Guernsey States votes to write off Aurigny debts

Airline CEO Nico Bezuidenhout said he hoped the airline could become profitable again by 2023

Guernsey's States has voted to write off the debts of airline Aurigny.

Members voted to spend more than £60m recapitalising the Guernsey States-owned carrier.

Airline CEO Nico Bezuidenhout said he hoped the airline could become profitable again by 2023.

During the debate, Deputy Peter Roffey said as part of the move to profitability there would be "exciting announcements" including code-sharing agreements with big airlines.

These agreements are relationships between airlines which allows one to sell services to a customer that are provided by another.

Currently Aurigny has agreements with Blue Islands, Eastern Airways and Loganair.

Deputy Roffey, who is president of the States' Trading Supervisory Board, said: "This effectively means States members have recognised the losses made in recent years since 2015, mostly due to Covid and the Alderney route before the PSO [Public Service Obligation duties].

"Nobody saw Covid coming, so I think the plan to get back to breaking even is good."

The States approved the recapitalisation - effectively moving money that has already been budgeted by the States to another pot to get rid of Aurigny's Covid debt - by 35 votes to one, with two abstentions.

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