive did the right thing by trying to save the route. | |
"There was a risk to the flight and we stepped in to save it," Mr Hamilton said. | |
"Faced with the same circumstances again, I would make the same decisions. All public money has been recouped with interest and we retained the route for a longer period." | |
He said it was "deeply regrettable that unelected bureaucrats in Brussels have effectively scuppered this important flight for Northern Ireland". | |
He added that he would establish an air routes task force and said: "I have already been in discussions about bringing new airlines to Northern Ireland." | |
Ulster Unionist economy spokesman Steve Aiken said the withdrawal of the service was an "international embarrassment". | Ulster Unionist economy spokesman Steve Aiken said the withdrawal of the service was an "international embarrassment". |
"We need to know what checks were made with the European Union over state aid and who took the decision that it was not an issue?" he said. | "We need to know what checks were made with the European Union over state aid and who took the decision that it was not an issue?" he said. |
"This is a huge blow to our international standing and the minister must tell us what he intends to do to sort it out." | "This is a huge blow to our international standing and the minister must tell us what he intends to do to sort it out." |
In September, MLAs on the Public Accounts Committee (PAC) were told the deal got rushed executive approval in the face of concern about value for money. | In September, MLAs on the Public Accounts Committee (PAC) were told the deal got rushed executive approval in the face of concern about value for money. |
The NI Auditor General said Economy Minister Simon Hamilton issued a ministerial direction for the bail-out, which was endorsed by First Minister Arlene Foster and Deputy First Minister Martin McGuinness, "under emergency procedure". | The NI Auditor General said Economy Minister Simon Hamilton issued a ministerial direction for the bail-out, which was endorsed by First Minister Arlene Foster and Deputy First Minister Martin McGuinness, "under emergency procedure". |